Effective Decision-Making: Systems, Models, and Databases
Decision Making
Decision making: The process by which a choice is made among alternatives or ways to solve different life situations. These can occur in different contexts: at work, family, or in sentimental relationships.
Decision making at the individual level: It is characterized by a person using their thinking and reasoning to choose a decision for a problem that arises in their life.
Evaluate the alternatives: This consists of a detailed study of each of the possible solutions that were generated for the problem, i.e., looking at their advantages and disadvantages.
Choosing the best alternative: In this step, choose the alternative that the evaluation indicates will yield the best results for the problem.
Types of Systems for Decision Support
SUPPORT SYSTEM FOR DECISION MAKING (DSS): Supports decision making through the generation and systematic evaluation of different alternatives or decision scenarios, using models and computational tools.
SYSTEMS FOR DECISION-MAKING IN GROUP (GDSS): A computer-based system that supports groups of people who have a task (or goal) platform that serves as an interface to a shared environment. Its aim is to involve a group of people for decision making in environments of anonymity and consensus.
EXECUTIVE INFORMATION SYSTEMS (EIS): These are the type of DSS that is most often used in business intelligence, providing managers with easy access to internal and external information of their company that is relevant to their key success factors.
EXPERT SYSTEMS SUPPORT DECISIONS (EDSS): Allows you to upload knowledge bases that are integrated by a series of common-sense rules for different users to consult.
MANAGEMENT INFORMATION SYSTEMS (MIS) or (AIS): Supports a wider range of organizational tasks, being halfway between a traditional DSS and an application CRM / ERP implemented in the same company.
EXPERT SYSTEMS BASED ON ARTIFICIAL INTELLIGENCE (SSEE) OR (knowledge based systems): They use neural networks to simulate expert knowledge and use it effectively to solve a particular problem.
Characteristics of Support Systems for Decision Making
- Post-SI are transactional, support to middle managers and business managers, not necessarily labor-saving, SI Interactive and friendly, can be developed by the end user.
Key Features:
- Reports dynamic, flexible, and interactive
- No technical knowledge required
- Fast response time
- Integration of all systems / departments of the company
- Each user has adequate information for their profile
- Availability of historical information.
A fundamental part of the DSS is the ability to exploit information, even through high-quality graphics and reports that are designed and obtained at short intervals.
Models
This feature allows the user to use classical models, which are developed and available, forming the basis of models. These may include: Inventory, Project Tracking, Linear Programming, Simulation, Queues, Statistical analysis, and financial planning scenarios.
Management Functions and Data Management
Access to corporate databases, generation of private information in local databases, manipulation of information through information management techniques.
Corporate Databases
A collection of current and historical data from a number of applications or groups, organized for easy access from a range of applications.
SSD is the ability to manage and store information, including features such as access to corporate databases, generation of private information in local databases.
Local Database and File Owners
They are generated and used by users, which should be taken from the corporate database. The local databases and proprietary files can be manipulated by the user, allowing their creation, consultation, and amendment.
Data Warehouse
It is a corporate database that is characterized by integration and debug information from one or more different sources, and then processing it allows analysis from many perspectives and with high-speed response.
Data Mart
These are subsets of data in order to help a specific area within the business make better decisions. Oriented system of reference, the batch processes that occur in load (high) with low frequency and known.