BIG-DATA ANALYSIS

In the past, employees who dealt with accounting, marketing, and other types of documents belonging to the Ann’s different departments were storing and analyzing data. That was done for commercial and financial transactions and for business infonnation [7]. Nowadays, data is provided by regular people according to their personal analysis. This led big data analysts to adopt a method of analyzing big data for advancing a forecast model (see Figure 11.1).

It should be noticed that big data analytics is done with the help of software utilities like Apache Hadoop, which permits to study of the Aim’s internal and external environment to facilitate decision making.

The process of analyzing data. Source

FIGURE 11.1 The process of analyzing data. Source: Adapted from Refs. [2] and [8].

DEFINITION OF DECISION MAKING DATA MINING (DM) PROCESS

The strategic decision strategic decisions play an important role in achieving strategic political goals, in which decision-makers seek to attain different terms: short, average, and long term. These decisions are made according to the goals set by the company, which is made real once achieved [2].

11.4.1 DEFINITION OF STRATEGIC DECISION

It is the carefhl choice between, at least two, two alternatives having the same/similar value. It is an important phase of forming the firm’s strategy, which depends on the company’s strategic analysis to choose the best. It is also known as the decision made by senior management while responding to the needs of its environment, and which profoundly affects the firm’s ability and future.

These definitions conclude that SD aims to pursue the foundation’s mission because of the environmental variables. SD is one aspect of the modem organization that seeks to improve its team, risk-taking, and positioning.

11.4.2 DECISION-MAKING PROCESS

The necessity of decision marking arises from the existence of many alternatives to cany out the task; opting for the best ones depends on collecting and analyzing financial and non-financial data to make the appropriate decision. This will allow focusing on relevant information to compare the existing alternatives.

The cost of alternative decisions is known as differential costs. Every decision has charges that are borne by the manager and which can be avoided if a given decision is not made. Identifying appropriate costs begins by separating between the variable and fixed costs. The variable costs change according to the level of activity while the fixed do not change.

As the administrative decision is to be taken in the future, its charges are already projected and can be avoided. Based on the aforementioned definition, the process of decision-making involves:

  • • A problem which needs to be identified and solved;
  • • Different alternatives;
  • • Set goal/s;
  • • Awareness to make a choice.

The process is illustrated in Figure 11.2.

Steps of making a decision

FIGURE 11.2 Steps of making a decision.

Source: Adapted from Ref. [9].

Therefore, the process includes:

  • • The Identification of the problem: a problem means that the existing situation is not as wanted or desired.
  • • Looking for alternatives: it is to identify the alternatives and the possible and available solutions for the problem. There have to be two or more alternatives.
  • • Evaluating the alternatives and making a choice: it depends on the advantages and disadvantages of eveiy alternative, taking into account its expenses and future costs.
  • • Implementing the solution: in this step, the decision is made and executed.
  • • Evaluating results: it is to progressively check whether the problem is solved. The previous process needs to be checked.
 
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