Chapter 1: Decision Support And Business Intelligence

Question 1

Automated Decision Support (ADS)

Answer 1

A rule-based system that provides a solution, usually in one functional area to a specific repetitive problem, usually in one industry.

Question 2

Business Intelligence (BI)

Answer 2

An umbrella term that combines architectures, tools, databases, analytical tools, applications, and methodologies.

Question 3

Business Performance Management (BPM)

Corporate Performance Management (CPM)

Answer 3

An emerging portfolio of applications and methodology that contains evolving BI architecture and tools in its core.

Question 4

Cognitive Limits

Answer 4

An individual’s problem solving capability is limited when a wide range of diverse information and knowledge is required.

Question 5

Dashboard

Answer 5

Provide a comprehensive visual view of corporate performance measures, trends, and exceptions.

Question 6

Data Mining

Answer 6

A process of searching for unknown relationships or information in large databases or data warehouses, using intelligent tools such as neural computing, predictive analytics techniques, or advanced statistical methods.

Question 7

Decision Support System (DSS)

Answer 7

Interactive computer-based systems, which decision makers utilize data and models to solve unstructured problems.

Question 8

Hybrid (Integrated) Support System

Answer 8

Several types of computer tools and techniques used together to assist management in problem solving faster and better than possible without computers.

Question 9

Management Science (MS)
Operations Research (OR)

Answer 9

In solving problems, managers should follow the four-step systematic process for managerial decision making. The MS process adds a new step 2 to the process. 1. Define the problem. 2. Classify the problem into a standard category. 3. Construct ta model that describes the real-world problem. 4. Identify possible solution to the modeled problem and evaluate the solutions. 5. Compare, choose, and recommend a potential solution to the problem.

Question 10

Semi-structured Problem

Answer 10

Fall between structured and unstructured problems having elements of both.

Question 11

Structured Problem

Answer 11

All phases are structured and the procedures for obtaining the best solution are known.

Question 12

Unstructured Problem

Answer 12

One in which none of the four phases of decision making are structured.

Question 13

Work System

Answer 13

A system in which human participants and/or machines perform a business process using information, technology, and other resources to produce products and/or services for internal or external customers.

Question 14

What are the parts of the Pressures-Responses-Support Model.

Answer 14

Business pressures that result from today’s business climate, response by companies to counter the pressures, and computerized support that facilitates the monitoring of the environment and enhances the response actions taken by organizations.

Question 15

What are a manager’s roles? What does it mean that they can be interpersonal, informational, and decisional?

Answer 15

1. Interpersonal
2. 1. Figurehead - Symbolic head; obliged to perform a number of routine duties of a legal or social nature
3. 2. Leader - Is responsible for the motivation and activation of subordinates; responsible for staffing, training, and associated duties.
4. 3. Liaison - Maintains self-developed network of outside contacts and informers who provide favors and information.
5. Informational
6. 1 Monitor - Seeks and receives a wide variety of special information (much of it current) to develop a thorough understanding of the organization and environment; emerges as the nerve center of the organization’s internal and external information.
7. 2 Disseminator - Transmits information received from outsiders or from subordinates to members of the organization; some of the this information is factual, and some involves interpretation and integration.
8. 3 Spokesperson - Transmits information to outsiders about the organization’s plans, policies, actions, results, and so forth; serves as an expert on the organization’s industry.
9. Decisional
10. 1 Entrepreneur - Searches the organization and its environment for opportunities and initiates improvement projects to bring about change; supervises design of certain projects.
11. 2 Disturbance handler - Is responsible for corrective action when the organization faces important, unexpected disturbances.
12. 3 Resource allocator - Is responsible for the allocation of organizational resources of all kinds; in effect, is responsible for the making of approval of all significant organizational decisions.
13. 4 Negotiator - Is responsible for representing the organization at major negotiations.