Chapter 9 Terms
Terms in this set (38)
The science of fact based decision making.
The structure of a typical organization is?
Employees develop, control, and maintain core business activities required to run the day-to-day operations.
Made at the Operational Level. Arise in situations where established processes offer potential solutions. They're made frequently and repetitive in nature. They affect short-term business strategies
What are the steps of the Decision Making Process?
Employees are continuously evaluating company operations to hone the firm's abilities to identify, adapt to, and leverage change.
Made at the managerial level. They occur in situations in which a few established processes help to evaluate potential solutions, but not enough to lead to a definite recommended decision.
Managers develop overall business strategies, goals, and objectives as part of the company's strategic plan. They also monitor the strategic performance of the organization and its overall direction in the political, economic, and competitive business environment.
Made at the strategic level. They occur in situations with no procedures or rules to guide decision makers. They are infrequent, important, and related to long term business strategy.
a simplified representation or abstraction of reality. They help calculate risks, understand uncertainty, change variables, and manipulate time to make decisions.
Online Transaction Processing (OLTP)
An operational support system that captures transaction and event information using technology to
1) Process the information according to defined business rules.
2) Store information
3) Update existing information to reflect the new information.
Transaction Processing System (TPS)
The basic business system that serves the operational level and assists in making structured decisions.
What does CRUD stand for?
Creating, reading, updating, deleting
Online Analytical Processing (OLAP)
the manipulation of information to create business intelligence in support of strategic decision making.
Decision Support Systems (DSSs)
Model information using OLAP, enable high-level managers to examine and manipulate large amounts of detailed data from different internal and external sources.
What are the common DSS analysis types?
Goal Seeking Analysis
Checks the impact of a change in a variable or assumption on the model.
A special case of what-if analysis, is the study of the impact on other variables when one variable is changed repeatedly.
Goal Seeking Analysis
Finds the inputs necessary to achieve a goal such as a desired level of output.
an extension of goal-seeking analysis, finds the optimum value for a target variable by repeatedly changing other variables, subject to specified constraints.
Executive Information Systems (EIS)
A specialized DSS that supports senior-level executives and unstructured, long-term, non-routine decisions requiring judgement, evaluation, and insight. Deal with finer information instead of coarser information.
the level of detail in the model of the decision-making process.
produces graphical displays of patterns and complex relationships in large amounts of data.
tracks key performance indicators (KPIs) and critical success factors (CSFs) by compiling information from multiple sources and tailoring it to meet user needs.
the aggregation of data from simple roll-ups to complex groupings of interrelated information.
enables users to view details and details of information.
the ability to look at information from different perspectives.
Artificial Intelligence (AI)
Simulates human thinking and behavior.
Various commercial applications of artificial intelligence. Include sensors, software, and other devices.
What are the 5 categories of AI Systems?
computerized advisory programs that imitate the reasoning processes of experts in solving difficult problems. They are the most common AI system.
attempts to emulate the way the human brain works by analyzing large amounts of information to establish patterns and characteristics in situations where logic or rules are unknown.
A mathematical method of handling imprecise or subjective information. 0 and 1 are used to identify vague and known information.
an artificial intelligence system that mimics the evolutionary, survival of the fittest process to generate increasingly better solutions to a problem. It finds the combination of inputs that gives the best outputs.
the process within a genetic algorithm of randomly trying combinations and evaluating the success of the outcome.
special-purpose knowledge-based information system that accomplishes specific tasks on behalf of its users.
a computer-simulated environment that can be a simulation of the real world or an imaginary world.
The viewing of the physical world with computer generated layers of information added to it.