Weekly Questions Strategic Decision Making

1. Define TPS & DSS, and explain how an organisation can use these systems to make decisions and gain competitive advantages

TPS is transaction Processing system is a type of information which collects and stores data which is fundamental in running the business. 

Example of a TPS is an eftpos machine or credit card machines

DSS are data support systems this system assist companies in analysing data which is essential in running the company. 

Microsoft Excel is a good example of a DSS

by using this system companies can improve performance cash flow can be improve because financial settlements is quick by using TPS. DSS can help in projecting future profits and needs of the company to reach goals.

2. Describe the three quantitative models typically used by decision support systems.

Sensitive analysis compares the changes and the impact of the changes on the models of the business.

What if analysis by using values projected outcomes can be achieved

Goal seeking analysis finds the necessary value to achieve a target 

3. Describe a business processes and their importance to an organisation.

Business process is the mechanism in which products and services are created.

Business Process is important in business because this makes the production of products easier and more efficient this will lead to lower production cost which will increase the profit of the company.

4. Compare business process improvement and business process re-engineering.

Business Process improvement is reviewing and analysing a current business process and finding ways to improve the existing process to make it more effective and efficient. 

Business process Re-engineering is creating a new business process by adding or removing process that will help the company achieve the goals it has set for itself.

5. Describe the importance of business process modelling (or mapping) and business process models.

Business process modelling outlines the process of the business this gives us a glimpse on the actual operation, gives us accuracy and a picture on what is going to happen once the process is operating.