ROLE OF DSS IN BUSINESS.pptx

ROLE OF DSS IN BUSINESS
2. GOAL ORIENTED
 it is a process of determining the input
values required to achieve a certain goal.
3. RISK ANALYSIS
 risk is the important factor which affects
the business enterprise. DSS allows
manages to the risk associate with various
alternatives.

4. MODEL BUILDING
 DSS allows decision maker to identify the most appropriate model
for solving the problems.
5. GRAPHICAL ANLYSIS
 this help managers to quick digest large volumes of data and visualize
the impacts of various because courses of action.

They recommends the use of graph when:
a. Seeking quick summary of data
b. Forecasting activities
c. Detecting trends over time
d. Composing points and patterns at different variables

STEPS IN CONSTRUCTNG DSS
1. IDENTIFICATION OF THE PROBLEM
 in this stage the developer and the knowledge engineer interact to
identify problems. The following points are discussed:
a. The scope and intent are analyzed.
b. The return of investment analysis is done.
c. The amount of resources needed is identified.
d. Areas in the problems that can give much trouble are identified and
conceptual solution of the problem is found.
e. Overall specification is made.

2. DEVELOPMENT OF PROTOTYPE
 before the development of a prototype we decide the knowledge level
to solve the particular problem. For this we adopted some methods in
sequence . After this the taste of knowledge of Engineer and developer
which interact frequently and domain specific knowledge is entrance.
When knowledge representation scheme and knowledge is available a
prototype is constructed.

3. DECISION ABOUT MODE OF DEVELOPMENT
 once the problem is identified, the immediate step would be to decide
about the vehicle for development. He can develop shell for
development by any programming language. In this stage, various
shell and tools are identified and analyzed for their suitability. These
tools whose features fit the characteristic of the problem are analyzed
in details.

4. PROTOTYPE VALIDATION
 the prototype under goes the process of testing for various problems
and revision of the prototype takes place. It is very important step of
DSS.
5. PLANNING FOR FULL SCALE SYSTEM
 in prototype construction, the area in the problem that can be
implemented with negative case is first choice intensive planning is
done.

6.FINAL IMPLEMENTATION, MAINTENANCE
AND EVALUATION
 This is the final stage of DSS Life Cycle. The full
scale system developed is implemented at the basic
resources requirement are fulfilled and parallel
conversion.

GROUP DECISION SUPPORT SYSTEM
(GDSS)
 is a decision support system that facilitates decision
making by a team of decision makers working as a
group.
 is an interactive computer based system that
facilitates solution of unstructured problem by a set of
decision makers by working together as a group.

GROUP DECISION SUPPORT SYTEM
 a GDSS is a DSS that facilitates decision making by a team of
decision maker working as a group.
 a GDSS is an interactive computer based system that facilitates
solution of unstructured problem by a set of decision makers working
together as a group.

CHARACTERISTICS OF GDSS
The goal of GDSSs is to improve the productivity of
decision-making meetings, either by speeding up the
decision-making process or by improving the quality of
the resulting decisions, or both. This is accomplished by
providing support for the exchange of ideas, opinions,
and preferences within the group.
1. Supporting parallel processing of information and
idea generation by participants.
2. Enabling larger groups with more complete
information, knowledge, and skills to participate in the
same meeting.

3.Permitting the group to use structured or unstructured techniques and
methods of arriving at decisions.
4. Offering rapid and easy access to external information.
5. Allowing nonsequential computer discussion. (Unlike oral
discussions, computer discussions do not have to be serial or
sequential.)
6. Producing instant, anonymous voting results.

7. Providing structure to the planning process, which keeps the group on
track.
8. Enabling several users to interact simultaneously.
9. Automatically recording all information that passes through the
system for future analysis (it develops organization memory

7. Providing structure to the planning process, which keeps the group on
track.
8. Enabling several users to interact simultaneously.
9. Automatically recording all information that passes through the
system for future analysis (it develops organization memory.)
10. A GDSS is specially designed information system .

11. A GDSS is easy to learn and to use.
12. A GDSS is designed with the goal of supporting group of decision
makers in their work.
13. The GDSS is designed to encourage activities such as idea
generation, conflict resolution and freedom of expression.

TYPES OF GDSS
1. DECISION NETWORK
 this type helps the participants to communicate each other through
network or through a central database. Application software may used
commonly shared models to provide support. The common
implementation using local area network and microcomputer. The
technology filters out many group dynamics of participative meeting.

TYPES OF GDSS
2. DECISION ROOM
 Participants are located at one place i.e. the decision room. The
purpose of this is to enhance participants interaction and decision
making by computerized within a fixed period of time using a
facilitators.

TYPES OF GDSS
3. TELE CONFERENCING
 groups are composed of numbers or groups that are geographically
disordered teleconferencing provides interactive connection within
two or more decision rooms. This interaction will involved
transmission of computerized audio visual information.

ADVANTAGES OF GDSS
1. Take better decision.
2. To solve the problem.
3. To minimize the risks.
4. To collect the amount of information.
5. To improve interactive communication.
6. Improve the decision making process.
7. To make coordination in various activities.

ADVANTAGES OF GDSS
1. TAKE BETTER DECISION
through the GDSS we can take better decision because under GDSS,
the decision are taken by group.
2. TO SOLVE THE PROBLEM
 GDSS provides solution to unstructured problems. GDSS collects
various types of information at various sources.

ADVANTAGES OF GDSS
3. TO MINIMIZE THE RISK
 GDSS allows managers to assess the risks associated with various
alternatives. This helps managers to be proactive rather than reactive.
4. TO COLLECT THE AMOUNT OF INFORMATION
 GDSS collect information at various sources for decision making.
This information minimizes the risk.

ADVANTAGES OF GDSS
5. TO PROVIDE INTERACTIVE COMMUNICATION
 GDSS provide interactive information. It takes better decision
through the interactive communication.
6. TO IMPROVE THE DECISION MAKING PROCESS
 GDSS improve the decision making process because GDSS is a goal-
oriented when the GDSS is designed, the goal is considered.

ADVANTAGES SOF GDSS
7. TO MAKE COORDINATION IN VARIOUS ACTIVITIES
GDSS decision are taken by a group GDSS. The
work is divided into different parts then each DSS
performs own work.

DISADVANTAGES OF GDSS
1. More chances for clash of opinions are there.
2. Very large group bring work complex.
Application and Uses of Group Decision Support System:
1. For meeting
2. Marketing

DISADVANTAGES OF GDSS
3. Banking Sector
4. Stock Exchange/foreign market
5. Brainstorming
6. Maintaining records
7. Assessing the judgement task
8. Office automation
9. Documentation
10. Engineering firms

COMPONENTS OF GDSS
1. HARDWARE
 it includes single PC and keypads, a decision room distributed GDSS
audio visual aids, network equipment, etc.
2.SOFTWARE
 GDSS software includes modules to support the individual, the
group, the process and scientific tasks. The software allows each
individual o do private work, the usual collection of text and file
creation, graphics, spread sheets and DBMS.

COMPONENTS OF GDSS
4. PROCEDURE
 it enables ease of operation and effective use of the
technology by group members.
5. PEOPLE
 users and stakeholders

Group Decision Support System
How GDSS can improve group decision making?
Group Decision Support System helps to enhance group decision
making by the following ways:
1. Improved Pre-planning
 improved pre-planning forces an agenda to keep the meeting on task.

2. Increased participation
 more numbers of person results to more effective contribution
towards decisions.
3. Open, collaborative meetings atmosphere
 help to provide open and collaborative meeting atmosphere which
provide non-judgemental input all attendees.

4. Criticism free idea generation
 Group Decision Support System provide criticism, free idea
generation with more inputs and better ideas.
5. Documentation of Meeting
 Group Decision Support System helps for effective documentation of
meetings which are used for further decision and use.

6. Setting Priorities and Making Decisions
 Group Decision Support System help to set the
priorities and give importance to those problems which
are more critical.

GROUP DECISION SUPPORT SYSEM
DECISION MAKING
 is an essential part of modern management. A manager’s life is filled
with a constant series of decision- where to invest profits, what to do
about an employee who is always late, where should the firm’s new
warehouse to built, what subject will have to priority at the department
meeting the next morning and so on..

 decision which are relatively minor are taken almost subconsciously,
the rules and patterns of behavior established over many previous
encounters with the problem.
 is a key part of a manager’s activities. It permits through all
managerial functions such as planning, organizing, directing and
controlling.

 in planning it is through the process of decision making that
objectives and policies are down and the managers decides many
things such as what to produce, what to sell, where, when, now and so
on..
 in organizing, decision making relates to the choice of structure,
nature and form of organization, division of work, delegation of
authority, fixing of responsibility and the like.

Decision Making
 in directing, decision making relates to determining the course,
deciding the orders and instructions to be given, providing dynamic
leadership and similar other issues.
 In controlling, the decision relate to the laying down of performance
standards strategic control points, procedure for control, and so on.

Decision Making
Decision
 is a choice between two or more alternatives. This implies three
things:
1. When managers make decision they are choosing- they are deciding
what to do on the basis of some conscious and deliberate logic or
judgement.

Decision Making
2. Managers have alternatives available when they are
making a decision. It does not require a wise manager to
reach a decision when there are no other possible
choices. It does require wisdom and experience to
evaluate several alternatives and select the best one.

Decision Making
3. Managers have a purpose in mind when they
make a decision. There would be no reason for
carefully making a choice among alternative,
unless the decision brings them closer to the goal.

Two types of Decision
1. Programmed Decision
 are decision that have been made so many times
in the past that managers have developed rules
for guideline to be applied when certain situation
are expected to occur.

Programmed Decision
 programmed decision making are a routine that you
make every time so that the organization run smooth.
Managers can develop rules and guidelines to regulate
all routine organizational activities. Most decisions are
related to daily activity.

Non- Programmed Decision
 are made in response to unusual opportunities
and threats.
 this type of decision making does not need rules
or guidelines to be followed because the situation
unexpected or uncertain.

In programmed decision making there will no error in the decision
because it is routine and managers usually have the information they
need to create rules and guideline to be followed by other.
 Non-programmed decision making are likely to have an error because
it cause more problems for managers and is inherently challenging.

Major and Minor Decisions
1. Degree of Futurity of Decision
2. Impact of the decision on other functional areas.
3. Qualitative factors that enter the decision
4. Recurrences of Decision.

ROLE OF DSS IN BUSINESS.pptx

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ROLE OF DSS IN BUSINESS.pptx