Fundamentals chap 8 Flashcards
Management Information and decision support systems
Why Learn About Information and Decision Support Systems?
Is in helping you and your coworkers make more informed decisions
Transportation coordinators can:
Use management information reports to find the least expensive way to ship products to market and to solve bottlenecks
Process of making a decision
Intelligence stage
Decision stage
Choice stage
Implementation stage
Monitoring stage
Intelligence stage
In the Intelligence stage, we would then collect information about the problem
Decision stage
In the Design stage, you start working out which are the realistic options available to you by considering the entrance requirements and other factors such as costs.
Choice stage
In the Choice stage, you actually decide which University programme that you would like to study
Implementation stage
In the Implementation stage, you send off your applications to one or more Universities where you decided you wanted to study
Monitoring stage
In the Monitoring stage, you check to see if your application was successful.
Decision-making phase:
Intelligence stage:
Identify and define potential problems or opportunities
Design stage:
Develop alternative solutions to the problem and evaluate their feasibility
Choice stage:
Select a course of action
Problem solving:
Includes and goes beyond decision making
Includes Implementation Stage
Monitoring Stage
Decision makers evaluate the implementation
Programmed Vs. Non-programmed Decisions
Programmed decisions follow a set procedure and are easy to computerise. Non-programmed decisions are harder to program, as they require one to make decisions where not all the information required can be presented in a computerised manner.
Optimization, Satisficing, and Heuristic Approaches
Optimization model:
Finds the best solution, usually the one that will best help the organization meet its goals
Satisficing model:
Finds a good, but not necessarily the best, problem solution
Heuristics (‘rules of thumb’):
Commonly accepted guidelines or procedures that usually find a good solution
Management information system (MIS)
Integrated collection of people, procedures, databases, hardware and software that provide decision makers with information to help achieve organisational goals.
Can give the organization a competitive advantage
Purpose of an MIS:
To help an organization achieve its goals
Provide the right information to the right person in the right format at the right time
Business transactions:
Can enter the organization through traditional methods, or via the Internet, or via an extranet
Inputs to MIS
Internal data sources:
TPS and ERP systems and related databases
External data sources:
Customers, suppliers, competitors, and stockholders whose data is not already captured by the TPS and ERP systems
Business intelligence:
Can be used to turn a database into useful information throughout the organization
