1. Define TPS & DSS, and explain how an organisation can use these systems to make decisions and gain competitive advantages
Transaction processing system (TPS) is the basic system that serves the operational level (analysts) in an organisation. For example, operational accounting systems such as payroll.
A decision support system (DSS) models information to support managers and business professionals during the decision making process. For example, Wellington taxi company's GPS system.
2. Describe the three quantitative models typically used by decision support systems.
Sensitivity Analysis
Study of the impact that changes in a model have on other parts of the model. Often users change one variable to observe the resulting changes in other variables.
http://www.rockresearch.com/images/Price%20Sensitivity%20Analysis.bmp
What-if analysis
Tests the impact of a change in assumption on the proposed solution and is repeated until all effects of various situations are understood.
Goal-Seeking Analysis
Finds the input necessary to achieve a goal by repeatedly changing variables until the goal is achieved.
3. Describe business processes and their importance to an organisation.
Business processes are a standardised set of activities that accomplish a specific task. Business processes transform a set of inputs into a set of outputs (goods or services) for another person/process by using people and tools.
By optimising and automating business processes a logical business process can be achieved which reduces undesirable occurrences in a business such as bottlenecks, eliminating duplicate activities, and identifies smooth-running business processes. Business processes therefore enable organisations to fulfil business goals such as reduced service time and increased profits by creating an efficient system which utilises all resources.
4. Compare business process improvement and business process re-engineering.
Business process improvement BPI) understand and measures the current process and make performance improvements accordingly, whilst business process re-engineering (BPR) is the analysis, redesign and reorganisation of workflow within and between enterprises.
BPI based on the assumption that the current process is relevant, works to some degree but could be improved to better meet business goals. BPR, however, assumes that the current process is irrelevant, does not work and must be completely overhauled. BPR can be an advantage as it allows the business process designers to disassociate themselves from the previous process and focus on the new process, whilst BPI can disadvantage developers by constraining them within an existing process. However, BPR is also hazardous because it is a time and resource consuming process that may impede a business from keeping up with its competitors in ventures such as new products. BPI carries far less risk because the process does not cause a large amount of disruption to an organisation as it causes fewer changes. As a result BPI can also be used more frequently, while BPR must be used infrequently.
http://en.wikipedia.org/wiki/Business_process_improvement
http://en.wikipedia.org/wiki/Business_process_reengineering
5. Describe the importance of business process modelling (or mapping) and business process models.
Business Process Modelling (mapping)
Activity of creating a detailed map of a work process in the form of a flowchart or process map, showing its inputs, tasks and activities in a structured sequence.
Business Process Models
A graphic description of a process showing the sequence or process tasks, which are developed for a specific purpose and from a selected viewpoint.
https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhpfZ2Pw1bOsRQN_098e1BbSt7XTghyDjS5HHv0vUlBHMFeBGF5K9Vz6Ohx450UHeZOv07BIry2lyZqdPN9QKFUb99iXZ6XldM9XYua8-hCP4Dm-tMxTtEtYwD8oidR2hTl5lhn7-GtrkYf/s400/bpmsolution.gif
Business Process Modelling is important as it creates a visual representation of the business process which are sometimes invisible due to technology. Business process modelling is an important part of the process of BPI and BPR. As-is process models map an existing business process. Thus they are extremely important in BPI as they allow designers to view the inefficiencies in the existing business processes. Furthermore, in the processes of BPI and BPR they enable designers to convey new business processes in to-be process models which can be easily be distributed throughout the business.
http://www.projectperfect.com.au/info_business_process_modelling_overview.php
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