Question

using examples , explain how a decision support system (DSS) and management information system (MIS) are incorporated into the business of eBay. 20 Marks.

Answer 1

Let's start with explaining what does Decision Support System ( DSS ) and Management Information System ( MIS ) means ???

Decision Support System ( DSS ) : Decision Support System is a computer application program that helps the users to makes business decisions more easily by the analysis of business data presented in the application. It is an information application that helps to know the comparative sale figures between the present week and the next week, it helps to project the revenue figures based on New products sales assumption and helps to take corrective measures that are taken in the past experience by analysis.

Management Information System ( MIS ) : Management Information System is a system that helps to make decisions and for the coordination, control, analysis and visualization of information in an organization. It is an information system. The main goal of this management is to increase the value and profit of the business. MIS helps to gain a competitive advantage to the company, helps to know the strength and weakness of the company by analysing the reports of revenueand employees performance records. MIS reports helps to make decisions making and it act as a communication and planning tool.

eBay : eBay Inc is an American multinational e-commerce corpcorporation, headquarters situated in San Jose, California, U.S . It has global online market worldwide. eBay enables the people and business to buy and sell products and services through website worldwide and it facilitates consumer-to-consumer and business-to-consumer sales through its website. There are wide range of products available in the eBay store like decor, home appliances, furnitures, equipments, vehicles, etc...

Now do you understand each element in the question. Let's move on to the question ;

How decision support system (DSS) and management information system (MIS) are incorporated into the business??

Business like eBay with wide range of operations around the world, it is very difficulty to co-ordinate all the activities. The product and services available in the eBay are different types that are sell and purchased by different people and businesses through the website. Therefore we need a well developed information system which should be capable of control and co-ordinate all the activities done in the website.

Management information system helps the managers of eBay to take accurate and effective decision making in the management level. As the functioning of eBay is wide range, the MIS enables to coordinate and control all the functions of the eBay. It helps to minimise the managers work of analyse the wide range of activities in the website using MIS. Using the MIS reports, managers of the the eBay business easily understand what is thier strength and weakness and what are the areas to improve the functions, the timely prepared performance report helps understanding the performance level of the employees, increased the competitive advantage of the business. Management functions of global business eBay can be easily controlled and take corrective actions immediately is possible using the management system support. Management system support is used for management functions of the business.

For example : Managers analysis a product section in the eBay and analysis the strength and weakness and make corrections where ever required, analysis the rivalry online websites business with eBay ratings and make decisions regarding improvement of performance.

Decision Support System is used in the eBay business inorder make decisions and develop ideas for the technical functions. As eBay is a online marketing platform where the selling and buying procedures are done in the website. It is an information application that will helps the updation of products details, review and other technical issues. eBay is a online business so the website should be assessed by the customers without any interception and problems. For huddle all the technical issues and technological related problems, the decision support system is used.

For example : A product category in eBay is furnitures, on special occation or some seasonal time provide and updating discounts and other extra benefits. Updating product's new features, at manager's side analysis the sale diagram comparing to previous time sale, make decisions for upcoming sale etc..