Question # 1:Management decisions are not as easy to make as decisions made by different users of ICT support systems for business. This is because business is dynamic, and it is characterized by different trends, and this means that decision making cannot be static. Different decisions have to be made for every different scenario or trend in business. As a result, managers seem to be the only people who don’t seem to know what they really want, and designing a good ICT support system for them is very difficult.
This is according to the research by Gorry and Scott Morton. Managers, therefore, need to have a decision support system specially designed for them, which should be suitable for every level of decision making. According to Simon’s Decision Making Model, managers have three different decision making levels; strategic, premeditated and systematic (Haselkorn 63). Decision Support Systems are basically IT systems that specific software structured to provide support all decision types except the structured ones. These systems are very interactive, and it is through interaction with the user that the DSS systems are able to lead to tailored results.
There are three main components of a typical DSS system, and these include: the user interface, the database and the model, network or structure of the DSS. The user interface is the transition between human beings and virtual machines. It is through the user interface that the two parties can interact effectively. The user needs to effectively communicate to the machine by giving input and by correctly controlling it. Also, the machine needs to be effective in its communication to the user by giving the correct output.
The database is the system in the machine that stores data and organizes it in a way that makes it possible and easy to retrieve the same. Database management systems are used to manage database for more effectiveness in management of data. The model or structure basically suggests that one thing is used to represent or model the other, which is usually the original one. In DSS, the networks and models used are conceptual, in that they are not tangible but they are abstract. In DSS, real life situations are modeled, so that when the user inputs the decision needed to be made, the model of a real life situation will lead to the answers (Walters 243).
Question # 2: A push-based supply model is a model in which, as the name suggests, what you sell is pushed into the consumers. Salesmen and ladies are known to use this method whereby they sell products with a “do or die” attitude. All that is needed from this type of supply model is results; big volumes of sales. This model is quite easy to implement, and all that is needed is a handful of aggressive people; marketing is very cheap in this model.
However, relationships between the company and its customers, suppliers, distributors, et cetera are ruined. On the other hand, a pull-based supply model “pulls” all the parties of the supply chain to itself before selling the product to them. In order to achieve this, marketing, promotion and advertising are considered to be the major areas of investment. As a result, this product is accepted by consumers, and the demand becomes so high that every retailer finds it necessary to have the product in their stores.
The Toyota Company is one company known to use the pull-based strategy to supply products, hence the reason why this company is in a better bargaining position that most others.