A
decision support system (DSS) is a computer-based information
system that supports business or organizational decision-making activities. [1]
The purpose of these systems are to allow
business executives to look at a collection of data and statistics, combine it
with their knowledge as business people and collectively identify problems and
make decisions to solve them. A combination of human and computer knowledge
seems to be the most beneficial, but a DSS can also be composed of strictly
computer software, or a team of people. These programs are engineered for the
business they are being used for and can be composed of multiple software
programs if necessary. Typical
informational outputs of a DSS are inventories of information assets,
comparative sales figures between one period and the next, and projected
revenue figures based on product sales assumptions. [1] Results in those
categories can shed light on areas of strengths and weaknesses. Once these
projections and comparisons are presented, decision-making becomes a lot
easier.
One
example of a DSS is a Data-Driven DSS. Briggs & Stratton is one of the
world’s biggest producers of gas engines for outdoor power equipment. They
manufacture over 11 million engines a year and use Data Driven DSS. A recent study by DSSResources.com showed
Briggs & Stratton used SAS BI to consolidated information and deliver it
globally to manufacturing offices. [2] This case in particular made score
cards for office executives around the globe using over 50 information-producing
workers. Since this company is considered a “global enterprise” and operates in multiple countries on multiple
continents a DSS can be very useful for joint decision-making. These branches
need to be cooperatively controlled. Decisions made inside of a company of this
magnitude need to be in sync. Using a DSS helps guide them in the right
direction.
DSS
also provides analysis and structure to an internal problem. The whole purpose
of the DSS is to make the most informed decision possible. Data-driven DSS is
just one of many forms a DSS can take. Some
other DSS focus on specific business models or communications. “The better the
manager understands the different categories, scope and use of DSS the better
he will be able to specify requirements for a DSS that he wants to implement of
buy”. [3]
In
closing the DSS is similar to an IS in the sense that
the user needs to be able to understand the information and what factors go
into obtaining that information for it to be useful. When the complex outputs
of a DSS can be understood and broken down, more educated business decisions
can be made and problems can be addressed correctly and swiftly.
[1] http://en.wikipedia.org/wiki/Decision_support_system
[3] http://www.umsl.edu/~sauterv/analysis/488_f02_papers/dss.html
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