Business Information Systems
Learning Outcomes Week 5
1. Explain the importance of decision making for managers at each of the three primary organisation levels, along with the associated decision characteristics.
* Meaning of decision making
* Decision making is a process of selecting the best among the different alternatives. It is the act of making a choice. There are so many alternatives found in the organization and departments. Decision making is defined as the selection of choice of one best alternative. Before making decisions all alternatives should be evaluated from which advantages and ...view middle of the document...
When the decision is wrong, it is understood that the manager is disqualified. So decision making evaluate the managerial performance.
* Helpful in planning and policies: Any policy or plan is established through decision making. Without decision making, no plans and policies are performed. In the process of making plans, appropriate decisions must be made from so many alternatives. Therefore decision making is an important process which is helpful in planning.
* Selecting the best alternatives: Decision making is the process of selecting the best alternatives. It is necessary in every organization because there are many alternatives. So decision makers evaluate various advantages and disadvantages of every alternative and select the best alternative.
* Successful; operation of business: Every individual, departments and organization make the decisions. In this competitive world; organization can exist when the correct and appropriate decisions are made. Therefore correct decisions help in successful operation of business.
2. Define critical success factors (CSFs) and key performance indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
* Critical success factors (CSFs) crucial steps that companies perform to achieve their goals and objectives and implement their strategies. are elements crucial for a business strategy’s success and one CSF can have many KPIs . Managers use them to :-
* Create high-quality products
* Retain competitive advantages
* Reduce product costs
* Increase customer satisfaction
* Recruit and retain the best professionals.
* Key performance indicators (KPIs) measure the progress of the CSFs with quantifiable measurements. They can focus on external or internal measurements and managers use them to find :-
* Turnover rates of employees
* Number of product returns