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Chapter 5
Applications Software for Businesses
Introduction to Information Systems
Judith C. Simon
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Chapter 5 Major Topics
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The concept of office automation
Office applications software
Management decision support software
Evaluation of applications software
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Office Automation
Use of information technology to perform typical
office activities automatically
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Office Applications Software
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Programs used to assist in performing a wide
variety of office activities
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Examples include word processing, spreadsheets,
databases, graphics, and many others
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Word Processing Software
Used primarily for text documents, such as
 memos
 letters
 reports
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Spreadsheet Software
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Contains columns (vertical) and rows (horizontal)
Used primarily for numeric data and calculations
Contains some predesigned formulas, such as
 financial formulas
 statistical formulas
 logical formulas
 date and time formulas
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Database Software
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Used to record items of interest about an object or
person and to be able to manipulate and link the
data in a variety of ways
Typical features include
 sorting/indexing
 querying
 report generation
 programming
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Graphics Software
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Used for creating attractive charts and diagrams
Presentation graphics: software used to prepare
materials for meetings and other presentations,
often in the form of overhead transparencies or onscreen slides
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Forms Processing Software
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Used for on-screen forms that can be linked to
databases, which allows some of the routine data
to be inserted automatically into the form
Can be sent to its destination electronically, with
contents of the form added to a database
automatically
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Work Flow Software
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Used to automate the flow of some work processes
May include forms processing as well as a variety
of other office activities in which data and/or
forms may be processed and automatically sent to
the next destination
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Calendaring and Scheduling Software
Used to check calendars and to schedule meetings
or other events without the need to contact
participants individually
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Project Management Software
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Used to assist in managing groups of tasks (projects)
Used for project planning as well as for monitoring
progress during the project
Typical features: front-end modeling, time reporting,
work requests, project accounting, resource leveling,
and integration
Some well-known charts:
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Gantt: displays tasks on a time scale (expected vs. actual
times)
PERT: emphasizes relationships and critical path (longest
completion time, therefore no slack time)
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Decision Support System (DSS) Software
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Used for assistance in making unstructured or
semistructured decisions
Can be used by different people for different purposes
because it is designed to be linked in a variety of ways
Typical sources of data include internal data from multiple
databases as well as external data from various data banks
Allows for “what-if” analysis so that different alternatives
can be tested and their results evaluated
May allow “goal-seeking analysis” in which the desired
goal is identified and the system works to determine the
data needed to reach that goal
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Group Decision Support System (GDSS)
Software
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Additional capability compared with DSS of allowing
multiple persons to participate in the decision-making process
Uses software sometimes called “groupware”
Allows multiple participants to access the same documents
simultaneously
Often uses the “Delphi technique,” in which decision-makers
provide recommendations for a solution, then several rounds
of communication may occur to reach a consensus
Some forms of GDSS software involve decision-making with
all participants in the same room, and others are designed for
participants who do not need to be in the same physical
location
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Executive Information System (EIS) Software
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Specialized form of DSS that is intended to
provide easy access to information about
particular topics of interest
Usually begins with summary reports (often in a
graphical form)
Uses a “drill-down” technique for the user to see
additional details as desired
Typically uses both internal and external
databases, although this depends on the needs of
the users
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Artificial Intelligence (AI) Software
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Refers to software that attempts to mimic human
intelligence
Two types of AI that are used for business
applications:
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Expert systems
Neural networks
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Expert System Software
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Uses a reasoning capability to solve problems or
to make recommendations, usually for specific
situations that can be defined clearly
Somewhat expensive to develop and to maintain
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Components of an Expert System
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Knowledge base:
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Inference engine:
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contains data about some topic as well as reasoning
procedures obtained from one or more experts
processes the rules and facts in the knowledge base so that a
possible solution can be identified
User interface:
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allows the computer user to communicate with the software,
often to indicate answers to system questions as parts of the
procedure are processed, thus helping to make the path to the
solution appropriate for the situation
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Expert System Components, continued
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Knowledge acquisition facility:
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provides methods of entering new facts and rules into
the knowledge base
Explanation facility:
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provides information about how the decision was
reached, such as the facts and rules used, as well as a
level of confidence in the conclusion reached
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Neural Network
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Attempts to imitate human brain functions,
especially the ability to learn
Mimics the brain’s ability to recognize and
understand patterns
Can learn by example
Considered more precise than expert systems
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Comparison of DSS and AI
Artificial
Intelligence
DSS
GDSS
EIS
Expert
Systems
Neural
Networks
DSS models help decision makers manipulate existing data.
Artificial intelligence models attempt to evaluate data by mimicking
human thinking and reasoning skills.
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Software Purchase Options
Options include:
 Licensed copy for each computer
 Licensed copy for each user
 Licensed copies for the maximum number of users
at any one time
 Site license for multiple copies of the software,
either a specified number or unlimited
 Site license for a server, with multiple user access
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