************************************************************
DSS News
D. J. Power, Editor
July 4, 2004 -- Vol. 5, No. 14
A Bi-Weekly Publication of DSSResources.COM
************************************************************
Check the case by Anissa Stevens "Implementing
the Redland Genstar Data Mart" at DSSResources.COM
************************************************************
Featured:
* Ask Dan! - What is decision automation?
* What's New at DSSResources.COM
* DSS News Releases
************************************************************
What is decision automation?
by Dan Power
Decision automation (DA) is a "hot" topic! Chapter 3 in my DSS book
(Power, 2002) differentiates between decision systems, decision support
systems (DSS) and special decision studies. A decision automation system
is NOT a decision support system. In my book, I argue "routine decision
situations should be analyzed and 'programmed' as much as is possible
and they should be supported in most situations by technology. The
potential rewards from improving routine, recurring decisions are
usually very large (p. 39)." The concept of decision automation is
deceptively simple and intriguingly complex.
A narrow perspective suggests that a decision is a choice among defined
alternative courses of action. Hence decision automation systems make
choices among predefined alternatives. From a broader perspective, a
decision involves the complete process of gathering and evaluating
information about a situation, identifying a need for a decision,
identifying or in other ways defining relevant alternative courses of
action, choosing the "best", the "most appropriate" or the "optimum"
action, and then applying the solution and choice in the situation.
Hence decision automation systems help automate all or part of a
specific decision process. Automation refers to using technologies
including computer processing to make decisions and implement programmed
decision processes. Typically decision automation is considered most
appropriate for well-structured, clearly defined, routine or programmed
(cf., Simon, 1960) decision situations.
An automated decision process occurs without any "human" intervention.
Decision making procedures are programmed and then the appropriate
programs evaluate stored or "real time" data from sensors. Then using
either algorithms based on quantitative models, logical or quantitative
heuristics, statistical inference, or artificial intelligence
technologies one or more actions are chosen to apply in the situation.
The actions are taken by effectors including human or machine actors. An
effector may change the value in a database, send a message or an alert,
move an object or play a message.
Human decision makers determine the rules, models and methods used for
making choices and completing decision tasks in programmed decision
situations. Conceivably decision automation programs can "learn" from
successes and failures and automatically improve and update the relevant
stored procedures, rules or likelihoods.
Decision automation is a set of concepts, a related set of technologies,
a set of methods and design tools, and an ambitious, general "goal". The
range of decision tasks that can be automated has increased as
technologies and design tools have improved. This technology evolution
has also raised aspiration levels and created more challenging
development goals. The overriding goal is to replace human decision
makers in programmable decision situations where it can be demonstrated
that the computer program's decision is at least as good as that of all
or most human decision makers. The working assumption is that decision
automation will be cost effective when compared to an equally skilled
human decision maker in a programmed decision situation. The greatly
expanded and evolving computing infrastructure makes it increasingly
cost effective to apply decision automation in situations where that had
been prohibitively costly.
Decision Automation Application Areas
The major improvements in computer processor speed, faster and larger
capacity storage technologies, improved sensors, the ubiquity of the
Internet and World-Wide Web and increased reliability of information
technologies has greatly increased the number and diversity of decision
automation applications and that trend is accelerating. Decision
automation can assist in an air traffic control environment, in flexible
manufacturing systems, in petroleum refining, in high-speed sorting
systems, in tax decision automation, in intelligent monitoring and
decision making in intensive care situations, in fruit grading, in
real-time notification, in credit approval automation, in airborne
collision avoidance systems, in building automation and facility
management systems, in hardwood log breakdown, in laboratory management
and automation systems, and in many other well understood decision
situations.
The petrochemical and refining industry association (NPRA) is sponsoring
a Plant Automation and Decision Support Conference September 20-21, 2004
in San Antonio, Texas. In 2003, the NPRA Computer Conference was renamed
the Plant Automation and Decision Support Conference. The automation
people are also becoming more interested in decision support.
AutomationWorld recently (June 2004) had a special issue titled
"Decision Support: Getting a better view of your manufacturing data".
Check http://www.automationworld.com/articles/Departments/744.html .
On a related note, Rob Spiegel, Contributing Editor to
AutomationWorld.COM, writes "Web technologies are proliferating through
plant automation systems, letting managers review production and control
data from anywhere they can access the Internet. So far, the bulk of
Web-based plant monitoring is used to obtain production data (June 2004,
page 34)."
Decision Automation Topics
So what are the major research and content topics associated with
decision automation? The fundamental topic is machine processing, the
development of the "brain" of the decision automation system.
Off-the-shelf central processing units are extremely powerful and
parallel processing is affordable. Development technologies that are
used for automating decision processing include AI systems, Bayesian
networks, intelligent software agents, and neural networks. The storage
or "memory" of the system is important, but major improvements have
temporarily reduced the need for new breakthroughs. The goal for
enhancing storage is always higher capacity in smaller devices with
faster read/write capabilities. Sensors, the "input" devices of decision
automation, are an important research area. We need better visual
systems and more automated data collection. Radio frequency
identification (RFID), global positioning systems (GPS), and environment
monitoring technologies are all contributing to the expansion of sensing
technologies. Finally, decision automation requires a means to
communicate the machine's decision. This task is the realm of
"effectors", the "output" devices, that can modify a database, control a
robot arm, or stop a production line.
Bucklin, Lehmann, and Little (1998) predict that in the coming decades,
a growing proportion of marketing decisions will be automated. In 2001,
Henry Morris, IDC Vice President, wrote "Only when decision support
moves to decision process automation, can we improve quality of
decisions." Randy Fields in a DSSResources.COM Thought Leader Interview
expressed a similar, but more sophisticated view of the need for
decision automation. Randy noted "What we have done is to take control
away and let machines make the decisions. It is a fundamentally
different view of the role of technology. We haven't built thermostatic
systems that flash to people, little engineers running around, and tell
them in better real time or audibly what the temperature in the room is.
We have the sensors, coupled with processors make decisions and
implement them. The humans just set the strategy." Decision automation
is important and it has an expanding role in organizations, but there
still remains a major role for human decision makers and hence for
decision support systems. Decision support can often improve decision
quality in semi-structured situations where decision automation is not
feasible or is undesirable.
To support the growth of this knowledge area, we initiated a new website
Decision Automation Resources (DecisionAutomation.COM). This site
focuses on using quantitative models, heuristics, statistical approaches
and Artificial Intelligence technologies to make decisions in highly
structured and routine decision situations. DSSResources.COM remains the
"flagship" website for people interested in improving decision making
and planning, but now Web users can also visit DecisionAutomation.COM
and PlanningSkills.COM. Please tell your friends.
NOTE: DecisionAutomation.COM is still under construction. If you have
any suggestions with regards to types of content you would like to see
there or know of related resources, please email us at
power@dssresources.com .
*********************
References
Bucklin, R.E., D.R. Lehmann, and J.D.C. Little, "Decision Support to
Decision Automation: A 2020 Vision", MSI working paper, 1998.
Morris, H., "Decision Support vs. Decision Process Automation,"
IDC Viewpoint, August 2001,
http://www.idc.com/getdoc.jsp?containerId=VWP000060
Power, D. J., Decision Support Systems: Concepts and Resources for
Managers, Westport, CT: Greenwood/Quorum, 2002.
Power, D. J., "Randy Fields Interview: Automating 'Administrivia'
Decisions", DSSResources.COM, 04/09/2004.
Simon, H.A. (1960). The New Science of Management Decision. New
York, NY: Harper and Row.
************************************************************
Put your ad here! Reach hundreds of people
interested in DSS with information on your product
Email power@dssresources.com for details
************************************************************
What's New at DSSResources.COM
07/02/2004 Posted case by Anissa Stevens, "Implementing the Redland
Genstar Data Mart". Check the cases page.
************************************************************
DSS News - June 21 to July 2, 2004
Read them at DSSResources.COM and search the DSS News Archive
07/02/2004 Nextel Partners delivers new mobile workforce management tool
with ActSoft Comet Tracker.
07/01/2004 Cognos honors Niteo Partners again for outstanding
achievement in solution and channel sales.
07/01/2004 Fair Isaac's Fraud Management tools and best practices help
clamp down on UK payment card fraud.
07/01/2004 Agile Software makes grant to University of Texas at Dallas
School of Management.
07/01/2004 Business Objects announces BusinessObjects 6.5.
07/01/2004 Actuate to host Eighth Annual International User Conference.
06/30/2004 Harrah's wins national award for return on information
technology investments.
06/30/2004 Hyperion Essbase 7.1 generally available.
06/30/2004 Darden Restaurants implements kitchen technology from QSR
automations.
06/30/2004 DRS Technologies selected by the U.S. Army for production of
Battlefield Digitization System.
06/30/2004 Evolution Robotics expands product line with ERSP 3.0 for
Windows.
06/30/2004 Airlines distinguish themselves with service, leveraging
Sabre Airline Solutions' new technology for the Travel Industry.
06/30/2004 Teradata announces Basel II and risk-management enhancements
in latest Teradata Financial Services logical data model.
06/29/2004 Boeing showcases net-centric operations capabilities at
newest node.
06/29/2004 Lockheed Martin demonstrates improved human alerting
capability for U.S. Navy.
06/29/2004 Microsoft Windows SharePoint Services powers unprecedented
collaboration opportunities for and adoption by customers worldwide.
06/29/2004 Informatica continues to lead data integration market, says
independent research firm.
06/29/2004 SIG standardizes on the Documentum platform.
06/29/2004 Cognos Enterprise Planning series enhances and extends the
accessibility, functionality, and usability of Excel into the planning
process.
06/29/2004 Jostens standardizes on Siebel Analytics for business
intelligence.
06/29/2004 U.S. Army National Guard expands Polycom Voice and Video
Network as part of communications modernization plan.
06/29/2004 Oracle(R) Database 10g sets performance World Record for
Linux on non-clustered systems.
06/29/2004 Owens Corning delivers $1.8 Million in savings in just seven
months using Emptoris' ExpenseMap.
06/29/2004 MAPICS and Cognos partner to deliver powerful business
intelligence solution for world-class manufacturers.
06/29/2004 Verticalnet releases Supply Management 5.1 Suite; solution
supports full supply management lifecycle; delivers value at all levels
of organization.
06/28/2004 Sun contributes four Java breakthroughs to Open Source
community including 'Project Looking Glass' and JAVA 3D.
06/28/2004 Best Software's Timberline(R) Office secures high ratings,
increased use for accounting, estimating, and project management in 2004
CFMA Industry survey.
06/28/2004 More than 150 Global Retailers rely on Ascential Software to
improve productivity and streamline supply chains.
06/28/2004 Cognos establishes global innovation center to advance 'next'
practices in planning and performance management.
06/28/2004 Hyperion helps optimize retail performance.
06/25/2004 ABQAURP Medical Officer calls for improved clincal IT
systems; Physicians rally for patient safety at healthcare technology
conference.
06/24/2004 Citrix GoToMeeting Corporate cuts unpredictable and expensive
online meeting fees for businesses.
06/23/2004 COMDEX® Las Vegas 2004 postponed.
06/23/2004 WebSurveyor releases new invitation management system.
06/23/2004 Oracle's latest partner management application to help
organizations connect more closely with partners and drive growth.
06/23/2004 Choice Hotels uses IBM Software and Business Objects to drive
business intelligence deployment.
06/23/2004 WebEx Enterprise edition helps reduce costs and improve
collaboration at Avaya.
06/23/2004 Experian-Scorex launches Connect+.
06/23/2004 Veridiem launches new marketing optimization platform;
Veridiem 2 delivers datest open-standards technologies for
enterprise-wide marketing performance management.
06/22/2004 Blue Cross & Blue Shield of Rhode Island expands its
Interwoven implementation to include collaboration and document
management.
06/22/2004 SGI and IDELIX bring cutting edge visualization solutions for
customers.
06/22/2004 Ascential Software delivers on-demand data integration for
Harley-Davidson.
06/22/2004 New Viewlocity release signals future of supply chain
execution.
06/22/2004 Quest Software simplifies database code optimization with
version 8.0 of Toad for Oracle.
06/22/2004 Teradata positioned in leader quadrant in Data Warehouse
Magic Quadrant.
06/21/2004 U.S. Army Deploys Autonomy for Army Knowledge Online Portal.
06/21/2004 DFAS Portal Named Among the World's 10 Best Government
Intranets.
06/21/2004 Financial institution deploys MindBox's ARTOptimize
technology for automated loan cross-selling.
06/21/2004 BPM Partners ships new Healthcare Industry-specific
dashboard.
06/21/2004 University of New Mexico deploys ePocrates integrated
Hospital Clinical Reference system-wide.
06/21/2004 MicroStrategy releases Unix-based, high performance business
intelligence platform.
06/21/2004 U.S. Army deploys Autonomy for Army Knowledge Online Portal.
06/21/2004 DFAS portal named among the World's 10 Best Government
Intranets.
06/21/2004 IDeaS Revenue Optimization helps Venetian Hotel set revenue
records in 2003 and 2004.
06/21/2004 BPM Partners ships new healthcare industry-specific
dashboard.
06/21/2004 Documentum delivers latest version of eRoom.net hosted
collaboration environment.
************************************************************
Subscribe to DSSResources.COM. One month $10, six months $25.
Visit http://dssresources.com/subscriber/subscriber.html
************************************************************
DSS News is copyrighted (c) 2004 by D. J. Power. Please send your questions to
daniel.power@dssresources.com.
|