Chapter Two Questions
1. Define TPS & DSS, provide some exapmples of these systems in business
Transactional Processing System (TPS)
It is the basic business system that serves the operational level (analysts) in an organisation. Examples include payroll system or order entry system.
Decision Support Systems (DDS)
They provide information to support managers and business professionals during the decision-making process. Examples include dashboard.
Transactional Processing System (TPS)
It is the basic business system that serves the operational level (analysts) in an organisation. Examples include payroll system or order entry system.
Decision Support Systems (DDS)
They provide information to support managers and business professionals during the decision-making process. Examples include dashboard.
2. Describe the three quantitative models typically used by decision support systems.

- Sensitivity analysis, which is the study of the impact that changes in one (or more) parts of the model have on other parts of the model. Users change the value of one variable repeatedly and observe the resulting changes in other variables.
- What-if analysis, which checks the impact of a change in an assumption on the proposed solution. For example, what will happen to the supply chain if a cyclone off Brisbane reduces holding inventory from 30% to 10%? Users repeat this analysis until they understand all the effects of various situations.
- Goal-seeking analysis, which finds the inputs necessary to achieve a goal such as a desired level of output. Instead of observing how changes in a variable affect other variables as in what-if analysis, goal-seeking analysis sets a target value is achieved. Questions like: How many customers are required to purchase a new product to increase gross profits to $5 million?
3. Describe a business processes and their importance to an organisation, outline and example of how they are used
A Business Process is a standardised set of activities that accomplish a specific task, such as processing a customer's order. It transforms a set of inputs into a set of outputs (goods or services) for another person or process by using people and tools. To stay competitive, organisations must optimise and automate their business processes.
For example, making checkout procedure quick and easy is a great way of supermarkets to increase profits.
4. Compare business process improvement and business process re-engineering.
Business Process Improvement (BPI)is a paramount in order to stay competitive. It is a continuous model which attempts to understand and measure the current process and make performance improvement accordingly.

Business Process Re-engineering (BPR) is the analysis and redesign of workflow within and between enterprises. It relies on a different school of thought than BPI. In the extreme, BPR assumes that the current process is irrelevant, does not work, or is broken and must be overhauled from scratch.

Business Process Improvement (BPI)is a paramount in order to stay competitive. It is a continuous model which attempts to understand and measure the current process and make performance improvement accordingly.
Business Process Re-engineering (BPR) is the analysis and redesign of workflow within and between enterprises. It relies on a different school of thought than BPI. In the extreme, BPR assumes that the current process is irrelevant, does not work, or is broken and must be overhauled from scratch.

5. Describe the importance of business process modelling (or mapping) and business process models.

Business Process Modelling (or mapping) is the activity of creating a detailed flowchart or process map of a work process, showing its inputs, tasks and activities in a structured sequence. It's important because it makes the processes visible while most technology are invisible and therefore, organisations are able to improve them by observation.
Business Process Model is a graphic description of a process, showing the sequence of process tasks, which is developed for a specific purpose and from a selected viewpoint. It is important because a picture is worth a thousand words. A BPM provides a visual understanding of it's product and service. It helps to communicate with the viewer.
Textbook: Baltzan, Phillips, Lynch & Blakey, Business Driven Information Systems, 1st Australian/New Zealand ed, chapter 2
Business Process Modelling (or mapping) is the activity of creating a detailed flowchart or process map of a work process, showing its inputs, tasks and activities in a structured sequence. It's important because it makes the processes visible while most technology are invisible and therefore, organisations are able to improve them by observation.
Business Process Model is a graphic description of a process, showing the sequence of process tasks, which is developed for a specific purpose and from a selected viewpoint. It is important because a picture is worth a thousand words. A BPM provides a visual understanding of it's product and service. It helps to communicate with the viewer.
Textbook: Baltzan, Phillips, Lynch & Blakey, Business Driven Information Systems, 1st Australian/New Zealand ed, chapter 2
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