business information systems decision making and problem
TRANSCRIPT
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Business Information Systems
Chapters 10 & 11
Decision Making and Problem Solving
Figure 10.1
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Principles of Information Systems, Fifth Edition
Chapter 10 Slide 4
Programmed versus Nonprogrammed DecisionsProgrammed decisionsl Structured situations with well defined
relationshipsl Quantifiablel Management information system
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 5
Programmed versus Nonprogrammed DecisionsNonprogrammed decisionsl Ill-structured situations with vague or
changing relationships between variablesl Not easily quantifiable in advancel Decision support systems
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 6
Problem Solving Approaches
Optimization: find the best solutionSatisficing: find a good solutionHeuristics: use rules of thumb
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Figure 10.2
An Overview of Management Information Systems
Figure 10.3
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Figure 10.4
Figure 10.4 cont’d
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 12
Characteristics of an MIS
Fixed format, standard reportsHard-copy or soft-copy reportsUses internal dataUser-developed reportsUsers must request formal reports from IS department
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Functional Aspects of the MIS
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 14
Functional MIS Systems
ManufacturingMarketingHuman ResourcesAccountingGIS
An Overview of Decision Support Systems
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Principles of Information Systems, Fifth Edition
Chapter 10 Slide 16
Characteristics of Decision Support Systems
Handle lots of data from various sourcesSupport drill down analysisComplex analysis, statistics, and forecastingOptimization, satisficing, heuristicsl Simulation
l What-if analysisl Goal-seeking analysis
Figure 10.14
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 18
Examples of a DSS
Meal PlanningWeb-Based Decision Support
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Components of a DSS
Figure 10.16
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 21
The Model BaseFinancial modelsl Cash flowl Internal rate of return
Statistical analysis modelsl Averages, standard deviationsl Correlationsl Regression analysis
Graphical modelsProject management models
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Group Decision Support Systems
Figure 10.17
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 24
Characteristics of a GDSS
Ease of useFlexibilityDecision-making supportAnonymous inputReduction of negative group behaviorParallel communicationAutomated record keeping
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Figure 10.18
Figure 10.19
Executive Support Systems
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Principles of Information Systems, Fifth Edition
Chapter 10 Slide 28
Executive Support Systems (ESS) in Perspective
Tailored to individual executivesEasy to useDrill down capabilitiesAccess to external dataCan help when uncertainty is high
An Overview of Artificial Intelligence
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 30
The Nature of Intelligence
Learn from experience & apply the knowledgeHandle complex situationsSolve problems when important information is missingDetermine what is important
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Principles of Information Systems, Fifth Edition
Chapter 10 Slide 31
The Nature of Intelligence
React quickly & correctly to new situations Understand visual imagesProcess & manipulate symbolsBe creative & imaginativeUse heuristics
Figure 11.1
Table 11.1
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Principles of Information Systems, Fifth Edition
Chapter 10 Slide 34
The Major Branches of Artificial Intelligence
Vision systemsNatural Language ProcessingLearning systemsNeural networksRobotics
An Overview of Expert Systems
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 36
Characteristics of an Expert System
Can explain reasoningCan provide portable knowledgeCan display “intelligent” behaviorCan draw conclusions from complex relationshipsCan deal with uncertainty
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Principles of Information Systems, Fifth Edition
Chapter 10 Slide 37
Limitations of Expert Systems
Limited to narrow problemsHard to useCannot easily deal with “mixed” knowledgeCannot refine own knowledge baseHard to maintainPossible high development costsRaise legal & ethical concerns
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 38
When to Use Expert Systems
High payoffPreserve scarce expertiseDistribute expertiseProvide more consistency than humansFaster solutions than humansTraining expertise
Fig 11.7
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Principles of Information Systems, Fifth Edition
Chapter 10 Slide 40
Components of Expert Systems
The Knowledge Basel Rulesl Cases
Fuzzy LogicInference Enginesl Backward chainingl Forward chaining
Fig 11.12
Principles of Information Systems, Fifth Edition
Chapter 10 Slide 42
Advantages of Expert Systems Shells and ProductsEasy to develop & modifyUse of satisficingUse of heuristicsDevelopment by knowledge engineers & users
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Principles of Information Systems, Fifth Edition
Chapter 10 Slide 43
Applications of Expert Systems & AI
Credit grantingShippingInformation management & retrievalEmbedded systemsHelp desks & assistanceMedical diagnosisWhale Identification