Decision support systems are a subset of business intelligence aimed at helping organizations make informed business decisions based on vast troves of analysed data. It helps corporate to increase market share, reduce costs, increase profitability, and enhance quality. The nature of problem itself plays the main role in a process of decision making.
The decision maker employs computer technology to: (a) organize the information into problem factors, (b) attach all the attributes to a model, (c) use the framework/ model to simulate alternatives, and (d) select the best course of action.
The DSS can either be completely computerized or powered by humans. In some cases, it may combine both. The ideal systems analyse information and actually make decisions for the user.
DSS assists decision makers in semi-structured and unstructured problems (which cannot be solved by standard procedural methods or tools), employing human judgment and computers. A structured decision is one in which the phases of the decision-making process (intelligence, design, and choice) have standardized procedures, clear objectives, and clearly specified input and output.
An unstructured decision is one where not all of the decision-making phases are structured and human intuition plays an important role.
DSS carries out all parts of the decision-making process: intelligence, design, choice and implementation.
Decision Support System
