Every organization has different levels (strategic, management, operational) and with those levels are different decision making requirements. Decisions can be structured, semi-structured and unstructured. Structured decisions are usually at the operational level and unstructured are usually at the strategic level. Decision making can be made by individual employees or by teams or groups. Intelligence, design, choice and implementation are the four levels of decision making. Despite their intent systems to support decision making don't always have better outcomes because of problems with information quality, management filters an organizational culture.
Classic models of managerial activities stressed the functions of organizing, planing, coordinating, controlling and deciding. More modern research looks at the behavior of managers has found that the real daily activities of a manager are fragmented, brief in duration and variegated; and that is why many managers tend to avoid making grand game changing decisions. IT provides new tools for managers to carry out their daily activities. They are able to plan, forecast, monitor with better accuracy and speed than ever before. IS is great for helping mangers disseminate information and allocate information but there is still some opportunity around supporting unstructured decisions.
Business intelligence and analytics guarantee accurate, almost real-time information for decision making. A BI environment consists of information from the business environment, the BI infrastructure, a BA tool set, managerial users and methods and the user interface. There are six analytic functionalities that BI systems deliver to achieve these ends: pre-defined production reports, parametrized reports, dashboards and scorecards, ad hoc queries and searches, the ability to drill down and the ability to model scenarios and create forecasts.
Business within organizations uses BI for monitoring the performance of their company. Most of the decisions are somewhat structured and Management information systems are used to support the decision making. For making unstructured decisions decision support systems are used, which include powerful analytics and modeling tools. Group decision support systems (GDSS) help employees working together make decisions more efficiently. GDSS feature special conference room facilities where people can contribute ideas, suggestions and solutions using networked computers and software tools for organizing ideas, making and setting priorities, gathering information and documenting meeting sessions.
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