Week 3 | Bussiness process management

Question 1

Business process management

Answer 1

Business processes represent an integral asset of every business entity. They influence marketplace perceptions of the attributes of products and services. They are considered vital determinants with respect to the allocation of jobs and responsibilities, and subsequent employee outputs. Processes enable the integration of systems, data, and resources essential to organisations, with any resultant failures impacting adversely on an organisation’s ability to function effectively.

Question 2

Decision support systems

Answer 2

A decision support system (DSS) is a computer system designed to provide assistance, guidance and resources to allow someone to make informed and well supported decisions. A DSS collects, organises and analyses business data in all forms, to facilitate quality business decision-making for management, operations and planning.

Question 3

DSS and management

Answer 3

Systems that support decision-making must first be understood by management. For example, what does the system cover? What are its inputs and outputs? What are its internal processes and with which departments/customers does it interface with? Over time, systems of these types tend to change and develop simply because of the people acting them out.

Question 4

How DSS are used

Answer 4

DSS applications are used in many diverse fields, including medical diagnosis, credit loan verification, evaluating bids on engineering projects, business and business management, agricultural production as well as in government and public services areas.

Question 5

Key performance indicators (KPIs)

Answer 5

Key performance indicators or KPIs are the quantifiable metrics a company uses to evaluate progress towards its critical success factors.
For example:

• Turnover rates of employees.
• Number of product returns.
• Number of new customers.
• Average customer spending.

Question 6

Critical success factors (CSF)

Answer 6

Critical success factors (CSF) are the crucial steps that companies perform to achieve their goals and objectives and implement their business strategies. For example:

• Create high-quality products.
• Retain competitive advantages.
• Reduce product costs.
• Increase customer satisfaction.
• Recruit and retain the best professionals.

KPIs help measure the progress of the CSF. One CSF can have multiple KPIs.