Q. Why do we use computerized Decision Support system?
Ans. Today's computerized systems possess capabilities that can facilitate decision support in a number of ways, including the following:
Speedy computations: A computer enables the decision maker to perform many computations quickly and at a low cost. Timely decisions are critical in many situations, ranging from a physician in an emergency room to a stock trader on the trading floor. With a computer, thousands of alternatives can be evaluated in seconds. Futhermore, the benefits-to-cost ratio of computers and the speed of executions are constantly increasing.
Improved communication and collaboration : Many decisions are made today by groups whose members may be in different locations. Groups can collaborate and communicate readily by using Web-based tools. Collaboration is especially important along the supply chain, where partners-all the way from vendors to customers.
Increased productivity of group members: Assembling a group of decision makers, especially experts, in one place can be costly. Computerized support can improve the collaboration process of group and enable its members to be at different locations (saving travel costs). In addition; computerized support can increase the productivity of staff support (e.g., financial and legal analysts). Decision makers can also increase their productivity by using software optimization tools that help determine the best way to run a business.
Improved data management: Many decisions involve complex computations. Data for these can be stored in different databases
anywhere in the organization and even possibly at Web sites outside the organization The data may include test, sound, graphics, and video, and they can be in foreign languages, it may be necessary to transmit data quickly from distant locations. Computers can search, store, and transmit needed data quickly, economically, securely, and transparently.
Managing gaint dala warehouses: Large data warehouses, like the one operated by Wai-Mart, contain terabytes and even petabytes of data. Computers can provide extremely great storage capability for any type of digital information, and this information can be accessed and searched very rapidly. Special methods, including parallel computing, are available to organize
Quality support: Computers can improve the quality of decisions made. For example, more data can be accessed, more alternatives can be evaluated, torre can he proved, rist analysis can be performed quickly, and the views of experta (some of whom are in remote locations) can be collected quickly and at a reduced cost. Expertise can even be derived directly from a computer system using artificial intelligence methods. With computers, decision makers can perform complex simulatios, check many possible scenarios, and assess diverse impacts quickly and economically.
Agility support: Competition today is based not just on price. but also on quality, timeliness, costomization of products, and customer support. In addition, organizations most be able to frequently and rapidly change their mode of operation, reengineer processes and structures, empower employees and innovate in order to adapt to their changing environments. Decision support technologies such as intelligent systems can empower people by allowing them to make good decisions quickly, even if they lack some knowledge.
Overcoming cognitive limits in processing and storing information: According to Simon (1977), the human mind has only a limited ability to process and store information. People sometimes find it diffucult to recall and use information in an error-free fashion due to their cognitivfe limits. The term congnitive limits indicates that an individual's problem-solving capability is limited when a wide range of diverse information and knowledge is required. Computerized systems enable people to overcome their cognitive limits by quickly accessing and processing vast amounts of stored information..
Using the Web: Since the development of the Internet and Wab makers are supported. Most important, the Web provide
(1) access to a vast body of data, information, and knowledge available around the world;
(2) a common, user-friendly graphical user interface (GU) that is easy to learn to use and readily available;
(3) the ability to effectively collaborate with remote partners; and (4) the availability of intellnt search tools that enable managers to find the information they need quickly and inexpensively.
Anywhere, anytime support: Using wireless technology, managers can access information anytime and from anyplace, analyze and interpret it, communicate with those involved.
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