Frequently the quality of decision-making in a company is influenced by the information that is available, so that in many cases the best decision is not made due to lack of the necessary information or because even with it; It is not useful because it is too complicated and it is necessary to scrutinize the data, therefore it is difficult for the decision maker to digest in order to choose the best decision for the company.
The ability of computers to extract precise, concise and relevant information, using database managers for this, has led to an increasing valuation of data processing devices, these are entrusted with the task of selecting, filter and present the information to managers so that they have the best information for decision-making.
Decision Support Systems (DSS) are today an indispensable tool for large companies, a tool that helps them in making more important decisions and thanks to which many companies have had great savings in both time and in money regardless of the line of business of said companies that ranges from financial, construction, manufacturing, service companies, etc. It is important for SMEs to see the success that DSS has brought to these large companies and how one of these systems can be adapted to the requirements of a SME to get the most out of these systems, for this it is important to mention some characteristics of the DSS, its definition, its components, the types of DSS that exist and some other concepts related to the DSS.
Let's start with the Definition.
Scott Morton defines DSS as " An interactive computer-based system which helps decision makers using models and data to solve unstructured problems " (Gorry and Scout Morton, 1971).
Scott Morton himself gives another definition of DSS a few years later and defines it as “Decision Support Systems couple the intellectual resources of individuals with the capabilities of computers to improve the quality of decisions. It is a computer-based system for decision makers dealing with semi-structured problems ”. (Keen and Scott Morton, 1978)
But the most accepted definition of a DSS is "System created to support decision-making in semi-structured decision situations."
Here we find that DSS helps make decisions as its definition says, but what types of decisions can be made:
Structured, semi-structured and unstructured.
- Structured Decision: It is made according to specific processes. Unstructured Decision: High degree of freedom and uncertainty. Decisions for which the information obtained from a computer system is only a portion of the total knowledge required to make a decision. Semi-structured decision: There are structured components (fixed data, models or decision rules), but the decision belongs to the human.
A DSS is distinguished from the rest of the systems that a company may have because it is made up of the following elements: Decision model, Database (s), User interface and analysis of scenarios What if (what if?) And Goal seek (goal search).
Let's talk a bit about scenario analysis, what it is and what it is for.
These scenarios essentially serve the decision maker as well as the company; To project what will happen in the future if this or that decision is made, a clear example would be in a financial institution, if I invest more percentage of the profits than would happen if the stock market goes down or up, how the results of the decision made over time.
The Database is an extremely essential part in a DSS, here you will find all the current and historical data of the company, this database must be organized in a simple way for easy access to the applications developed that will serve to extract the information necessary for decision making.
Likewise, we can mention that the user interface is another fundamental component in a DSS, this interface should provide the user with ease to explore the information through clear screens, with the relevant information highlighted and well-structured reports obtained in a short time interval through the application used.
A main characteristic that a DSS should have is the ease that it should give a user, without the user having to have extensive computer knowledge; to use it and also create your own decision models.
It is possible to distinguish between some characteristics that the DSS must have the following.
- Type of DecisionsInteractivityFlexibilityInterorganizational communicationSimplicity of useFrequency of useThat allows the development of decision models.
DSS and SMEs
If decision support systems have helped large corporations, why could they not help SMEs in decision making?
Nowadays it is necessary for every company to incorporate new technologies to adapt to the new times and remain competitive in the market that is being attacked, as well as to cover new markets. SMEs need to be up-to-date with this technology, therefore they should see the possibility of integrating a DSS that helps them make important company decisions, integrate technology that helps them have greater efficiency, speed in time with their customers and suppliers, themselves; that helps the company to be more competitive and more productive.
By relying on a tool as important as a DSS, SMEs could obtain the following benefits.
- Shorter response times Support at different management levels Flexibility in the results Possible scenarios over a certain time. Formation of a database with current and historical information on the company. Sharing knowledge between different areas of the company. Tangible savings in time and money.
The impact that information technologies generally have is seen in companies, people, governments and any entity that must use a computer to carry out their daily activities. It is important that SMEs look to the future and begin to make use of information technologies, the decision-making process is linked to information technologies and greatly affects many people and organizations, why not do This process is somewhat simpler and with a vision for the future through the creation of a DSS, it is not necessary to acquire the application already made, it can be done at home with the appropriate human personnel and trained in the technological tools necessary for its creation.
Bibliography
Turban Efraim, Aronson Jay E. (2001) Decision Support Systems and Intelligence Systems, Prentice Hall. Sixth edition
Decision Support System (DSS), without Author;
Bañuelos Álvarez, Víctor Manuel, The need for DSS in SMEs, Business Solutions.
