Functional: Planning: what to do and how to do it. an outline is a plan. Organizing: structuring various resources such as staffing for human resources Commanding: giving instructions to make things happen. it can be general or specific. ( general) make and sell cookies maximizing freshness and minimizing waste; (specific) follow this procedure for deciding when to make cookies and how to sell them. Coordinating: interrelating and harmonizing activities. Controlling: ensure that plans are carried out properly Roles: Interpersonal: It is interacting with others as a figure head (social, ceremonial. legal duties), leader(motivate and activate subordinate), liaison (networking), follower (subordinate), or peer. Informational: The interpersonal roles require communication. In Informational role one is monitor, disseminator, or spokesperson. Decisional: entrepreneur (seek and seize opportunities to set a new direction), disturbance handler (devise corrective action), resource allocator (), negotiator (bargain)
Lecture 6 DSS
Decision Support Systems
Lecturer in Computer Science
University of Education Okara Campus
• Define DSS
• Decision Making / Problem Solving
• Decision Making Process
• DSS Incorporates types of IS
• Basic Themes & Taxonomy of DSS
• DSS Benefits and Components
• Applications & Categories
Decision Support System
• A computer-based information system that supports business or
organizational decision-making activities.
• Interactive computer-based systems, which help decision makers utilize
data and models to solve unstructured problems. [Gorry and Scott-Morton (1971)]
• Decision support systems couple the intellectual resources of individuals
with the capabilities of the computer to improve the quality of decisions.
It is a computer-based support system for management decision makers
who deal with semi-structured problems. [Keen and Scott-Morton (1978)]
• What do managers do?
• Plan, organize, command, coordinate, control.
• Interpersonal, informational, decisional
Decision Making/ Problem
Decision Making Process
• Decision making process
• Sensing, finding, identifying, and defining problem/opportunity
• Diagnosing the problem/opportunity
• Generating alternatives
• Choosing the best alternative
• Adopting the selected course of action in decision situation.
• E.g. MS Excel for Merit List, Grade Distribution
DSS Incorporates Types of Info Systems
• Executive Information Systems
• Expert Systems
• Information Reporting Systems
• Transaction Processing Systems
3Types of Decisions
Basic Themes of DSS
• Information system.
• Used by managers for making decisions.
• Used to support, not to replace people.
• Used when the decision is "semi-structured" or "unstructured."
• Incorporate a database of some sort.
• Incorporate models.
Taxonomy of DSS
1. A communication-driven DSS supports more than one person
working on a shared task; examples include integrated tools like
Google Docs or Groove
2. A data-driven DSS or data-oriented DSS emphasizes access to
and manipulation of a time series of internal company data and,
sometimes, external data.
3. A document-driven DSS manages, retrieves, and manipulates
unstructured information in a variety of electronic formats.
4. A knowledge-driven DSS provides specialized problem-solving
expertise stored as facts, rules, procedures, or in similar structures.
5. A model-driven DSS emphasizes access to and manipulation of a
statistical, financial, optimization, or simulation model. Model-
driven DSS use data and parameters provided by users to assist
decision makers in analyzing a situation; they are not necessarily
data-intensive. Dicodess is an example of an open source model-
driven DSS generator.
(Created by Daniel Power)
DSS ComponetsDSS Componets
Database Management System
Knowledge-based Management System
Model-based Management System
Data Generation & Management System
Airline Reservation system
No more seats available
Provide alternative flights you can use
Use the info to make flight plans
Canadian National Railway
A Loan Manager can decide whether to grant loan to an
Decision Making Software
E.g. Logical Decisions (30 days trial)
Applications Cont.Applications Cont.
• Clinical decision support system for medical diagnosis.
• An engineering firm that has bids on several projects and wants to
know if they can be competitive with their costs.
• DSS is extensively used in business and management. Executive
dashboards and other business performance software allow faster
decision making, identification of negative trends, and better allocation
of business resources.
• A growing area of DSS application, concepts, principles, and
techniques is in agricultural production, marketing for sustainable
• A DSS can be designed to help make decisions on the stock market, or
deciding which area or segment to market a product toward.
Characteristics & CapabilitiesCharacteristics & Capabilities
• The key DSS characteristics and capabilities are as follows:
1. Support for decision makers in semi-structured and unstructured
2. Support managers at all levels.
3. Support individuals and groups.
4. Support for interdependent or sequential decisions.
5. Support intelligence, design, choice, and implementation.
6. Support variety of decision processes and styles.
7. DSS should be adaptable and flexible.
8. DSS should be interactive ease of use.
9. Effectiveness, but not efficiency.
10. Complete control by decision-makers.
11. Ease of development by end users.
12. Support modeling and analysis.
13. Data access.
14. Standalone, integration and Web-based
• Improves personal efficiency
• Speed up the process of decision making
• Increases organizational control
• Encourages exploration and discovery on the part of the
• Speeds up problem solving in an organization
• Facilitates interpersonal communication
• Promotes learning or training
• Generates new evidence in support of a decision
• Creates a competitive advantage over competition
• Reveals new approaches to thinking about the problem space
• Helps automate managerial processes
• Create Innovative ideas to speed up the performance
Support based DSS (Alter 1980)Support based DSS (Alter 1980)
Data-based DSSData-based DSS
Model-based DSSModel-based DSS