strategic information systems iv stv401t / b btip05 /...

Corporate Affairs and Marketing (CA&M) Brand and Event Management

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STRATEGIC INFORMATION SYSTEMS IV

STV401T / B

BTIP05 / BTIX05 - BTECH

DEPARTMENT OF INFORMATICS

LECTURE: 02 – (A)

DSS CONCEPTS & THINKING

By: Dr. Tendani J. Lavhengwa

[email protected]


Inspirational Quotes

• My personal quote:

“Always be a thought ahead. Do not fear the blank page, everything started

somewhere”

• Quotes to consider as inspiration:

"The reason I spend so much of my time doing science is that the whole point of

science is to help people resolve conflicting claims by saying: 'Show me the data.'" ~

Dean Ornish

• Your quotes?

???

LECTURE: 02 - DSS CONCEPTS & THINKING


1. Decision Making - multiple definitions

2. Decision structure and information system

3. Decision Making - Characteristics

4. Decision Making major disciplines

5. Who are the Decision Makers?

6. DSS Models

7. Simon's Four (4) Phases of the Decision-Making Process

8. Normative Decision theory

9. MSS technologies to support the Simon phases

10. Decision Making in the Digital Age


#. Start-up Items to discuss



1. Decision Making - multiple definitions

Decision Making definition...1:

• a process of choosing among two or more alternative courses of action for the purpose of attaining one or more goals (Turban, 2011)


• an integral part of modern management

• Decision Making process can be regarded as check and balance system that keeps the organisation growing both in vertical and linear directions


• The thought process of selecting a logical choice from the available options.

• When trying to make a good decision, a person must weight the positives and negatives of each option, and consider all the alternatives (businessdictionary)

Decision Style -

• The manner by which decision makers think and react to problems



2. Decision structure and information system

Supported by: Managerial decision making aspects (Bocij, 2015) with three levels: operational, tactical and strategic.



3. Decision Making - Characteristics

Groupthink

• Group members accept the solution without thinking for themselves

• - - can lead to bad decisions

Evaluating – “what-if’ scenarios

• - - may take time

Experimentation

• Using real systems

• Try it and see how well it works

• - - -may result in failure

Changes in decision making may occur continuously

• - - - this may take a long

Changes in decision making environment

• - - -quality may be impacted

Collecting information and analysing problem

• - - -takes time and can be expensive

• - - -difficult when to stop and make a decision

There may not be sufficient information to make intelligent decision

Too much information available - - -can lead information overload



4. Decision Making major disciplines

Behavioural Anthropology Law Philosophy Political Science Psychology Social Psychology Sociology

Scientific Computer Science Decision analysis Economics Engineering Hard science

• Biology • Chemistry • Physics

Management Science / Operations Research Mathematics Statistics

REM??? Decision Style - The manner by which decision makers think and react to problems



6. Who are the Decision Makers?

Individuals – at lower

managerial levels – in

small organisations

* * Examples – Who decides? * *

1. a client apples for a home / car load at the bank?

2. a user changes their ATM transfer limit?

3. a company responds/applies for a tender

4. ???



7. DSS Models

Static

• Describe a single interval of a situation

Dynamic

• Inputs are changed over time (5 years increase in revenue)

Models… A model is a simplified representation or

abstraction of reality. Models can represent systems or problems with

various degrees of abstraction.



7. DSS Models



7. DSS Models - Benefits



8. Simon's Four (4) Phases of the Decision-Making Process

Intelligence

Design

Choice

Implementation

Intelligence

Design

Choice

Implementation

Evaluation

Bocij (2015) refer to an additional phase: ‘Implementation’



8. Simon's Four (4) Phases of the Decision-Making Process - Detailed



9. Normative Decision theory

*Normative or prescriptive

decision theory:

• -is concerned with identifying the best decision to make,

• -modelling an ideal decision maker

• -who is able to compute with perfect accuracy and

• -is fully rational



11. Decision Making in the Digital Age

Sourced: Wessel (2001), Decision making in the Digital Age



10. MSS technologies to support the Simon phases


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QUESTIONS & ENQUIRIES

[email protected]

LECTURE: 02 (A) – DSS CONCEPTS & THINKING

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