Unit 3 MIS Classroom Ppt_1
-
Upload
prabhuthala -
Category
Documents
-
view
222 -
download
0
Transcript of Unit 3 MIS Classroom Ppt_1
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
1/106
Management Information
System
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
2/106
Decision Making and Information system
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
3/106
Functional Aspects of the MIS
Most organizations are structured along
functional lines or areas
MIS can be divided along functional lines to
produce reports tailored to individual
functions
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
4/106
Functional areas of MIS
Financial / Accounting MIS
Manufacturing / Production MIS
Marketing MIS Human recourse MIS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
5/106
Functional Aspects of the MIS
(continued)
An Organizations MIS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
6/106
Financial Management Information
Systems
Financial MIS: provides financial information toexecutives and others
Accounting MIS: provides aggregate information
on accounts payable, accounts receivable, payroll,and many other applications
Some financial MIS subsystems and outputs
Profit/loss and cost systems: profit and revenue
centers Auditing: internal and external
Uses and management of funds
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
7/106
Financial Management Information
Systems (continued)
Overview of a Financial MIS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
8/106
The Role of Accounting
Transaction Data
Purchases, Sales, Loans, and Investments
Inventory Control Process and Controls
Double-Entry Systems
Separation of Duties Audit Trails
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
9/106
Accounting Software
General Ledger
Sample chart of accounts
Automatic posting
Automatic entry of vendors
Fiscal years
Keep past data books open
Post to prior years
Allocate department expenses
Accounts Receivable
Automatic early discounts
Interest on late payments
Multiple shipping addresses Sales tax
Automatic reminder notices
Automatic monthly fees
Keep monthly details
Accounts payable
Check reconciliation
Automatic recurring entries
Monitor payment discounts
Select bills from screen
Pay by item, not just total bill
General Features
Printer support
Use of preprinted forms
Custom reports
Custom queries Security controls
Technical support costs
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
10/106
Accounting
Suppliers
Customers
Management
Shareholders
Banks
and
Creditors
Departments
& Employees
Sales &
Accounts
Receivable
Produce
ManagementAccounting
Reports
Produce
Shareholder
Reports
Sales & Receivables
Inventory ChangesPurchases &
Payables
Loans & Notes
Expenses
Equity
Shareholder
Reports
ManagementReports
Product
Inventory
Orders &
Accounts
Payable
Inventory
Management,
& Fixed Asset& Cost Acct.
Payroll &
EmployeeBenefits
CashManagement,
Investments,
Foreign
Exchange
Supply &
In-process
Inventory
Governments
Tax
Filing &
Planning
Strategic
& Tactical
Planning
Inventory Changes
Payables
Capital Acct
Sales Tax
Tax Filings
Tax data
ReceivablesInventory &
Assets
Payroll
Planning Reports
Planning
Data
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
11/106
Manufacturing Management
Information Systems
Manufacturing MIS subsystems and outputsmonitor and control the flow of materials,products, and services through the organization
Design and engineering: CAD systems
Master production scheduling and inventorycontrol Methods: EOQ, MRP, JIT
Process control Techniques: CAM, CIM, FMS
Quality control and testing
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
12/106
Manufacturing Management
Information Systems (continued)
Overview of a Manufacturing MIS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
13/106
Marketing Management Information
Systems
Marketing MIS: supports managerial activitiesin product development, distribution, pricingdecisions, and promotional effectiveness
Subsystems Marketing research
Product development
Promotion and advertising
Product pricing
Sales analysis
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
14/106
Marketing Management Information
Systems (continued)
Overview of a Marketing MIS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
15/106
Marketing Management Information
Systems (continued)
Reports Generated to Help Marketing Managers Make Good Decisions
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
16/106
16Principles of Information Systems, EighthEdition
Human Resource Management
Information Systems
Human resource MIS: concerned with activities
related to employees and potential employees
Subsystems
Human resource planning
Personnel selection and recruiting
Training and skills inventory
Scheduling and job placement Wage and salary administration
Outplacement
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
17/106
17Principles of Information Systems, EighthEdition
Human Resource Management
Information Systems (continued)
Figure 10.11: Overview of a Human Resource MIS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
18/106
HRMManagement
Managers
Employees
Customers
Government
Process
Payroll
Benefits
Vacation
CompileMerit
Evaluations
& Salary
Changes
Job
Applicants
Produce
Management
Employee
Reports
Screen
Jobs &
Applications
Produce
Government
Reports
Employee Data
Files
EmployeeData
Evaluations
Salary
Merit &
Salary
Sales Data &
Commission
Employee
Data
Merit
Applicant Data
Employee
Summaries
Job &
Applicant
Data
EEO Data
GovernmentReports
Management Reports
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
19/106
Information systems in the Company
Marketing Production Finances Personel
sales productionplanning
budgetting human resources
marketing purchasing general ledger payroll
promotion distribution billing cost estimations
price setting engineering analyticalbookkeeping
applications
new products operations financial
operations
contracts
orders stockmanagement
A/C payable training
quality control A/C receivable
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
20/106
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
21/106
Decision Levels
Business Operations
Tactical
Management
Strategic
Mgt.
Semi Structured
Unstructured
Structured
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
22/106
Choose a StockStock Price
9095
100
105
110
115
120
125
130
1 2 3 4 5 6 7 8 9 10 11 12
Month
CompanyA
CompanyB
Company As share price increased by 2% per month.
Company Bs share price was flat for 5 months and then increased by 3% per
month.
Which company would you invest in?
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
23/106
DSS: Decision Support Systems
sales revenue profit prior
154 204.5 45.32 35.72
163 217.8 53.24 37.23161 220.4 57.17 32.78173 268.3 61.93 47.68
143 195.2 32.38 41.25
181 294.7 83.19 67.52
Sales and Revenue 1994
Jan Feb Mar Apr May Jun0
50
100
150
200
250
300
Legend
SalesRevenue
Profit
Prior
Database
Model
Output
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
24/106
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
25/106
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
26/106
An Overview of Decision Support
Systems
DSS: organized collection of people,
procedures, software, databases, and devices
used to help make decisions that solve
problems
Focus of a DSS is on decision-making
effectiveness regarding unstructured or
semistructured business problems
Used by managers at all levels
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
27/106
Characteristics of a Decision Support
System
Provide rapid access to information
Handle large amounts of data from different
sources
Provide report and presentation flexibility
Offer both textual and graphical orientation
Support drill-down analysis
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
28/106
Characteristics of a Decision Support
System (continued)
Perform complex, sophisticated analysis andcomparisons using advanced software packages
Support optimization.
What-if analysis: making hypothetical changesto problem data and observing impact on results
Goal-seeking analysis: determining problem
data required for a given result Simulation: ability of the DSS to duplicate
features of a real system
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
29/106
Characteristics of a Decision Support
System (continued)
With a spreadsheet program, a manager can enter a goal, and thespreadsheet will determine the input needed to achieve the goal.
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
30/106
Capabilities of a Decision Support
System
Support problem-solving phases
Support different decision frequencies
Ad hoc DSS
Institutional DSS
Support different problem structures
Highly structured problems
Semistructured or unstructured problems
Support various decision-making levels
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
31/106
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
32/106
Components of a Decision Support
System
Database
Model base
Dialogue manager: user interface that allows
decision makers to:
Easily access and manipulate the DSS
Use common business terms and phrases
Access to the Internet, networks, and other
computer-based systems
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
33/106
Components of a Decision Support
System (continued)
Conceptual Model of a DSS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
34/106
The Database
Database management system
Allows managers and decision makers to perform
qualitative analysison data stored in companysdatabases, data warehouses, and data marts
Can also be used to connect to external databases
Data-driven DSS:primarily performsqualitative analysis based on the companysdatabases
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
35/106
The Model Base
Model base: provides decision makers with
access to a variety of models and assists them in
decision making
Allows them to perform quantitative analysison bothinternal and external data
Model-driven DSS:primarily performsmathematical or quantitative analysis
Model management software (MMS): software
that coordinates the use of models in a DSS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
36/106
The User Interface or Dialogue
Manager
Allows users to interact with the DSS to obtain
information
Assists with all aspects of communications
between user and hardware and software that
constitute the DSS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
37/106
A Comparison of DSS and MIS
Comparison of DSSs and MISs
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
38/106
A Comparison of DSS and MIS
(continued)
Comparison of DSSs and MISs (continued)
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
39/106
Group Support Systems
Group support system (GSS)
Consists of most elements in a DSS, plus software
to provide effective support in group decision
making Also called group decision support system or
computerized collaborative work system
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
40/106
Group Support Systems (continued)
Configuration of a GSS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
41/106
Characteristics of a GSS That Enhance
Decision Making
Special design
Ease of use
Flexibility
Decision-making support
Delphi approach
Brainstorming
Group consensus approach
Nominal group technique
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
42/106
Characteristics of a GSS That Enhance
Decision Making (continued)
Anonymous input
Reduction of negative group behavior
Parallel communication
Automated record keeping
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
43/106
GSS Software
Often called groupware or workgroup software
Helps with joint work group scheduling,
communication, and management
Examples
Virtual Office from Groove Networks
Lotus Notes
Office Communicator IBMs Workplace
Microsofts NetMeeting
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
44/106
GSS Software (continued)
Examples of groupware products available on
the Web
WebEx, Genesys Meeting Center, GoToMeeting
Corporate
GSS software incorporated into existing
software packages
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
45/106
GSS Alternatives
Decision room
Decision makers are located in the same building
or geographic area
Decision makers are occasional users of the GSSapproach
Local area decision network
Group members are located in the same buildingor geographic area
Group decision making is frequent
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
46/106
GSS Alternatives (continued)
Teleconferencing
Decision frequency is low
Location of group members is distant
Wide area decision network
Decision frequency is high
Location of group members is distant
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
47/106
GSS Alternatives (continued)
The GSS Decision Room
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
48/106
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
49/106
Executive Support Systems
Executive support system (ESS):
Specialized DSS
Includes hardware, software, data, procedures,
and people used to assist senior-level executives
Also called an executive information system (EIS)
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
50/106
Executive Support Systems (continued)
The Layers of Executive Decision Making
E ti S t S t i
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
51/106
Executive Support Systems in
Perspective
Tailored to individual executives
Easy to use
Drill-down capabilities Support need for external data
E ti S t S t i
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
52/106
Executive Support Systems in
Perspective (continued)
Can help with situations that have a high
degree of uncertainty
Future-oriented Linked to value-added business processes
C biliti f E ti S t
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
53/106
Capabilities of Executive Support
Systems
Support for defining overall vision
Support for strategic planning
Determining long-term objectives throughanalysis of current organization and prediction of
future trends
Support for strategic organizing and staffing Support for strategic control
Support for crisis management
E ti IS
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
54/106
Executive IS
ProductionDistribution
Sales
Central Management
Executives
DataData
Sales
Production Costs
Distribution Costs
Fixed Costs
Production Costs
South
North
Overseas
0
500
1000
1500
2000
2500
3000
3500
4000
4500
5000
1993 1994 1995 1996
South
North
Overseas
Production: North
Item# 1995 1994
1234 542.1 442.3
2938 631.3 153.5
7319 753.1 623.8
Data
Data
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
55/106
Knowledge Management Systems
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
56/106
Knowledge Management Systems
Data: raw facts
Information:collection of facts organized sothat they have additional value beyond the
value of the facts themselves
Knowledge:awareness and understanding ofa set of information and the ways that
information can be made useful to support aspecific task or reach a decision
K l d M t S t
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
57/106
Knowledge Management Systems
(continued)
Knowledge management system (KMS):
Organized collection of people, procedures,
software, databases, and devices
Used to create, store, share, and use theorganizations knowledge and experience
Knowledge Management Systems
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
58/106
Knowledge Management Systems
(continued)
The Differences Among Data, Information, and Knowledge
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
59/106
Knowledge Management
A collection of a documents and data
Created by experts Searchable With links to related topics Highly organized groupware
Emphasizing context Examplebusiness decisions
Store problem, all notes, decision factors, comments Future problems, managers can search the database and find
similar problems
Better and more efficient decisions if you know the originalproblems, discussions, and contingency plans
Main problemconvincing everyone to enter and updatethe documents
Overview of Knowledge Management
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
60/106
Overview of Knowledge Management
Systems
KMSs attempt to help organizations achievetheir goals
Firms use KMSs to increase profits or reduce costs
A KMS can involve different types ofknowledge
Explicit knowledge: objective; can be measuredand documented in reports, papers, and rules
Tacit knowledge: hard to measure and document;typically not objective or formalized
Data and Knowledge Management
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
61/106
Data and Knowledge Management
Workers and Communities of Practice
Data workers: data-entry personnel
Secretaries, administrative assistants,
bookkeepers, etc.
Knowledge workers:create, use, anddisseminate knowledge
Professionals in science, engineering, or business;
writers; researchers; educators; corporatedesigners; etc.
Data and Knowledge Management
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
62/106
g gWorkers and Communities of Practice
(continued)
Chief knowledge officer (CKO): top-levelexecutive who helps the organization use aKMS to create, store, and use knowledge toachieve organizational goals
Communities of practice (COP): group ofpeople dedicated to a common discipline or
practice May be used to create, store, and share
knowledge
Obtaining Storing Sharing and Using
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
63/106
Obtaining, Storing, Sharing, and Using
Knowledge
Knowledge Management System
Obtaining Storing Sharing and Using
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
64/106
Obtaining, Storing, Sharing, and Using
Knowledge (continued)
Creating or obtaining knowledge
Knowledge workers often work in teams
Storing knowledge
Knowledge repository: includes documents,
reports, files, and databases
Obtaining Storing Sharing and Using
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
65/106
Obtaining, Storing, Sharing, and Using
Knowledge (continued)
Sharing knowledge
Collaborative work software and group support
systems
Nontechnical approaches
Using knowledge
Begins with locating organizations knowledge
Knowledge map or directory
Technology to Support Knowledge
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
66/106
Technology to Support Knowledge
Management
An effective KMS is based on learning newknowledge and changing procedures andapproaches as a result
Organizational learning Organizational change
Data mining and business intelligence areimportant in capturing and using knowledge
Enterprise resource planning tools includeknowledge management features
Technology to Support Knowledge
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
67/106
Technology to Support Knowledge
Management (continued)
Groupware can help capture, store, and useknowledge
Hardware, software, databases,telecommunications, and the Internet are needed
to support most knowledge managementsystems
Examples of knowledge management productsand services
IBMs Lotus Notes and Domino Microsofts Digital Dashboard, Web Store Technology,
and Access Workflow Designer
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
68/106
Expert System
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
69/106
10-70
Expert Systems
An Expert System (ES)
A knowledge-based information system
Contain knowledge about a specific, complexapplication area
Acts as an expert consultant to end users
Expert System
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
70/106
Expert System
Knowledge Base
Symbolic &
Numeric Knowledge
Ifincome > 20,000or expenses < 3000
and good credit history
or . . .
Then 10% chance of default
Rules
Expert decisions
made by
non-experts
Expert
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
71/106
ES Example: bank loanWelcome to the Loan Evaluation System.
What is the purpose of the loan? car
How much money will be loaned? 10,000
For how many years? 5
The current interest rate is 10%.
The payment will be $212.47 per month.
What is the annual income? 24,000
What is the total monthly payments of other loans? Why?
Because the payment is more than 10% of the monthly income.
What is the total monthly payments of other loans? 50.00
The loan should be approved, there is only a 2% chance of default.
Forward Chaining
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
72/106
Payments
< 10%
monthly income?
Other loans
total < 30%
monthly income?Credit
History
Job
StabilityApprove
the loan Denythe loan
No
Yes
Good
Yes
NoBad
So-so
Good Poor
Decision Tree (bank loan)
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
73/106
An Overview of Expert Systems
Behave similarly to a human expert in aparticular field
Explore new business possibilities
Increase overall profitability
Reduce costs
Provide superior service to customers and
clients
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
74/106
When to Use Expert Systems
Provide a high potential payoff or significantlyreduce downside risk
Capture and preserve irreplaceable human
expertise
Solve a problem that is not easily solved using
traditional programming techniques
Develop a system more consistent thanhuman experts
When to Use Expert Systems
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
75/106
When to Use Expert Systems
(continued)
Provide expertise needed at a number oflocations at the same time or in a hostile
environment that is dangerous to human health
Provide expertise that is expensive or rare Develop a solution faster than human experts can
Provide expertise needed for training and
development to share the wisdom andexperience of human experts with many people
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
76/106
10-78
Components of an Expert System
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
77/106
10-79
Components of an Expert System
Knowledge Base Facts about a specific subject area
Heuristics that express the reasoning procedures of anexpert (rules of thumb)
Software Resources An inference engine processes the knowledge
and recommends a course of action
User interface programs communicate with
the end user Explanation programs explain the reasoning process
to the end user
f
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
78/106
Components of Expert Systems
Components of an Expert System
Components of Expert Systems
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
79/106
Components of Expert Systems
(continued)
Knowledge base
Stores all relevant information, data, rules, cases,
and relationships used by expert system
Create a knowledge base by : Assembling human experts
Using fuzzy logic
Using rules, such as IF-THEN statements
Using cases
Components of Expert Systems
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
80/106
Components of Expert Systems
(continued)
The Relationships Among Data, Information, and Knowledge
Components of Expert Systems
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
81/106
Components of Expert Systems
(continued)
Rules for a Credit Application
Th I f E i
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
82/106
The Inference Engine
Inference engine Seeks information and relationships from
knowledge base
Provides answers, predictions, and suggestions,like a human expert
Backward chaining: starts with conclusionsand works backward to supporting facts
Forward chaining: starts with facts and worksforward to conclusions
Th E l i F ili
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
83/106
The Explanation Facility
Allows a user or decision maker to understandhow the expert system arrived at certain
conclusions or results
Example: a doctor can find out the logic orrationale of diagnosis made by a medical
expert system
Th K l d A i i i F ili
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
84/106
The Knowledge Acquisition Facility
Provides convenient and efficient means ofcapturing and storing all components of
knowledge base
Acts as an interface between experts andknowledge base
The Knowledge Acquisition Facility
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
85/106
The Knowledge Acquisition Facility
(continued)
Knowledge Acquisition Facility
Th U I t f
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
86/106
The User Interface
Specialized user interface software isemployed for designing, creating, updating,
and using expert systems
Main purpose of user interface: makesdevelopment and use of an expert system
easier for users and decision makers
E t S t A li ti C t i
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
87/106
10-89
Expert System Application Categories
Decision Management Loan portfolio analysis
Employee performance evaluation
Insurance underwriting
Diagnostic/Troubleshooting
Equipment calibration
Help desk operations Medical diagnosis
Software debugging
E t S t A li ti C t i
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
88/106
10-90
Expert System Application Categories
Design/Configuration Computer option installation
Manufacturability studies
Communications networks
Selection/Classification Material selection
Delinquent account identification
Information classification Suspect identification
Process Monitoring/Control
E t S t A li ti C t i
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
89/106
10-91
Expert System Application Categories
Process Monitoring/Control Machine control (including robotics)
Inventory control
Production monitoring
Chemical testing
E t S t D l t
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
90/106
Expert Systems Development
Steps in the Expert System Development Process
Participants in Developing and Using
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
91/106
p p g g
Expert Systems
Domain expert: individual or group who hasthe expertise or knowledge one is trying tocapture in the expert system
Knowledge engineer: individual who hastraining or experience in design, development,implementation, and maintenance of anexpert system
Knowledge user: individual or group who usesand benefits from the expert system
Participants in Developing and Using
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
92/106
Principles of Information Systems, Eighth
Edition 94
p p g g
Expert Systems (continued)
Figure 11.13: Participants in Expert Systems Development and Use
Expert Systems Development Tools
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
93/106
Principles of Information
Systems, Eighth Edition 95
p y p
and Techniques
Traditional programming languages
Special programming languages for AI
applications
LISP, PROLOG
Expert system shells
Collections of software packages and tools used to
design, develop, implement, and maintain expertsystems
Expert Systems Development Tools
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
94/106
Principles of Information Systems, Eighth
Edition 96
and Techniques (continued)
Figure 11.14: Expert Systems Development
Applications of Expert Systems and
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
95/106
Principles of Information
Systems, Eighth Edition 97
pp p y
Artificial Intelligence
Credit granting and loan analysis
Stock picking
Catching cheats and terrorists Budgeting
Games
Applications of Expert System and
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
96/106
Principles of Information
Systems, Eighth Edition 98
Artificial Intelligence (continued)
Information management and retrieval
AI and expert systems embedded in products
Plant layout and manufacturing Hospitals and medical facilities
Applications of Expert System and
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
97/106
Principles of Information
Systems, Eighth Edition 99
Artificial Intelligence (continued)
Help desks and assistance
Employee performance evaluation
Virus detection Repair and maintenance
Applications of Expert System and
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
98/106
Principles of Information
Systems, Eighth Edition 100
Artificial Intelligence (continued)
Shipping
Marketing
Warehouse optimization
DSS and ES
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
99/106
DSS and ES
DSS ES
goal help user make decision provide expert advice
method data - model - presentation asks questions,applies rules, explains
type ofproblems
general, limited by usermodels
narrow domain
ES Examples
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
100/106
ES Examples
United Airlines GADS: Gate Assignment
American Express Authorizer's Assistant
Stanford Mycin: Medicine
DEC Order Analysis + more
Oil exploration Geological survey analysis
IRS Audit selection
Auto/Machine repair (GM:Charley) Diagnostic
ES Problem Suitability
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
101/106
ES Problem Suitability
Narrow, well-defined domain
Solutions require an expert
Complex logical processing
Handle missing, ill-structured data
Need a cooperative expert
Repeatable decision
ES Development ES Shells
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
102/106
ES screens
seen by user
Rules
and
decision
trees
entered
by designer
Expert
Forwardand
backward
chaining
by ES shell
Knowledgeengineer
Knowledge
database
(for (k 0 (+ 1 k) )
exit when ( ?> k cluster-size) do
(for (j 0 (+ 1 j ))exit when (= j k) do
(connect unit cluster k output o -A
to unit cluster j input i - A ))
. . . )
Maintained by expert system shell
Programmer
Custom program in LISP
ES Development Guru
Exsys
Custom Programming LISP
PROLOG
Some Expert System Shells
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
103/106
Some Expert System Shells
CLIPS Originally developed at NASA
Written in C
Available free or at low cost
http://www.ghg.net/clips/CLIPS.html
Jess Written in Java
Good for Web applications
Available free or at low cost
http://herzberg.ca.sandia.gov/jess/
ExSys Commercial system with many features
www.exsys.com
Limitations of ES
http://www.ghg.net/clips/CLIPS.htmlhttp://herzberg.ca.sandia.gov/jess/http://www.exsys.com/http://www.exsys.com/http://herzberg.ca.sandia.gov/jess/http://www.ghg.net/clips/CLIPS.html -
8/2/2019 Unit 3 MIS Classroom Ppt_1
104/106
Limitations of ES
Fragile systems Small environmental. changes
can force revision. of all of the
rules.
Mistakes
Who is responsible?
Expert?
Multiple experts?
Knowledge engineer?
Company that uses it?
Vague rules Rules can be hard to define.
Conflicting experts With multiple opinions, who is
right?
Can diverse methods be
combined?
Unforeseen events Events outside of domain can
lead to nonsense decisions.
Human experts adapt.
Will human novice recognize a
nonsense result?
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
105/106
DSS ES and AI: Bank Example
-
8/2/2019 Unit 3 MIS Classroom Ppt_1
106/106
DSS, ES, and AI: Bank ExampleDecision Support System Expert System Artificial Intelligence
Name Loan #Late Amount
Brown 25,000 5 1,250
Jones 62,000 1 135
Smith 83,000 3 2,435...
Data
Income
Existing loans
Credit report
ModelLend in all but worst cases
Monitor for late and missing
payments.
Output
ES Rules
What is the monthly income?
3,000
What are the total monthly
payments on other loans? 450
How long have they had the current
job? 5 years
. . .
Should grant the loan since there is
only a 5% chance of default.
Determine Rules
loan 1 data: paid
loan 2 data: 5 late
loan 3 data: lost
loan 4 data: 1 late
Data/Training Cases
Neural Network Weights
Evaluate new data,
make recommendation.
Loan Officer