DECISION SUPPORT SYSTEM (DSS)

DECISION SUPPORT SYSTEM (DSS)

DECISION MAKING

In making decisions there are two people who interpret the sense-making Decision is Simon and Mintzberg.

1. The Decision By Simon

In his book published in 1977, simon describing the decision becomes a term programmatic decisions and the decision unprogrammed. Programmatic decisions are repetitive and routine. at a certain level and procedures in assigned to handle it so he is considered a denovo every time.

Unprogrammatic decisions that are not new, unstructured, and usuallynotconsotuvelly.
He also explained that two types of decisions are only the one tip of the unity.

Threaded in black and white, gray or are so unclear, however concept of programmed and unprogrammed decisions are very important, because each different techniques.

Simon's other contribution is explanation of the four phases that must be in the lead of Managers in resolving problems, these phases are :

a) Intelligence activities, is looking for in the environmental conditions that require solution.

b) Design activity, is to find, develop and analyze possible actions to be performed.

c) Choice activity, to determine how to act a certain way of several ways already exists.

d) Review activities, is to give evaluate the options that have been performed.

2. The Decision By Mintzberg

Mintzberg is famous for his theories about the role of manager, this theory revealed ten managerial roles that are divided into three categories, that is interpersonal, informational, desisional.

Role informational suggested that managers collect and disseminate information, and the role desisional suggested that managers use information in making various kinds of decisions. There are four roles desisional by Mintzberg:

Entrepreneurs, when managers act as entrepreneurs then this increase that is permanently enshrined as an organization.

Disturbances handler, when menajer role as a people on the disturbances handler, he will solve the problem not yet in anticipation. He made the decision to respond disturbances arising as economic change, threats from competitors, and the new tax rules.

Resource allocator, with the allocator role as a source allocator, managers are expected to determine the distribution of organizational resources to various existing units such as making the decision to set a budget annual operation.

Negotiator, on preformance role as negotiator, managers overcome disputes arising with in the company and disputes arising between company and its environment. For example negotiating a new contract with unions.

DSS (Decision Support System)

DSS began in the late 1960’s with the user's computer with a time-sharing (based on time division). The first one can interact directly with computers without having to go through the information specialist. Timesharing opens new opportunities in the use of computers.

Not until 1971, found the term DSS, G Anthony Gorry and Michael S. Scott Morton, frofesor MIT, jointly wrote an article in the journal entitled "A Framework for Management Information System" they feel there is need for a framework to deliver computer applications for manufacturing management decisions.

Gorry and Scott Morton framework based on the type of decisions by Simon and the level of management of Robert N. Anthony. Anthony uses the term Strategic palnning, management control and operational control (strategic planning and management control).

DSS TYPE

The next effort in defining the concept of DSS to do by Steven L. Alter. Alter did a study of 56 decision support systems used in time, the study is to provide knowledge in identifying the six types DSS, namely:

a) Retrive information element (called element information)

b) Analyze entries fles (analyzing all files)

c) Prepare reports form multiple files (standard reports from several files)

d) Qonsquences decisions Estimate (predict the consequences of decisions)

e) Propose decision (the decision to offer)

f) Make decisions (making decisions)

PURPOSE DSS

In DDS, there are three objectives that should be accomplished as follows:

a) Assist managers in making decisions to solve the problem of semi structured

b) Support the manager's decision, and not alter or change decision

c) Improving the effectiveness manager in decision making, and instead increased efficiency

This objective relates to three basic principles of the concept of DSS, namely the structure of the problem, decision support, and the effectiveness of the decision.

MEANING OF DSS

DSS as a system that provides support to a manager, or to the relatively small group of managers who work as team-breaker problems, in solving problems semi structure with given information or advice regarding a particular decision. This information is provided by the report Periodically, special reports, and output of mathematical models. The model also have the ability to provide advice in varying degrees.

HOW TO USE OF INFORMATION FROM DSS

Basically, two users of information from the DSS by the manager, it is for defining problems and solving those problems. Defining the problem is the definition of the business system approach. He also deals with the intelligence phase that the suggested by simon. Furthermore manjer use information for solve problems that have been identified. This is a business solution by systems approach design and related premises with the selection phase. In general, periodic report and special used mainly in an effort definition, and simulation in solving business

Periodic reports can be designed to identify issues or problems likely to emerge, manager also performs the query against the database for find a problem or learn further about the issues that have been in identification. Simulations can also unlock a hidden problem, because the weakness tend to be reluctant when the company changed the mathematical operations. Periodic and special reports can also help managers to solve problems decisions by identifying alternatives, evaluating and selecting Such alternative, and provide further information.

CONSOLIDATED

1. Periodic and Special Reports

Periodic reports that a report prepared according to the schedule particular example is the analyst's sales to customers per month and report specific or special report, namely that in a report when the report is made when something who do not like usually happens for example reports on the accident. In use of periodic and special reports are complete or concise.

2. Complete and Concise Reports

complete report or detail report is the report that provides specifications concerning any act or transaction and lines that represent the actions or transactions called a complete line or detail line while concise reports or summary report the report that included the line that represents some action or transaction.

Classified reports are usually printed in a few specific, which was filed in the data record, called filed or control key is used to filed sort the records before the report is printed.

The most commonly used is the Ascending sequences (sequences up) here filed values lowest control (no customer or a Aardbverk 0001) registered the first time, and The highest value (no 9999 or zikmund) in the most recent list.

MANAGEMENT COMBINATION WITH EXCEPTION INTO CONSOLIDATED

Usefulness of the report as a problem solver tool can be enhanced by combine management and xception. This can be done with four way:

a) Using a sequence of reports to highlight exception

b) Create a report only if there is an exception

c) Classifying the jointly exceptions

d) Shows a variant of the norm

MATHEMATICAL MODELING

Model is an abstract from something; it is represented several phenomena, namely object and activities. This phenomenon is called the entity. For example, if the model represents company then the company called its entity.

1. Statis and Dynamic Models

static Model is model that does not include time as a variable. It is relates with the situation in at a certain time while the dynamic model is the model includes time as a variable, this model represents the behavior of entities along time.

2. Probabilitic and Deterministic Models

Probabilitic model is a model about the chances something will happen. Probabilitic has a range of 0.00 (for something that does not have a chance) and 1.00 (for something that obviously happened) while the deterministic model is the opposite of Probabilitic model.

3. Optimization and Suboptimization Models

Optimization model is a model that determines the best solution among altermatif existing. In order that the model can to do it, the problem should be structured well. While suboptimization model is often called satisficing model is a model that allows managers to conduct a series of decisions, and the model will project solution. This model does not identify decisions that will best to produce settlement, but gave that task to the manager.

SIMULATION

Simulation or modeling is a process of a model representing his entity. Scenario, is used to describe the settings place the occurrence of the simulations. Decision variables, input values are included to measure the impact of manager of the entity. Simulation techniques. Simulation output formats.

PROFITS AND LOSSES OF MODELING

Managers who use mathematical models can make a profit as follows:

a) Modeling process into a learning experience

b) The speed of the simulation provides the ability for us to evaluate the impact decisions in a short time frame.

c) Models provide forecasting power

d) The model requires cheaper than the method of trial-and-error.

While the loss model are as follows:

a) Dificult of the modeling business systems and will produce a model which can not capture all the influences on the entity.

b) High math skills needed for to develop model more personally complex.

COMPUTER GRAPH

Each manjer in general must have the ability to create graphs. However, in fact, research suggests that the use of graphs was is not necessarily better than the users table. The graph seems to be better in certain situations, such as:

a) Looking for a quick summary of the data

b) Trand detect past

c) Comparing points and patterns of different variables

d) Predict future activity

e) Finding the impression that the relatively simpler from a large number of existing information

FOURTH GENERATION LANGUAGES

Software input into the DSS software library to generate three type of output. At first, the only way is to encode the program with programming language.

With the advent of end-user computing trend, it gives birth to a new language called fourth-generatioan language or 4GL.

1. Modeling Language

Modeling language created to make the task of forming model becomes much easier than using one oriented language is the first modeling language GPSS (General Purpose simulation system) IBM developed in the early 1960.

2. Very High Level Languages

Very high level language or a very high level languages are usually used for explain the programming language, such as APL, which offers brevity and power above and beyond what can be done by konversional language.

3. Generator applications

Generator applications to produce application programs such as inventory and payroll without programming

4. Report Writing

Writing reports designed specifically to create a report

5. Graph Generator

Graph generator also called graphics package used to display or print data in a variety of forms of graphs.

6. Database Query Language

language that allows us to display data from different tables from some form of criteria.

GROUP DECISION SUPPORT SYSTEM

Group decision support system (GDSS) is combination of computer, communications, and technology used in the decision and to discover, formulate, and solve problems in group meetings. GDSS is to exchange ideas, opinions, and preferences within the group.