DIFFERENCE BETWEEN DSS, MIS & EIS
With the exposure to all the above information systems, let us
find out the differences between DSS and MIS. Table-1 enlists some basic
differences between Decision Support System, Management Information
Systems and Executive Information
System. As the name implies, the later two are the systems that provide
information that may or may not be used for making a decision whereas the
support information provided for deciding on the policy, planning or implementation
is the basic component of DSS.
Let us find out the characteristics of the three systems :
DSS (DECISION SUPPORT SYSTEM) :
- DSS generally provide support for unstructured, or
semi-structured decisions (decisions that cannot be described in detail).
- DSS problems are often characterized by incomplete or
uncertain knowledge, or the use of qualitative data.
- DSS will often include modelling tools in them, where various
alternative scenarios can be modeled and compared.
- Investment decisions are an examples of those that might be
supported by DSS
MIS (MANAGEMENT INFORMATION SYSTEMS) :
- MIS is generally more sophisticated reporting systems built on
existing transaction processing systems
- Often used to support structured decision making (decisions that
can be described in detail before the decision is made)
- Typically will also support tactical level management, but
sometimes are used at other levels
- Examples of structured decisions supported by MIS might include
deciding on stock levels or the pricing of products.
DIMENSION
|
DSS
|
MIS
|
EIS
|
Focus
|
Analysis, decision
Support
|
Information processing
|
Status Access
|
Typical Users
Served
|
Analysts, professions,
managers (via
intermediaries)
|
Middle, lower levels,
sometime senior executives
|
Senior Executives
Expediency
|
Impetus
|
Effectiveness
|
Efficiency
|
|
Application
|
Diversified Areas
where Managerial Decisions are made
|
Production control,
sales forecasts, financial analysis,
human resource
management
|
Environmental
scanning, performance
evaluation,
identifying problems and
opportunities
|
Database(s)
|
Special
|
Corporate
|
Special
|
Decision Support
Capabilities
|
Supports
semi-structured and
unstructured decision
making; mainly ad-hoc, but sometimes
repetitive decisions
|
Direct or indirect
support, mainly
structured routine
problems, using standard operations,
research and other
models
|
Indirect support,
mainly high level and
unstructured decisions
and policies
|
Type of
Information
|
Information to support
specific situations
|
Scheduled and demand
reports; structured flow, exception reporting mainly internal operations
|
News items, external
information on
customers, competitors
and the environment
|
Principal Use
|
Planning, Organizing,
staffing and control
|
Control
|
Tracking and control
|
Adaptability to
Individual User
|
Permits individual
judgment, what-if capabilities, some
choice of dialogue style
|
Usually none,
standardized
|
Tailored to the
decision making style
of each individual
executive, offers
several options of
outputs
|
Graphics
|
Integrated part of
many DSS
|
Desirable
|
A must
|
User Friendliness
|
A must where no
intermediaries are
used
|
Desirable
|
A must
|
Treatment of
Information
|
Information provided
by the
EIS/or MIS is used as
an input
to the DSS
|
Information is provided
to a
diversified group of
users who then manipulate it or summarize
it as needed
|
Filters and compresses
the
information, tracks
critical data and
information
|
Supporting Detailed
Information
|
Can be programmed into
DSS
|
Inflexibility of
reports, cannot get
the supporting details
quickly
|
Instant access to the
supporting
details of any summary
|
Model Base
|
The Core of the DSS
|
Standard Models are
available but
are not managed
|
Can be added, usually
not included or
limited in nature
|
Construction
|
By users, either alone
or with specialists from IS or IC departments
|
By vendors or IS
specialists
|
By Vendors or IS
Specialists
|
Hardware
|
Mainframes, micros or
distributed
|
Mainframes, Micros or
distributed
|
Distributed system
|
Nature of
Computing
Packages
|
Large computational
capabilities, modelling
languages and
simulation,
applications and DSS
generators
|
Application oriented,
performance reports,
strong reporting capabilities,
standard statistical, financial, accounting and management science models
|
Interactive, easy to
access multiple databases, on-line access, sophisticated DBMS capabilities
and complex linkages
|
EIS (EXECUTIVE INFORMATION SYSTEM) :
-
EIS support a range of decision making, but more often than not,
this tends to be unstructured
- EIS support the executive level of management, often used to
formulate high level strategic decisions impacting on the direction of the
organization
- These systems will usually have the ability to extract summary
data from internal systems, along with external data that provides intelligence
on the environment of the organization
- Generally these systems work by providing a user friendly
interface into other systems, both internal and external to the organization
Let us now explore differences among the three information
systems based on the dimensions (Table 1).
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