New Enroll here to Join NaBFID Analyst Into Class on May 6

    Question

    What is the primary function of a Decision Support

    System (DSS) in Management Information Systems?
    A To automate repetitive organizational tasks. Correct Answer Incorrect Answer
    B To generate periodic reports for operational staff. Correct Answer Incorrect Answer
    C To support managerial decision-making through data analysis and modeling tools. Correct Answer Incorrect Answer
    D To monitor network traffic and ensure cybersecurity. Correct Answer Incorrect Answer
    E To replace human decision-makers in an organization. Correct Answer Incorrect Answer

    Solution

    A Decision Support System (DSS) is an interactive software application that aids managers in decision-making by analyzing data and presenting actionable insights. It leverages tools like statistical models, simulation techniques, and predictive analytics. • Why DSS is essential: DSS helps managers evaluate complex scenarios, forecast trends, and identify optimal solutions. For instance, a retail chain can use DSS to determine optimal inventory levels based on historical sales and seasonal demand. Why Other Options Are Incorrect: 1. Automate repetitive tasks: This is the role of Transaction Processing Systems (TPS), not DSS. 2. Generate periodic reports: This task is typically performed by Management Reporting Systems (MRS), which differ from DSS. 3. Monitor network traffic: This pertains to network management and cybersecurity, unrelated to DSS functionality. 4. Replace human decision-makers: DSS complements human decision-making; it does not replace it.

    Practice Next