DECISION SUPPORT SYSTEM
DR. IZWAN NIZAL MOHD SHAHARANEE
KU MAHIRAHHASNA BT KU ADNAN
1. Compare decision making and problem
solving. Determine whether it makes sense to distinguish between the two.
Decision making can be considered as a
deliberation that is figuring out what action need to be taken in order to
maximize the expected benefit. Due to uncertainty there may be no assure that
the result of the action might be the one meant, and the great one can hope for
is to maximise the chance of an ideal outcome. The process rests on the idea
that an excellent decision is one which outcomes for an excellent
decision-making process that considers all essential elements and is explicit
about decision alternatives, preference and uncertainty (Druzdzel
and Flynn, 2002).
Based on D’Zurilla and Chang (1995)
“problem solving refers to the rational look for an answer through the
application of problem solving abilities and techniques which are designed to
maximise the chance of locating the “best” or most adaptive solution for a
Decision making and problem solving
are quite similar activities but the foremost distinction among the two are
problem solving is a technique whilst decision making is a process. Some people
consider decision making as the first three steps in problem solving that is
problem definition, problem analysis and generating possible solution. Others
use the terms interchangeably. Another name of problem solving, is solving a
problem. This is means a method in which a group or a person makes something
advantageous out of problem. Meanwhile, decision making is the process that is
carried out typically for the duration of problem solving. Decision making is
the important thing so that a person can achieve the best conclusion in problem
solving. Problem solving is more an analytical aspects of thinking and also use
the intuition in getting the facts. Meanwhile, decision making is more of a
judgement where after a person think something then the person will take an
action. However, decision making and problem solving need a certain set of
abilities for every different to be greater powerful.
2. What is DSS, Business Intelligence,
Business Analytics, and Predictive Analytics? How these concepts are related to
Based on Druzdzel
and Flynn (2002), “decision support systems are interactive,
computer-based systems that aid users in judgement and preference activities.
It’s provide the information storage and retrieval however decorate the
traditional facts get entry to and retrieval capabilities for model
constructing and model-based totally reasoning. Its assist framing, modelling
and problem solving.
Business Intelligence (BI) is an
umbrella term that combines architectures, tools, databases, analytical tools,
applications and methodologies. It’s most important goal to enable interactive
access (from time to time in real time) to data, enable manipulation of these
data, and to provide business managers and analysts the capacity to behaviour
An application and strategies for
collecting, storing, analysing and imparting get admission to data to assist
users make higher and strategies decisions and additionally referred to as an
analytical processing, business intelligence tools or business intelligence
applications, that is business analytics.
Predictive analytics is using
statistical techniques and data mining to decide what’s likely to appear inside
the future. Business use predictive analytics to forecast whether customers are
probable to interchange to a competitor, what customers are likely to shop for,
how possibly customers are to respond to an advertising, and whether or not
customer is creditworthy. Predictive analytics also have used in sports team to
discover the gamers maximum possibly to make contributions to a group’s
achievement (Efraim et al., 2007).
These concepts are related to each
other where Business Intelligence (BI) uses
a data warehouse, whereas decision support systems can use any data supply
consisting of data warehouse. Most decision support system (DSS) are
constructed to support decision making at once, while most business
intelligence (BI) systems are constructed to provide data that it is believed
will cause progressed decision making. Business intelligence (BI) has an
approach to executive orientation while decision support system (DSS) are
commonly oriented toward analysts. Business intelligence (BI) systems have a
tendency to be evolved with commercially to be had tools, whereas decision
support system (DSS) generally tend to apply more custom programming to cope
with issue that can be unstructured. Decision support system (DSS)
methodologies and tools originated in large part in academia, whereas business
intelligence (BI) arose largely from the software industry. Many business
intelligence (BI) tools, such as information mining and predictive analysis,
have turn out to be taken into consideration, decision support system (DSS)
tools are properly. Technically, business analytics provides a further measurement
to business intelligence (BI) models and answer methods. These are often buried
so deep within the tools, however, that the analyst need not get his or her
hands “dirty.” Typically, the terms are used interchangeably.
3. Why it is important to focus on the
effectiveness of a decision, not necessarily the efficiency of making a
The effectiveness of a decision
impacts a corporation for as long as the decision subjects, and as
significantly because the decision scope. The efficiency of creating the
decision influences most effective the decision-making procedure itself. The
different among effectiveness of a decision-making and efficiency in
decision-making enables decision support systems (DSS) analysts understand the
impact of decision support system (DSS) on decision behaviour. Keen and Scott
Morton (1978) present the subsequent reasons of these important concepts,
“Effectiveness in decision making requires us to deal with the manner of
figuring out what have to be carried out at the same time as efficiency in
decision making addresses the way performing a given defined task to be able to
obtain outputs in addition to feasible, relative to a few overall performance
efficiency generally takes the form of minimizing time, cost or effort to
finish a decision making activity. Effectiveness specializes in what activities
must occur, enhancing the decision method, and improving data used for a
decision making, specifically facts and content material used inside the
decision process. A focal point on effectiveness requires decision-makers to
evolve and examine, to make a responsive adjustment to modifications within the
environment for and within which they make decisions (after Bennett 1983, p.2).
“Good” decisions are extra effective decisions and consequently decision
support system (DSS) must improve content material utilized by a decision maker
and improve the decision process.
company are about to buy a new machine / software. Using Simon’s four-phase
model, describes your activities at each step.
The company needs a new machine to
make the mission of a new project become successful.
We do the survey among employees to know what improvements
are available to us because they may have friends and contacts at other
companies in our industry. They may also be able to tell us if parts for a new
piece of equipment we are considering can be easily replaced or repaired. The price is important in deciding what to purchase, but the
greater focus should be on quality and value. We will go to auctions, liquidation sales, garage sales and do
some research the model online to get feedback from customer to find deals.
We are considering to choose new machine because production
can be improved and can be timely completed.
company will buy the machine.
5. Explore at least THREE (3) decision
analysis software vendor / company websites. Identify the purpose of the
software / applications that the vendor offers and the organizations that have
had successes with them.
The presence of decision analysis software vendor/web pages
of companies has emerge as a trading lifestyle in contemporary society. These
business application are used to growth and measure productivity also to carry
out different business capabilities appropriately. The vendor’s sophistication
excites the technology of apps allowed through e-commerce, bringing to sharp
modifications inside the software industry. Business software vendor or a
business application is any software or set of system software utilized by
business users to perform numerous business capabilities specifically in
marketing. For instance the business software selected inclusive of Zalora,
Amazon and Apple.
Zalora is Asia’s leading online fashion
destination, also the largest and fastest growing fashion focused e-commerce
site in Southeast Asia. Starting early 2012, Zalora operates as The Iconic in
Australia and New Zealand, and under its own brand in Brunei, Hong Kong,
Indonesia, Malaysia, the Philippines, Singapore, Taiwan, Thailand, and Vietnam.
The brand goals to convey excessive avenue fashion to the mass marketplace.
There are more than 500 top international and local brands and designers that
Zalora offering for customers shop from thousands of products for men and
women. Plus, Zalora offer a thirty-day free return policy, speedy deliveries
within 1-3 working days, free delivery over a certain spend, and multiple
payment methods including cash-on-delivery.
It’s also easy navigation and intuitive operation because the online
store is well laid out and easy to use. The customers are guided through the
shop step by step to complete their purchase quick and easily when searching
products in Zalora.
is very simple and safe shopping because it has a various secure payment
options. The current status of the order and tracking number can be follow up
by customers until delivery. On Zalora, customers will find big brands such as
Nike, America Apparel, New Look, River Island and many more.
Amazon wasn’t the first online
organization, however it’s far one of the most innovative. Amazon’s achievement
began with one merger product category this is books. But it didn’t stay that
way. Jeff Bezos had the concept that Amazon would grow to be “the everything
store”, and it did. The creation of the Kindle didn’t beat other e-readers to
market, however Amazon’s became the most popular. Business insider reviews
numerous new innovative products and services coming from the organization. One
service is known as Amazon Locker that could be a secure service for brand New
Yorkers, Londoners and Seattleite. Starting up as an online bookstore, Amazon
now gives the whole thing from soup to nuts. The organization now carries
products in music, books, electronics, health and beauty, automotive, grocery
and clothing. Amazon achievement factors are closely tied to Jeff Bezos in his
innovation and preference to preserve moving forward has pushed the company
further than early critics believed feasible. Regardless of the way you have a
look at it, Amazon has grown up from a touch online bookstore to an industry
giant. We can say Amazon created industry for overall domination.
Apple’s current mission announcement is “Apple
designs Macs, the best private computer systems in the global, together with OS
X, iLife, iWork and professional software program. Apple leads the digital tune
revolution with its iPods and iTunes online store. Apple has reinvented the
mobile phone with its innovative iPhone and App store, and is defining the
destiny of mobile media and computing devices with iPad”. Apple is the most a
success organizations are capable of create new networks via a progressive imaginative
and prescient that executes a commercial enterprise approach that fits with the
prevailing philosophy of lifestyles. Apple gets us communicating with buddies
via social networks, listening to music, making and editing images, playing
video games and “looking cool” in an unmarried vision of what a successful 21st
century individual aspires to. The latest additions in Apple services are the
iCloud storage service and Apple Watch, which could communicate data of one’s
body and health status to different gadgets. On 2014, in a deal that might
deepen Apple’s income to organization and make stronger IBM’s position in
business software, the two organizations announced a wide-ranging partnership
intended to spread advanced mobile and information evaluation generation within
the corporate global. IBM and Apple have been operating collectively on the
project for numerous months, and they are collectively running on greater than
100 business software programs to develop completely for Apple’s IOS running machine
and for use on iPhones and iPads. The programs might be tailor-made to be used
in industries together with retail, health care, transportation, banking,
insurance, and telecommunications. The organizations planned to combine
information analysis, cloud and mobile technology with Apple’s smartphones and
tablets, turning the gadgets into decision making tools instead of ones used
especially for e-mail, text-messaging and contacts. The long-time period aim is
to apply the era to “reimagine how work is done” and to “unlock value, remake
professions and transform companies”. The applications, will bring “big data
analytics down to the fingertips” of Apple iPhone and iPad customers in
& Steve Lohr. (2014, July 15). Apple Joins With IBM on Business
Software. The New York Times California.
Druzdzel, M. J. and
Flynn, R. R. (2002) ‘Decision Support Systems’, Encyclopedia of Library and
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Jay E. Aronson, Ting-Peng Liang, & Ramesh Sharda. (2007). Decision
Support and Business Intelligence Systems. Pearson Pretince Hall,
Laursen, G. and
Thorlund, J. (2010) ‘Business Analytics’, p. 273. doi:
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