Session 5: Decision-Support and Knowledge Management

On Week 5, we learned about the different levels and classes of decision-making within a company. There are structured decisions, unstructured decisions and semi-structured decisions to be made at each level of a business. Depending on the class and the level at which the decision is made, different information systems or technlogies may be used to assist the decision-maker.

The major decision-support systems we looked at include: management information systems, model-based decision-support systems and business intelligence (or data-based decision-support systems. MIS provides regularly scheduled hardcopy reports that can be used in structured decision-making, while model-driven or data-driven DSS supports unstructured and semi-structured decision making.

Sensitivity analysis or performing "what-if" analysis is a common technique for using model-driven DSS. Here are some examples of model-driven DSS that you may try out online:

Break-even Calculator

Online Customer Lifetime Value Calculator (from Harvard Business School)

As you try out the examples, ask yourself what types of decisions may be supported by asking "what-if" questions through these models. I've also posted a short movie of how a model-based DSS may be used on SOUL.

We also discussed the class answers for Tutorial 4: Business Intelligence with the Hong Kong Jockey Club as our case study company. Model answer will be posted on SOUL as well.