““ An ESS is an information An ESS is an information system at the strategic level of an system at the strategic level of an organization designed to address organization designed to address unstructured decision making unstructured decision making through advanced graphics & through advanced graphics & communicationcommunication..””

LAUDON DEFINED ESS as,

An ESS can be understood as a friendly, fully An ESS can be understood as a friendly, fully customized & interactive DSS to be mostly used by top customized & interactive DSS to be mostly used by top executives & policy-makers to get permanent & updated executives & policy-makers to get permanent & updated assessment in relation to key questions (information & assessment in relation to key questions (information & knowledge).knowledge).

A type of MIS intended to facilitate & support the information & decision – making needs of senior executives by providing easy access to both int & ext information relevant to meeting the strategic goals of the organization..

What’s an executive What’s an executive support system?support system?

Executive Support Executive Support SystemSystem

A specialized DSS that includes all the hardware, software, A specialized DSS that includes all the hardware, software, data, procedures, and data, procedures, and

people used to assist senior-level executives within the people used to assist senior-level executives within the organizationorganization

Board of directors   Board of directors  

President President 

Function area Function area  vice presidents  vice presidents 

Function area Function area  managers managers

EXECUTIVE INFORMATION EXECUTIVE INFORMATION SYSTEMSYSTEM

Reporting tool (software) that allows you to Reporting tool (software) that allows you to turn your organization's data into useful turn your organization's data into useful summarized reports. summarized reports.

These reports are generally used by executive These reports are generally used by executive level managers for quick access to reports level managers for quick access to reports coming from all company levels and coming from all company levels and departments such as billing, cost accounting , departments such as billing, cost accounting , staffing, scheduling, and more. staffing, scheduling, and more.

They supply the necessary tools to senior They supply the necessary tools to senior management.management.

EXECUTIVE SUPPORT EXECUTIVE SUPPORT SYSTEM (ESS)SYSTEM (ESS)

Also known as executive information Also known as executive information system.system.

They are information systems which They are information systems which provide relevant information is more provide relevant information is more important at the top level.important at the top level.

Designed to meet the information Designed to meet the information requirements of top level executives.requirements of top level executives.

Provides valuable information & Provides valuable information & assistance to the top level assistance to the top level executives.executives.

The Role Of ESS in the The Role Of ESS in the OrganizationOrganization

An ESS can supply the summarized information An ESS can supply the summarized information executives need & yet provide the opportunity to executives need & yet provide the opportunity to drill down to more detail if necessary.drill down to more detail if necessary.

As technology advances , ESS are able to link As technology advances , ESS are able to link data from various sources both int & ext to data from various sources both int & ext to provide the amount & kind of information provide the amount & kind of information executives find useful.executives find useful.

they’re turning out to be an easy way to they’re turning out to be an easy way to manipulate information.manipulate information.

COMPONENTS OF AN ESSCOMPONENTS OF AN ESS1.1. Hardware Hardware

The basic computer hardware needed for a The basic computer hardware needed for a typical EIS includes four components:typical EIS includes four components:

Input data-entry devices. These devices allow the Input data-entry devices. These devices allow the executive to enter, verify, and update data executive to enter, verify, and update data immediately; immediately;

The central processing unit (CPU), which is the The central processing unit (CPU), which is the kernel because it controls the other computer system kernel because it controls the other computer system components; components;

Data storage files. The executive can use this part to Data storage files. The executive can use this part to save useful business information, and this part also save useful business information, and this part also help the executive to search historical business help the executive to search historical business information easily; information easily;

Output devices, which provide a visual or permanent Output devices, which provide a visual or permanent record for the executive to save or read. This device record for the executive to save or read. This device refers to the visual output device or printer. refers to the visual output device or printer.

2. Software2. Software The basic software needed for a typical EIS The basic software needed for a typical EIS

includes four components:includes four components:

Text base software. The most common form of text Text base software. The most common form of text are probably documents; are probably documents;

Database. Heterogeneous databases residing on a Database. Heterogeneous databases residing on a range of vendor-specific and open computer range of vendor-specific and open computer platforms help executives access both internal and platforms help executives access both internal and external data; external data;

Graphic base. Graphics can turn volumes of text Graphic base. Graphics can turn volumes of text and statistics into visual information for and statistics into visual information for executives. Typical graphic types are: time series executives. Typical graphic types are: time series charts, scatter diagrams, maps, motion graphics, charts, scatter diagrams, maps, motion graphics, sequence charts, and comparison-oriented graphs sequence charts, and comparison-oriented graphs (i.e., bar charts); (i.e., bar charts);

Model base. The EIS models contain routine and Model base. The EIS models contain routine and specialspecial statistical, financial, and other quantitative statistical, financial, and other quantitative analysis. analysis.

3. User Interface3. User Interface

Several types of interfaces can be Several types of interfaces can be available to the EIS structure, such as available to the EIS structure, such as scheduled reports, questions/answers, scheduled reports, questions/answers, menu driven, command language, menu driven, command language, natural language, and input/output. natural language, and input/output.

The ideal interface for an EIS would be The ideal interface for an EIS would be simple to use and highly flexible, simple to use and highly flexible, providing consistent performance, providing consistent performance, reflecting the executive’s world, and reflecting the executive’s world, and containing help information.containing help information.

4. Telecommunication4. Telecommunication

As decentralizing is becoming the As decentralizing is becoming the current trend in companies, current trend in companies, telecommunications will play a pivotal role telecommunications will play a pivotal role in networked information systems. in networked information systems. Transmitting data from one place to Transmitting data from one place to another has become crucial for another has become crucial for establishing a reliable network. In establishing a reliable network. In addition, telecommunications within an addition, telecommunications within an EIS can accelerate the need for access to EIS can accelerate the need for access to distributed data.distributed data.

FEATURES OF EXECUTIVE FEATURES OF EXECUTIVE SUPPORT SYSTEMSUPPORT SYSTEM

Meant for higher level Meant for higher level management.management.

Pervasive in nature.Pervasive in nature.

Emphasis on external data.Emphasis on external data.

Information in summary formInformation in summary form..

BENEFITS OF EXECUTIVE BENEFITS OF EXECUTIVE SUPPORT SYSTEMSUPPORT SYSTEM

FlexibilityFlexibility

Reduce information overloadReduce information overload

Monitoring PerformanceMonitoring Performance

Improve the PerformanceImprove the Performance

CAPABILITIES OF AN CAPABILITIES OF AN ESSESS

• SupportSupport for for defining overall vision defining overall vision

strategic planning strategic planning

strategic organizing and staffing strategic organizing and staffing

strategic control strategic control

crisis management crisis management

ESS ApplicationsESS Applications

ManufacturingManufacturing

MarketingMarketing

FinancialFinancial

ADVANTAGES OF ESSADVANTAGES OF ESS

Easy for upper-level executives to use, Easy for upper-level executives to use, extensive computer experience is not extensive computer experience is not required in operations required in operations Provides timely delivery of company Provides timely delivery of company summary information summary information Information that is provided is better Information that is provided is better understood understood Filters data for management Filters data for management Improves to tracking information Improves to tracking information Offers efficiency to decision makers Offers efficiency to decision makers

DISADVANTAGES OF ESSDISADVANTAGES OF ESS

Limited functionality, by design Limited functionality, by design

Information overload for some managers Information overload for some managers

Benefits hard to quantify Benefits hard to quantify

High implementation costs High implementation costs

System may become slow, large, and System may become slow, large, and hard to manage hard to manage

Need good internal processes for data Need good internal processes for data management management

May lead to less reliable and less secure May lead to less reliable and less secure data data

System dependent System dependent

SUMMARYSUMMARY

ESSs meet the needs of ESSs meet the needs of corporate executives by providing corporate executives by providing them with vast amounts of them with vast amounts of information quickly & in graphical information quickly & in graphical form to help them make effective form to help them make effective decisions.decisions. ESS must be flexible , easy to ESS must be flexible , easy to use, & contain both int & ext sources use, & contain both int & ext sources of information.of information.

PREPARED BYPREPARED BY

T H A N K Y O U