sharda_dss10_ppt_01(1) busniess intelligence and analytics

7/25/2019 sharda_dss10_ppt_01(1) busniess intelligence and analytics

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Business Intelligence and Analytics:

Systems for Decision Support(10thEdition)

Chapter 1:An Oerie! of BusinessIntelligence" Analytics" and Decision

Support


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Copyright 2014 Pearson Education, Inc.2

Application #ase 1$%

&ilt &roupe's lash Sales Streamlined yBig Data Analytics

*uestions for Discussion1$ +hat ma,es this case study an

e-ample of Big Data analytics.

/$ +hat types of decisions does &ilt&roupe hae to ma,e.


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earning Oecties

2nderstand today's turulent usinessenironment and descrie ho! organi3ationssurie and een e-cel in such an

enironment (soling prolems ande-ploiting opportunities) 2nderstand the need for computeri3ed

support of managerial decision ma,ing

2nderstand maor categories 4 applicationsof Analytics

earn the maor frame!or,s for managerialdecision ma,ing

(Continued)


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Opening 5ignette6

7agpie Sensing Employs Analyticsto 7anage a 5accine Supply #hain

E8ectiely and Safely #ompany ac,ground 9rolem 9roposed solution and results Ans!er 4 discuss the case uestions


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Opening 5ignette6

*uestions for the Opening 5ignette1$ +hat information is proided y the descriptie

analytics employed at 7agpie Sensing.

/$ +hat type of support is proided y the predictieanalytics employed at 7agpie Sensing.

;$ $ In !hat other situations might real?time monitoringapplications e needed.


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#hanging Business Enironment 4 #omputeri3ed DecisionSupport

#ompanies are moing aggressielyto computeri3ed support of theiroperations Business Intelligence

Business 9ressures@esponses@Support 7odel Business pressures result of todays

competitie usiness climate esponsesto counter the pressures Supportto etter facilitate the process


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Business 9ressures@esponses@Support 7odel


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Che Business Enironment

Che enironment in !hich organi3ationsoperate today is ecoming more andmore comple-" creating opportunities" and prolems$ E-ample: gloali3ation$

Business enironment factors: mar,ets" consumer demands" technology"

and societal6


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Business Enironment actors

FACTOR DESCRIPTION

Markets Strong competition

Expanding global markets

Blooming electronic markets on the Internet

Innovative marketing methods

Opportunities for outsourcing with IT support

Need for real-time on-demand transactions

Consumer !esire for customi"ation demand !esire for #ualit$ diversit$ of products and speed of deliver$

%ustomers getting powerful and less lo$al

Technology &ore innovations new products and new services

Increasing obsolescence rate

Increasing information overload

Social networking 'eb ()* and be$ond

Societal +rowing government regulations and deregulation'orkforce more diversified older and composed of more women

,rime concerns of homeland securit$ and terrorist attacks

Necessit$ of Sarbanes-Oxle$ ct and other reporting-related legislation

Increasing social responsibilit$ of companies

+reater emphasis on sustainabilit$


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Organi3ational esponses

Be eactie" Anticipatie" Adaptie"and 9roactie

7anagers may ta,e actions" such as Employ strategic planning$ 2se ne! and innoatie usiness models$ estructure usiness processes$

9articipate in usiness alliances$ Improe corporate information systems$ 6 more in your oo,


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#losing the Strategy &ap

One of the maor oecties of computeri3ed

decision support is to facilitate closing the gap

between the current performance of an

organi3ation and its desired performance" as

e-pressed in its mission" oecties" and goals"

and the strategy to achiee them$


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7anagerial Decision 7a,ing

7anagement is a process y !hichorgani3ational goals are achieed yusing resources$ Inputs: resources Output: attainment of goals 7easure of success: outputs F inputs

7anagement Decision 7a,ing Decision ma,ing: selecting the est

solution from t!o or more alternaties


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7int3ergs 10 7anagerial oles

Interersonal.) /igurehead

() 0eader1) 0iaison

In!ormational

2) &onitor3) !isseminator

4) Spokesperson

Decisional

5) Entrepreneur6) !isturbance handler

7) 8esource allocator

.*) Negotiator


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Decision?7a,ing 9rocess

7anagers usually ma,e decisions yfollo!ing a four?step process (a$,$a$the scientiGc approach)

1$

DeGne the prolem (or opportunity)/$ #onstruct a model that descries the

real?!orld prolem$

;$ Identify possile solutions to the

modeled prolem and ealuate thesolutions$

=$ #ompare" choose" and recommend apotential solution to the prolem$


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Support

1$ &roup communication andcollaoration

/$ Improed data management

;$ 7anaging data !arehouses and BigData

=$ Analytical support

>$ Oercoming cognitie limits inprocessing and storing information

$ Jno!ledge management

%$ Any!here" anytime support


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rame!or,

(y &ory and Scott?7orten"

1K%1)


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rame!or,

Degree of Structuredness (Simon"1K%%) Decisions are classiGed as

) Strategic planning (top?leel" long?range) 7anagement control (tactical planning) Operational control


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Che #oncept of DSS

DSS ? interactie computer?ased systems"!hich help decision ma,ers utili3e data andmodels to sole unstructured prolems

(Gorry and Scott-Morton, 1!1) Decision support systems couple the

intellectual resources of indiiduals !ith thecapailities of the computer to improe the

uality of decisions$ DS as an 2mrella Cerm Eolution of DS into Business Intelligence


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Business Intelligence (BI)

BI is an eolution of decision supportconcepts oer time

Chen:E-ecutie Information System Ho!:Eeryody's Information System (BI)

BI systems are enhanced !ith additionalisuali3ations" alerts" and performance

measurement capailitiesChe term BI emerged from industry


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DeGnition of BI

BI is an umrella term that cominesarchitectures" tools" dataases" analyticaltools" applications" and methodologies

BI is a content?free e-pression" so it meansdi8erent things to di8erent people

BIs maor oectie is to enale easy accessto data (and models) to proide usinessmanagers !ith the aility to conduct analysis

BI helps transformdata" to information (and,no!ledge)" to decisions" and Gnally to action


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A Brief


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Che Eolution of BI #apailities


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Che Architecture of BI

A BI system has four maor components a data !arehouse" !ith its source data

usiness analytics" a collection of tools formanipulating" mining" and analy3ing thedata in the data !arehouse

usiness performance management (B97)

for monitoring and analy3ing performance a user interface (e$g$" dashoard)


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A


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Business 5alue of BI AnalyticalApplications

#ustomer segmentation 9ropensity to uy #ustomer proGtaility raud detection

#ustomer attrition #hannel optimi3ation


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Application #ase 1$1

Sare


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in Business Intelligence

Ceradata 2niersity Het!or, (C2H) !!!$teradatauniersitynet!or,$com

BSI 5ideos (Business ScenarioInestigations)

!!!$youtue$comF!atch.QHRE>=aJA

Also loo, for other BSI 5ideos at C2H


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DSS?BI #onnections

Similarities and di8erences. Similar architectures" data focus" 6

Direct s$ indirect support Di8erent target audiences #ommercially aailale systems

ersus in?house deelopment ofsolutions

Origination @ Industry s$ Academia

So" is DSS Q BI .
http://www.teradatauniversitynetwork.com/http://www.teradatauniversitynetwork.com/http://www.youtube.com/watch?v=NXEL5F4_aKAhttp://www.teradatauniversitynetwork.com/


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Analytics Oerie!

Analytics. Something ne! or ust a ne! name for 6

A Simple Ca-onomy of Analytics

(proposed y IHO7S) Descriptie Analytics 9redictie Analytics

9rescriptie Analytics

Analytics or Data Science.


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Analytics Oerie!


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Application #ase 1$/

Eliminating IneTciencies at Seattle#hildren's


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Application #ase 1$=

Moneyball: Analytics in Sports and 7oies

*uestions for Discussion

1$


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Application #ase 1$>

Analy3ing Athletic Inuries

*uestions for Discussion

1$ +hat types of analytics are applied in theinury analysis.

/$


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Analytics

Big Data. Hot ust igU 5olume 5ariety 5elocity

7ore of Big Data and relatedanalytics tools and techniuesare coered in #hapter 1;$


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End of the #hapter

*uestions F #omments6


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C i ht 2014 P Ed ti I41

All rights resered$ Ho part of this pulication may ereproduced" stored in a retrieal system" or transmitted" inany form or y any means" electronic" mechanical"photocopying" recording" or other!ise" !ithout the prior!ritten permission of the pulisher$ 9rinted in the 2nitedStates of America$

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sharda_dss10_ppt_01(1) busniess intelligence and analytics