Short note: Decision Support System

A Decision Support System (DSS) is a computer-based information system that helps managers make decisions about semi-structured and unstructured problems by analysing data, models and knowledge, rather than by making decisions itself.

Components

• Database / data warehouse: stores internal and external data for analysis.
• Model base: statistical, forecasting, optimisation and what-if models.
• User interface: dialogue module for queries, reports and graphs.

Features

• Supports, but does not replace, human judgement.
• Interactive and flexible; supports what-if and sensitivity analysis.
• Works on summarised, historical and current data.

Uses: sales forecasting, budget planning, stock control, loan approval, crop planning.

A data warehouse with OLAP and data mining tools forms the data side of a modern DSS: the warehouse supplies clean integrated data, OLAP lets the manager view it from many angles, and data mining finds hidden patterns that support the decision.