Page 75 - DCAP208_Management Support Systems

Management Support Systems

Notes Zj – Zj(x)
*
δ= ≤ d e
k
*
Z– Z * j
j
(X) ∈ F
Question
How to search for the efficient solutions? Discuss.
Source: http://indianresearchjournals.com/pdf/IJSSIR/2012/July/3.pdf

5.7 Summary

Modeling is a key element in most DSS and a necessity in a model-based DSS.
A static model takes a single snapshot of a situation. During this snapshot, everything
occurs in a single interval.

Dynamic models represent scenarios that change over time.
In decision making under certainty, it is assumed that complete knowledge is assumed
available – the decision maker knows exactly what the outcome of each course of action
will be.

In decision making under uncertainty, the decision maker considers situations in which
several outcomes are possible for each course of action.

In decision made under risk (a probabilistic or stochastic decision-making situation), is
one in which the decision maker must consider several possible outcomes for each
alternative, each with a given probability of occurrence.
Spreadsheets include extensive statistical, forecasting, and other modeling and database
management capabilities, functions, and routines.

Simulation is the appearance of reality. In MSS is a technique for Simulation conducting
experiments with a computer on a model of a management system.

Mathematical programming is a family of tools designed to help solve managerial
problems in which the decision maker must allocate scarce resources among competing
activities to optimize a measurable goal.

5.8 Keywords

Dynamic Model: Dynamic models represent scenarios that change over time.
Linear Programming: Linear programming (LP) is the best-know technique in family of
optimization tools in which all relationships among the LP variables are linear.

Mathematical Programming: Mathematical programming is a family of tools designed to help
solve managerial problems in which the decision maker must allocate scarce resources among
competing activities to optimize a measurable goal.
Modeling: Modeling is a key element in most DSS and a necessity in a model-based DSS.
Risk Analysis: Risk analysis is a decision-making method that analyzes the risk associated with
different alternatives.
Simulation: Simulation is the appearance of reality. In MSS is a technique for Simulation
conducting experiments with a computer on a model of a management system.

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