DATABASE MANAGEMENT SYSTEMS IN DECISION SUPPORT SYSTEMS/BUSINESS INTELLIGENCE

5.5 DATABASE MANAGEMENT SYSTEMS IN DECISION SUPPORT SYSTEMS/BUSINESS INTELLIGENCE

The complexity of most corporate databases and large-scale independent MSS data- bases sometimes makes standard computer operating systems inadequate for an effec-

tive and efficient interface between the user and the database. A database manage*

ment system (DBMS) supplements standard operating systems by allowing for greater integration of data, complex file structure, quick retrieval and changes, and better data security. Specifically, a DBMS is a software program for adding information to a data- base and updating, deleting, manipulating, storing, and retrieving information. A DBMS combined with a modeling language is a typical system-development pair used in constructing decision support systems and other management-support systems. DBMS are designed to handle large amounts of information. Often, data from the database are extracted and put in a statistical, mathematical, or financial model for fur- ther manipulation or analysis. Large, complex DSS often do this.

The major role of DBMS is to manage data. By manage, we mean to create, delete, change, and display the data. DBMS enable users to query data as well as to generate reports. For details, see Ramakrishnan and Gehrke (2002). Effective database manage- ment and retrieval can lead to immense benefits for organizations, as is evident in the

situation of Aviall Inc., described in DSS in Action 5.11. Unfortunately, there is some confusion about the appropriate role of DBMS and spreadsheets. This is because many DBMS offer capabilities similar to those available in an integrated spreadsheet such as Excel, and this enables the DBMS user to perform DSS

spreadsheet work with a DBMS. Similarly, many spreadsheet programs offer a rudimen- tary set of DBMS capabilities. Although such a combination can be valuable in some cases, it may result in lengthy processing of information and inferior results. The add-in facilities are not robust enough and are often very cumbersome. Finally, the computer's available R A M may limit the size of the user's spreadsheet. For some applications, DBMS

• C H A P T E R 5 DATA WAREHOUSING, ACQUISITION, M I N I N G , BUSINESS ANALYLTICS A N D VISUALIZATION 2 2 9

DSS IN ACTION 5.11 AVIALL LANDS $3 BILLION DEAL

How important is effective data management and e-business applications to provide access to its marine retrieval? Aviall Inc. attributes a $3 billion spare parts and aviation parts inventory and distribution (at a cost distribution contract that it won to its IT infrastructure. of some $30 to $40 million). The system is expected to The ten-year contract requires the company to distrib- pay for itself by cutting costs associated with "lost"

ute spare parts for Rolls-Royce aircraft engines. The inventory. Timely access to information is proving to be ability to offer technology-driven services, such as sales

a competitive resource that results in a big payoff forecasting, down to the line-item level was cited as one of the reasons why Aviall was successful. It Source: Adapted from Marc L. Songini, "Distribution Deal recently linked information from its ERP, supply chain Prods Tight IT Ties Between Aviall, Rolls-Royce," management, customer-relationship management, and ComputerWorld, January 14,2002.

For DSS applications, it is often necessary to work with both data and models. Therefore, it is tempting to use only one integrated tool, such as Excel. However, inter- faces between DBMS and spreadsheets are fairly simple, facilitating the exchange of data between more powerful independent programs. Web-based modeling and data- base tools are designed to seamlessly interact (Fourer, 2001).

Small to medium DSS can be built either by enhanced DBMS or by integrated spreadsheets. Alternatively, they can be built with a DBMS program and a spreadsheet program. A third approach to the construction of DSS is to use a fully integrated DSS generator (Chapter 6).