IS425 Exam1 KeyTerm

- a DSS that deals with specific problems that are usually neither anticipated nor recurring

- a step-by-step search in which improvement made at every step until the best solution is found

- an abstract, symbolic model of a system that behaves like the system but looks different

- a modeling structure for representing multicriteria (multiple goals, multiple objectives) problems - with sets of criteria and alternatives (choices)- commonly found in business environments

- mathematical models into which data are loaded for analysis

- methods that use mathematical formulas to derive an optimal solution directly or to predict a certain result, mainly in solving structured problems

- the most commonly used algorithm to discover association rules by recursively identifying frequent item sets

- a graphical assessment technique for binary classification models where the true positive rate is plotted on the Y-axis and false positive rate is plotted on the X-axis

• - aka decision automation system (DAS)- is a rule-based system that provides a solution, usually in one functional area (e.g. finance, manufacturing) to a specific repetitive managerial problem, usually in one industry (e.g. to approve or not to approve a request for a loan, to determine the price of an item in a store).
• A business rule-based system that uses intelligence to recommend solutions to repetitive decisions (such as pricing)

- a sampling technique where a fixed number of instances from the original data is sampled (with replacement) for training and the rest of the dataset is used for testing

- an individual whose job is to analyze business processes and the support they receive (or need) from information technology

- the application of models directly to business data. Business analytics involve using DSS tools, especially models, in assisting decision makers. It is essentially OLAP/DSS

• - a conceptual framework for decision support. It combines architecture, databases (or data warehouses), analytical tools, and applications.
• Business intelligence (BI) 86

- an advanced performance measurement and analysis approach that embraces planning and strategy

- data that represent the labels of multiple classes used to divide a variable into specific groups

- a condition under which it is assumed that future values are known for sure and only one result is associated with an action

• - the third phase in decision making, in which alternative is selected
• - this phase involves selecting a course of action from among those available

- supervised induction used to analyze the historical data stored in a database and to automatically generate a model that can predict future behavior

- partitioning a database into segments in which the members of a segment share similar qualities

- the limitations of the human mind related to processing information

- a measure of how difficult a problem is in terms of its formulation for optimization, its required optimization effort, or its stochastic nature

- in association rules, the conditional probability of finding the RHS of the rules present in a list of transactions where the LHS of the rule already exists

- a cross-industry standardized process of conducting data mining projects, which is a sequence of six steps that starts with a good understanding of the business and the need for the data mining project (i.e. the application domain) and ends with the deployment of the solution that satisfied the specific business need

-a visual presentation of critical data for executives to view. It allows executives to see hot spots in seconds and explore the situation

• - a process that uses statistical, mathematical, artificial intelligence, and machine-learning techniques to extract and identify useful information and subsequent knowledge from large databases
• Data mining 196

- a physical repository where relational data are specially organized to provide enterprise-wide, cleansed data in a standardized format

- a collection of files that are viewed as a single storage concept. The data are then available to a wide ranges of users

- software for establishing, updating, and querying (e.g. managing) a database

- methods for determining the solution to a problem, typically when it is inappropriate to use iterative algorithms

- the action of selecting among alternatives

- the manner in which a decision maker thinks and reacts to problems. It includes perceptions, cognitive responses, values, and beliefs

- a conceptual framework for a process of supporting managerial decision making, usually by modeling problems and employing quantitative models for solution analysis

- conveniently organized information and knowledge in a systematic, tabular manner, often prepared for further analysis

• - a graphical presentation of a sequence of interrelated decisions to be made under assumed risk. This technique classifies specific entities into particular classes based upon the features of the entities; a root followed by internal nodes, each node (including root) is labeled with a question, and arcs associated with each node cover all possible reponses
• Decision tree 220

• - a variable in a model that can be changed and manipulated by the decision make. Decision variables correspond to the decisions to be made, such as quantity to produce, amounts of resources to allocate, etc.
• Decision variable 146

-a model that describes things as they are

• - the second decision-making phase, which involves finding possible alternatives in decision making and assessing their contributions
• - the phase involves inventing, developing, and analyzing possible alternative courses of action (solutions)

- a catalog of all the data in a database or all the models in a model base

- a form of data mining that finds patterns, associations, and relationships among data in order to uncover facts that were previously unknown or not even contemplated by an organization

- a method used to calculate the closeness between pairs of items in most cluster analysis methods. Popular distance measure include Euclidian distance ( the ordinary distance between two points that one would measure with a ruler) and Manhattan distance (also called the rectilinear distance, or taxicab distance, between two points).

- a DSS program built for a specific purpose (e.g. a scheduling system for a specific company).

- models whose input data are changed over time (e.g. a 5-year profit or loss projection).

- the degree of goal attainment. Doing the right things

- the ration of output to input. Appropriate use of resources. Doing things right

- a metric that measures the extent of uncertainty or randomness in a data set. If all the data in a subset belong to just one class, then there is no uncertainty or randomness in that data set, and therefore the entropy is zero

- a process that involves conducting a search for and an analysis of information in external databases and flows of information

- a person who is skilled in the application of one or more types of specialized problem-solving tools

- the process of capturing data from several sources, synthesizing them, summarizing them, determining which of them are relevant, and organizing them, resulting in their effective integration

- a person who plans, organizes, and electronically controls a group in a collaborative computing environment

- predicting the future

- a metric that is used in economics to measure the diversity of the population. The same concept can be used to determine the purity of a specific class as a result of a decision to branch along a particular attribute/variable

- asking a computer what values certain variables must have in order to attain desired goals

- an interactive, user-friendly interface in which, by using icons and similar objects, the user can control communication with a computer

- information systems, specifically DSS, that support the collaborative work of groups

- the use of heuristics in problem solving

- informal, judgmental knowledge of an application area that constitutes the rules of good judgement in the field. Heuristics also encompasses the knowledge of how to solve problems efficiently and effectively, how to plan steps in solving a complex problem, how to improve performance, and so forth.

- different but integrated computer support system used together in one decision-making situation

- a form of data mining that begins with a proposition by the user, who then seeks to validate the truthfulness of the proposition

- a scaled physical replica

• - the fourth decision-making phase, involving actually putting a recommended solution to work
• - the phase involves adapting the selected course of action to the decision situation (i.e. problem solving or opportunity exploiting)

- a diagram that shows the various types of variables in a problem (e.g. decision, independent, result) and how they are related to each other

- the splitting mechanism used in ID3 (a popular decision-tree algorithm)

- a DSS that is a permanent fixture in an organization and has continuing financial support. It deals with decisions of a recurring nature

• - the initial phase of problem definition in decision making
• - the phase involves searching for conditions that call for decisions

- a person who uses a computer to fulfill requests made by other people (e.g. a financial analyst who uses a computer to answer questions for top mgmt)

- a variable that contains the values of intermediate outcomes in mathematical models

- variables that can be measured on interval scales

- a popular accuracy assessment technique for prediction models where the complete dataset is randomly split into k mutually exclusive subsets of approximately equal size. The classification model is trained and tested k times. Each time it is trained on all but one fold and then tested on the remaining single fold. The cross-validation estimate of the overall accuracy of a model is calculated by simply averaging the k individual accuracy measures

- a machine-learning process that performs rule induction or a related procedure to establish knowledge from large databases

- a mathematical model for the optical solution of resource allocation problems. All the relationships among the variables in this type of model are linear

- the linkage among many objects of interest is discovered automatically, such as the link between Web pages and referential relationships among groups of academic publication authors.

- the application of a scientific approach and mathematical models to the anlysis and solution of managerial decision situations (e.g. problems, opportunities)

- a system that applies any type of decision support tool or technique to managerial decision making

- a system of symbols and expressions that represent a real solution

- an optimization technique for the allocation of resources, subject to constraints

- the mechanisms or images through which a human mind performs sense-making in decision making

Serves as the worldwide source for access to Microsoft's SQL Server 2008 software suite for academic purpose- teaching and research. The consortium has been established to enable universities around the world to access enterprise technology without having to maintain the necessary hardware and software on their own campus. The consortium provides a wide range of business intelligence development tools (e.g. data mining, cube building, business reporting) as well as a number of large, realistic datasets from Sam's Club, Dillard's, and Tyson Foods.

A suite of business intelligence capabilities where data and the models are stored in the same relational database environment, making model mgmt a considerably easier task

- a collection of preprogrammed quantitative models (e.g. statistical, financial, optimization) organized as a single unit

• - software for establishing, updating, combining, and so on (e.g. managing) a DSS model base
• Model base mgmt system (MBMS) 179

- preprogrammed software elements that can be used to build computerized models. For example, a random-number generator can be employed in the construction of a simulation model

- a modeling method that involves data analysis in several dimensions

- refers to a decision situation in which alternatives are evaluated with several, sometimes conflicting, goals.

- a type of data that contains measurements of simple codes assigned to objects as labels, which are not measurements. For example, the variable marital status can be generally categorized as (1) single, (2) married, and (3) divorced

- a model that prescribes how a system should operate

- a type of data that represent the numeric values of specific variables. Examples of numerically valued variables include age, number of children, total household income (in U.S. dollars), travel distance (in miles), and temperature ( in Fahrenheit degrees)

- a person, place, or thing about which information is collected, processed, or stored

- an MBMS constructed in an object-oriented environment

An organization's knowledge repository

a best possible solution to a modeled problem

- the process of identifying the best possible solution to a problem

- data that contains codes assigned to objects or events as labels that also represent the rank order among them. For example, the variable credit score can be generally categorized as (1) low, (2), medium, and (3) high.

- the act or telling about the future

- use of tools that help determine the probable future outcome for an event or the likelihood of a situation occurring. These tools also identify relationships and patterns

- the criterion for making a choice among alternatives

- the jurisdiction (authority) to solve a problem

- a process in which one starts from an initial state and proceeds to search through a problem space to identify a desired goal

- a preprogrammed (some times called ready-made) model or optimization system. These packages sometimes serve as building blocks for other quantitative models

- the (database) mechanism that accepts requests for data, access them, manipulates them, and queries them

- a popular, open-source, free-of-charge data mining software suite that employs a graphically enhanced user interface, a rather large number of algorithms, and a variety of data visualization features

- continuous data where both differences and ratios are interpretable. The distinguishing feature of a ratio scale is the possession of a nonarbitrary zero value

- a data mining method for real-world prediction problems where the predicted values (i.e. the output variable or dependent variable) are numeric (e.g predicting the termperature for tomorrow as 68 degree F)

- a relational approach (as in relational databases) to the design and development of a model base mgmt system

- a variable that expresses the result of a decision (e.g. one concerning profit), usually one of the goals of a decision-making problem

- a probabilistic or stochastic decision situation

- a decision-making method that analyzes the risk (based on assumed known probabilities) associated with different alternatives

- a comprehensive, and commercial data mining software tool developed by SAS Institute

- a process by which one seeks a solution that will satisfy a set of constraints. In contrast to optimization, which seeks the best possible solution, satisficing simply seeks a solution that will work well enough

- a statement of assumptions and configurations concerning the operating environment of a particular system at a particular time

Fall between structured and unstructured problems, having some structured elements and some unstructured elements such problems as trading bonds, setting marketing budgets for consumer products, and performing capital acquisition analysis

- an alternative process for data mining projects proposed by the SAS Institute. The acronym SEMMA stands for sample, explore, modify, model, and assess

• - a study of the effect of a change in one or more input variables on a proposed solution
• Sensitivity analysis 158

a pattern discovery method where relationships among the things are examined in terms of their order of occurrence to identify associations over time

• - an imitation of reality in computers
• Simulation 171

- data is partitioned into two mutually exclusive subsets called a training set and a test set (or boldout set). It is common to designate two-thirds of the data as the training set and the remaining one-third as the test set

- a very popular, commercially available, comprehensive data, text, and Web mining software suite developed by SPSS (formerly Clementine)

an individual who acts as an assistant to a manager

models that describe a single interval of a situation

All phases are structured. The procedures for obtaining the best (or at least a good enough) solution are known. Whether the problem involves finding an appropriate inventory level or choosing an optimal investment strategy, the objectives are clearly defined. Common objectives are cost minimization and profit maximization

an optimization-based procedure that does not consider all the alternatives for or impacts on an organization

the measure of how often products and/or services appear together in the same transaction; that is, the proportion of transactions in the dataset that contain all of the products and/or services mentioned in a specific rule

models that represent problems for the tactical level (i.e. midlevel) of mgmt

in expert systems, a value that cannot be determined during a consultation. Many expert systems can accommodate uncertainty; that is, they allow the user to indicate whether he or she does not know the answer

a factor that affects the result of a decision but is not under the control of the decision maker. These variables can be internal (e.g. related to technology or to policies) or external (e.g. related to legal issues or to climiate)

One in which none of the Simon's four phases is structured

the component of a computer system that allows bidirectional communication between the system and its user

the DSS component that handles all interaction between users and the system

a simulation approach used in the decision-making process that shows graphical animation in which systems and processes are presented dynamically to the decision maker. It enables visualization of the results of different potential actions

a popular, free-of-charge, open-source suite of machine-learning software written in Java, developed at the University of Waikato

• a process that involves asking a computer what the effect of changing some of the input data or parameters would be
• What-if analysis 159

a system in which humans and/or machines perform a business process, using resources to produce products or services for internal or external customers.