05 Dec Computerized Decision Making 1 COMPUTERIZED DECISION MAKING 2

Computerized Decision Making 1

COMPUTERIZED DECISION MAKING 2

Computerized Decision Making

Week 6 Assignment

Kevin Dennison

ID: 0165853

MG 630: Organizational Behaviour and Leadership in the 21st Century

Michael A. Altamirano

18/10/2014

Abstract

The case study evaluates computer assisted decision support in the context of contemporary research on decisional thinking, outlines the potential that computers have for overcoming known limitations in this thinking and the problems that occur when some aspects of thinking are overlooked. With the advent of technology, computers can now make many well-informed decisions that managers or office workers may deem unnecessary for a human to make. These decisions may include crunching profit numbers to determine future layoffs or gauging whether certain global offices should remain open or not. If you are evaluating whether computerized decision making is right for your organization, there are advantages and disadvantages to implementing the technology into your corporate strategy.

Computerized Decision Making

Decision Making is a vital activity; it determines the actions that people take and the appropriateness of these actions is important for both individuals and organisations. While human brains can contain a high level of information to use in making a decision, a computer’s “brain” can contain even more data and information, depending on the storage space it is connected to. With a higher capacity for more data, especially data that a human brain might not retain, such as complex equations, more information can be incorporated into the “brain” or algorithm of the computer in its decision making, leading to better results.

Computers can process information much faster than a human brain. One advantage to computers making decisions is that you will have decisions made faster and more accurately than a human brain, which may get hung up with different factors involving the decision, leading to slower overall results. Also, unlike people who can become tired or suffer from a lack of concentration and deliver inaccurate decisions, a well-tuned computer is always alert and can process reams of information without growing bored or tired, leading to more precise results.

Case Incident 1 Computerised Decision Making

Q-1 what are the specific advantages of using computerized decision making? How can computer be better decision makers than humans?

Advantages of computer decision making are Faster and efficient in processing of information, Automatic generation of accounting documents like invoices, cheques and statement of account. With the larger reductions in the cost of hardware and software and availability of user-friendly accounting software package, it is relativ