As I discussed in my previous article, a decision support system (DSS) is a computer-enabled information system, which allows decision-makers (such as managers, executives, etc. to make both unstructured and semi-structured decisions.
It is an interactive computer-based system and subsystem that allows decision-makers to leverage communications technologies, documents, data (information) knowledge, and/or models to complete the entire decision process tasks.
The artificial intelligence-driven system proposes data in graphic form and may involve an expert system.
It is specifically for business executives or some other group of knowledge workers.
It gathers the data that helps in solving problems and making better decisions.
Where can you use a decision support system?
A decision support system can be used in many ways. For example, the clinical decision DSS can be used for medical diagnosis, the bank loan officer can leverage it to verify the credit or the financial history of a loan applicant, or an engineering firm can use it to ensure if they are competitive with their expenditures.
A decision support system (DSS), this way, is mostly employed in management and business, which helps in identifying negative trends and better allocate business.
As technological advancements are progressing with each passing day, DSS isn’t confined to bulky and large-framed computers. Now, this software can be integrated with laptops, tablets, while some DSS apps are accessible via mobile devices.
For the users, who keep traveling most of the time, this app works as a highly beneficial tool.
Because a decision support system not only keeps them updated and informed but also lets them make an effective decision, based on their clients and business requirements.
What’s more, it is also capable of employing and analyzing data to make user choices.
A decision support system (DSS) has a huge amount of data that concentrates on the goal or predicts sales, revenue, sales figures, periods, and other inventories.
What are the key components of DSS?
A decision support system (DSS) comes with 3 main fundamental architectural components:
This is one of the main components of a decision support system. Since the users of this software are normally managers, policymakers, etc., who hardly have enough technical know-how; so it should have easy-to-use interfaces so that even a non-technical or novice can use it with ease and without any rigmarole.
Database Management System (DBMS)
A DBMS functions like a data bank for the DSS. It can store huge amounts of data gathered from varied sources. It helps with logical data structures for user interaction.
Inputs and outputs are stowed in the database. All the processing is carried out in the database.
DBMS informs the DSS user of how to make access to the database and the variety of data available.
Model-based Management System (MBMS)
An MBMS helps in fetching the data from DBMS and converting that data into information that helps in making an informed decision by the decision-making authority.
The system also helps the user with proper assistance for proper model development.
Based on the above discussion, the key components of DSS can be segmented as follows:
Inputs: These may include records, data factors, numbers, and characteristics for analysis.
User knowledge & expertise: For providing inputs, the user should not only have sufficient knowledge of the system but also know how to use it correctly and properly.
User interface: A decision support system must also provide a well-structured and easy-to-use user interface so that it supports model construction and model analysis.
Decisions: A decision support system helps generate results, based on user requirements.
What are the types of a decision support system?
There exist many different types of decision support system, which are listed as under:
DSS has file drawer systems, analytical data systems, data analytics systems, data storage systems, and allows accessibility and manipulation for huge structured data databases.
The model is the brainchild of many different specialties or fields and may entail accounting models, representative models, financial models, optimization models, etc.
The knowledge-based system concentrates on knowledge and suggests decision-makers make informed or effective decisions, considering some knowledge base analysis.
Stored procedures, predefined facts, limitations, and rules are also considered to solve problems.
It also comes with certain expertise and even relates to data mining for problem-solving.
The document-driven system also helps the decision-making authority acquire and handle web pages and unstructured documents by incorporating a variety of processing and storing technologies to help with a complete review of analysis and documents.
This communication-driven DSS system is also known as a group decision support system (GDSS). It has a team of experts who use their expertise to solve complex problems.
It lets managers and executives work together and reach the final solution to solve problems.
The communication-driven DSS uses technologies like Microsoft’s NetMeeting, Groove, etc.
How does DSS benefit your business?
A decision support system benefits your business in many ways. A few are as under:
- It helps save a sufficient amount of time by accelerating the process of decision-making.
- It helps improve communication between people via brainstorming sessions, meetings, etc.
- Reports created by DSS can be used as evidence.
- It helps in automating processes.
- It helps reduce costs.
How does DSS disbenefit your business?
A decision support system also disbenefits your business in several ways, a few are:
- Too much dependency
- Overload Information
- Unanticipated effects
- Reduction of status
- Cost in monetary
With that said, a decision support system (DSS) is immensely beneficial for any organization, looking to improve its business operations efficiency and performance.
The computer-based interactive system paves ways for how the systems function in a company and how a firm can improve its managers’ quality decisions.
Overall, a DSS is a business software that allows organizations to improve the quality of their work, reliability, and that accelerates and facilitates the decision process.
After reading the article about how a decision support system shifts and supports your data to allow you to make better decisions for your business, we hope that you want to know more about the company that can help you with the deployment of DSS
If you have any questions about this application or need some experts’ advice to implement the same, we would be happy to answer them in the comment section below.