Summary
We are in an era of constant evolution, both in the market and in technology. To survive, managers must be constantly changing and implementing them in their companies to keep them at a competitive level with a high level of productivity. All this, with a good performance of administrative functions and undergoing a continuous decision-making process.
The decision-making process is crucial, since the creation of a competitive advantage in the market depends on it. The traditional decision-making process was considered a talent acquired through a wealth of previous experience in a situation. Little by little, new methodologies were applied that helped the decision maker to improve his judgment. This methodology can now be implemented through decision support systems to do it quickly and effectively. A DSS helps the decision maker transform data into necessary strategic information. With its application, radical changes are generated in the organizational climate of the company and to achieve this transition correctly and implement a DSS certain important aspects must be taken into account.
It is important that as administrator you expand the landscape and accept the changes to maintain a competitive advantage in the market.
Content
In this age of constant evolution in the market and in technology, managers must be constantly changing to survive and prosper in the future. Companies face changing demands from their market and therefore, they must seek ways to achieve compliance and satisfaction to be ahead of the competition.
The responsibility of maintaining a company at the appropriate competitive level is of a correct administration achieving a high level of productivity. Administration, according to Turban, is a process where objectives are achieved using the necessary resources. Now, productivity is the main concern of a company because it will determine the well-being of all the members. All this depends on the correct performance of administrative functions (planning, organization, direction and control) and for this, it undergoes a continuous decision-making process.
In the business environment, a decision is crucial and becomes the solution to a problem or situation. A decision involves the process of obtaining and evaluating information about a situation, identifying possible alternatives, selecting the best one, and applying it to the situation. Administrators, who are the decision makers, determine the rules, models, or methods used in their decision making process.
The decision-making process is crucial, since the creation of a competitive advantage in the market depends on it. This process has managed to evolve according to the
changing market demands. The traditional decision-making process was considered an art, a talent acquired through a wealth of previous experience with a problem or situation. This experience was acquired through the trial and error method, learning from failed situations or similar cases. This process was based basically on the creativity, judgment, intuition and experience of the decision maker rather than on the quantitative methods that could be applied. Little by little the process was refining and applying new methodologies that helped the decision maker and improve their judgment. This change consists of:
- Determine the need for the decision Identify the criteria of the decision Assign weight to each criterion Develop possible alternatives (construction of scenarios) Evaluate the alternatives of the solution Select the best or the most optimal.
This methodology is still being implemented today, but the radical change is that there are computer systems that help automate this process and that provide the decision maker with the best solutions taking into account all the necessary information that influences the problem by offering solution scenarios. possible. This automation involves using technologies, including computational processing, to make decisions and implement programmed decision processes.
The creation of these systems that support the decision, are based on the needs of administrators to make decisions quickly and accurately. Currently, there is a lot of data and information about the market and there are many criteria to take into account when making a decision. Now, it is more difficult since there are a large number of alternative solutions, the cost of errors are great, there are continuous changes in the business environment and for this reason, decisions must be made quickly and accurately to respond to this changing market.
Faced with this problem, it is where the decision support systems (DSS) come in to improve the decision-making process. Companies have their priority to remain in the market and this is based on critical decision making, which can already be supported by these systems. It should be noted that a DSS unites the intellectual resources of individuals with the capabilities of the computer to improve the quality of decisions. It is a computer-based support for decision makers who face semi-structured problems.
A DSS helps the decision maker transform data into necessary strategic information. It provides a vision and possible scenarios, which guide the policy holder to know which option is the most optimal depending on the results he wants to obtain. Helps to disseminate market information to know the specific needs of the client and know how to act to maintain their level of competitiveness.
In order to point out and exemplify what decision support systems may impact the company's decision-making process, the case of the Norwegian Union Bank is presented. This case is applied to the financial sector. The main problem in this case is that they were losing direct contact with the client, they did not know what they wanted or needed. This was due to the fact that the information was dispersed in various systems and to analyze certain customer data wasted time and therefore higher costs. The solution was to implement a datawarehouse that allowed them to have a global view of customer data and that each employee could access it quickly and easily. Subsequent to this implementation,They decided to incorporate a CRM to analyze behavior and improve communication with the client. It should be noted that datawarehouse is a tool that helps disseminate information by consolidating it into a single database, making administrators have the necessary information quickly and effectively. With this case, it is observed how these new tools that are emerging in the business field help improve your productivity and decision-making in the face of the changing market.It is observed how these new tools that are emerging in the business field help improve your productivity and decision-making in the face of the changing market.It is observed how these new tools that are emerging in the business field help improve your productivity and decision-making in the face of the changing market.
With this improvement in the decision-making process, radical changes are generated in the organizational climate of the company, since the traditional form of decision-making is changed to a more technological and computerized form. In order to successfully complete this transition and implement a DSS to improve this process, certain important aspects must be taken into account:
- Have the business information integrated. Maintain an excellent flow of information throughout the company, that is, that everyone has the necessary information to carry out their business performance. Maintain effective communication, that is, that everyone is informed of business changes. and the decisions to be made that involve each area of the company. Consider technological aspects, that is, obtain the correct technological infrastructure for the proper functioning of the DSS. Take care of the organizational culture, that is, be aware of the situation of each employee In the face of these organizational changes and with this, avoid resistance to change, which would affect the correct performance and use of the system. Have correct planning and well-defined organizational strategies.
It is an important factor that information technologies have evolved to improve a process as important for companies and managers as decision-making. This new approach helps the administrator to disseminate crucial information and guide you through scenarios of possible solutions with your results. It is important that as administrator you expand the landscape and accept the changes to maintain a competitive advantage in the market.
conclusion
Information technologies are constantly developing and this is due to the constant growth of each market. The business sector is a great example of this, since it has ventured into the implementation of technologies that have helped improve its performance and seek to improve its service.
Information is a critical factor for business success. It is essential for making a decision but currently there are large amounts and very diverse that the important thing is to know how to collect, order, disseminate and manipulate this information in order to give it added value. That is why the DSS supports administrators in dealing with this problem.
It is important to point out the benefits that a DSS can generate in this process. In my opinion, it helps improve communication in the company, increases productivity, has access to a datawarehouse to manipulate information, reduces costs, achieves customer satisfaction, and creates a competitive advantage in the market.
With all this, an open scenario is created for the acceptance of new technologies that help change the traditional processes of companies to achieve an improvement in their effectiveness, quality and speed. The decision-making process is vital for a company and that better than being supported by a system that offers countless benefits, you just have to open your mind and allow organizational change.
Bibliography
- Turban, Efraim, Aronson, Jay E. (2005). Decision Support Systems and Intelligent Systems. Editorial Prentice Hall. Seventh edition. ISBN: 0-13-046106-7. Power, Dan. (2005). "What is decision automation?". Decision Automation Resources. Accessed on February 24, 2006, from: http://decisionautomation.com/.Fang, Miao-Ling. (2006). "Evaluating Ethical Decision-Making of Individual Employees in Organizations-An Integration Framework". Journal of American Academy of Business, Cambridge. Retrieved February 24, 2006, from: http: // 0- proquest.umi.com.millenium.itesm.mx/pqdweb?index=6&did=957238951&SrchMode=.1&sid=3&Fmt=3&VInst=PROD&VType=PQD&RQT=309&VName= = 114106072. 3 & clientId = 23693
- Ashley, William. Morrison, James. (2004). "Anticipatory Management: Tools of better decision making". DSSResources.com. Accessed February 24, 2006, from: http://dssresources.com/papers/features/ashley&morrison/a&m01032004.htmlPower, DJ (2002). "A brief history of Decision Support Systems". DSSResources.com. Accessed on February 24, 2006, from: http://dssresources.com/history/dsshistory.html Anonymous. (2004). Union Bank of Norway. Teradata. Accessed on March 22, 2005, from:
