100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Summary Management Information System Chapter 12 : Enhancing Decision Making $3.58
Add to cart

Summary

Summary Management Information System Chapter 12 : Enhancing Decision Making

 673 views  0 purchase
  • Course
  • Institution
  • Book

Summary of Management Information System Chapter 12 : Enhancing Decision Making

Preview 2 out of 5  pages

  • No
  • Chapter 12
  • January 6, 2019
  • 5
  • 2017/2018
  • Summary
avatar-seller
CHAPTER 12 –
ENHANCING DECISION MAKING
WHAT ARE THE DIFFERENT TYPES OF DECISIONS AND HOW DOES
THE DECISION-MAKING PROCESS WORK? HOW DO INFORMATION
SYSTEMS SUPPORT THE ACTIVITIES OF MANAGERS AND
MANAGEMENT DECISION MAKING?

 Business Value of Improved Decision Making
o Improved decision making may add value to the business (in form of
cost savings or increased revenue).
o Improving decisions at all levels adds up to a large annual value for
the business.
 Types of Decisions
o Unstructured - the decision maker must provide judgment,
evaluation, and insight to solve the problem
o Structured - involve a defnite procedure for handling them so that
they do not have to be treated each time as if they were new
o Semistructured - only part of the problem has a clear-cut answer
provided by an accepted procedure
 The Decision Making Process (4 stages)
1. Intelligence - discovering, identifying, and understanding the
problems occurring in the organization
2. Design - identifying and exploring various solutions to the problem
3. Choice - choosing among solution alternatives
4. Implementation - making the chosen alternative work and continuing
to monitor how well the solution is working
 Managers and Decision Making in the Real World
o Managerial Roles
 The expectations of the activities that managers should perform in
an organization.
 Classical model - the fve classical functions of managers as
planning, organizing, coordinating, deciding, and controlling
 Behavioral model - state that the actual behavior of managers
appears to be less systematic, more informal, less refective, more
reactive, and less well organized
 Interpersonal roles = managers act as fgureheads for the
organization when
they represent their companies and perform symbolic duties
 Informational roles = managers act as the nerve centers of their
organizations, receiving information and redistributing it to those
who need to be aware of it

,  Decisional roles = managers act as decision makers to handle
entrepreneurship, disturbance, resource allocation, and
negotiation
o Real-World Decision Making
 Information Quality - If the output of information systems does not
meet quality criteria, decision making will sufer
 Management Filters – Managers have selective attention, focus on
certain kinds of problems and solutions, and have a variety of
biases that reject information
 Organizational Inertia & Politics - Organizations are bureaucracies
with limited capabilities and competencies for acting decisively
 High-Velocity Automated Decision Making
o Today, many decisions made by organizations are not made by
managers, or any humans.
o The class of decisions that are highly structured and automated is
growing rapidly.

HOW DO BUSINESS INTELLIGENCE AND BUSINESS ANALYTICS
SUPPORT DECISION MAKING?

 Business Intelligence
o “Business intelligence (BI)” is a term used by hardware and
software vendors and information technology consultants to describe
the infrastructure for warehousing, integrating, reporting, and
analyzing data that come from the business environment, including
big data. “Business analytics (BA)” is also a vendor-defned term
that focuses more on tools and techniques for analyzing and
understanding data.
o Business intelligence and analytics are essentially about integrating
all the information streams produced by a frm into a single, coherent
enterprise-wide set of data, and then, using modeling, statistical
analysis tools (like normal distributions, correlation and regression
analysis, Chi square analysis, forecasting, and cluster analysis), and
data mining tools to make sense out of all these data so managers
can make better decisions and plans.
 The Business Intelligence Environment
o There are six elements in this business intelligence environment:
 Data from business environment
 Business intelligence infrastructure
 Business analytics toolset
 Managerial users and methods
 Delivery platform – MIS, DSS, ESS
 User interface
 Business Intelligence and Analytics Capabilities

2

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller anitaeva. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $3.58. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

52510 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$3.58
  • (0)
Add to cart
Added