ITS 532 Module One Essay: Technology's Impact on Decision Making

This essay examines the significant role of technology in modern business decision-making processes. It explores two key technology trends: Big Data and predictive analytics, highlighting how these advancements facilitate data accumulation, trend prediction, and comprehensive data analysis. The essay further discusses how computing capabilities, such as efficient data sorting and graphical representation, enhance managerial decision-making by providing precise insights and aiding in competitive advantage. Additionally, it addresses how information systems and tools help overcome cognitive limits by offering extensive knowledge bases and data-driven analysis, enabling more informed decisions. The essay references scholarly sources to support its findings, providing a comprehensive overview of technology's impact on decision-making in business.

BUSINESS INTELLIGENCE

1
Information system in decision making
Technology in the today’s time is the biggest supporter of decision making process. There are
several advantages of using technology in the decision making process. Among the different
technology trends that have IS-supported decision making to help decision analysis are Big
Data and predictive analytics. In the modern day business, huge amount of data gets
generated. This data is known as Big data. It is not easy to manually operate such a high
amount of data. The use of Big data technologies help a company to accumulate this data
(Chen, Chiang & Storey, 2012). This trend is highly common in the multinational companies
especially the ones that are associated with the digital business. This is because at the time of
decision making company’s management will be able to access all the data at one place. This
technology ensures that company misses no data in the process. Features of this technology
that helps DSS are data processing, reporting feature and predictive application.
Other technology trend in this regards is predictive analytics. Using this technology company
can easily predict the trends in the future. It is a part of business intelligence that helps the
decision makers to suggest about the trends in the market, the resources that will be required
in future and the demand about any specific products and services. Features of this
technology that helps DSS are speed and higher sensitivity towards change.
Computing facilitates good managerial decision-making in different ways. The two
capabilities that facilitate the decision making are easy sorting or filtering of the large amount
of data in no time and graphical representation of data. Computing technologies are able to
filter a large amount data according to the query given by the decision makers. This helps
them in making precise decisions on the exact data (Minelli, Chambers & Dhiraj, 2012). This
helps company in gaining competitive advantage as it will give the exact idea about the
challenges or trends going on and hence companies can reach to each customer hence gaining
advantage over the rivals.
Second capability of computing i.e. representing data in animation or other interactive forms
helps a firm to make sure that they are not wrong about the way they have analysed a data.
Since even the slightest of changes in the data are noted hence by representing the data in
graphical forms one can know what exact changes are happening and hence make decisions
accordingly to it to gain advantage over the rivals (Williams & Williams, 2010).

2
Technology and information system can assist an organisation in overcoming limits in human
thinking. Since cognitive limit indicates that problems solving capacity of any individual is
limited and it is crucial for a firm to understand that in the competition that exist depending
too much on the cognitive limits of individual can be dangerous. In such situation company
needs a knowledge base that is huge and also requires a diverse range of information that
helps in making better decisions (Davenport, 2012). IT technologies act as an extended hand
of the decision makers as it helps them in analysing the situation based on the precise data
rather than on the feelings of the decision makers. With the help of IT technologies a person
can filter among the large set of data without having the chances of data redundancy.

3
REFERENCES
Chen, H., Chiang, R. H., & Storey, V. C. (2012). Business intelligence and analytics: From
big data to big impact. MIS quarterly, 36(4).
Davenport, T. H. (2012). Business intelligence and organizational decisions.
In Organizational Applications of Business Intelligence Management: Emerging
Trends (pp. 1-12). IGI Global.
Minelli, M., Chambers, M., & Dhiraj, A. (2012). Big data, big analytics: emerging business
intelligence and analytic trends for today's businesses. John Wiley & Sons.
Williams, S., & Williams, N. (2010). The profit impact of business intelligence. Elsevier.