Executive Information Systems and Digital Dashboards Explained
This paper examines executive information systems (EIS) and digital dashboards as tools for organizational decision-making. It defines EIS, explains how both technologies work by providing snapshot analyses and customizable data displays, and evaluates how they add value to business operations. The paper also presents two examples of each technology — including SAS and Lilly Software's EIS — and concludes with an assessment of the conditions under which these tools are most effective. The discussion draws on academic and practitioner sources to offer a balanced overview appropriate for managers and students exploring business intelligence tools.
- Introduction: Purpose and scope of the paper
- What Are Executive Information Systems?: Definition of EIS from academic sources
- How EIS and Digital Dashboards Work: Snapshot analysis and dashboard display mechanics
- How EIS and Digital Dashboards Add Value: Business value and decision-making benefits explained
- Examples of EIS and Digital Dashboards: SAS and Lilly Software product examples
- Conclusion: Summary of findings and user adoption factors
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What makes this paper effective
- It moves logically from definition to function to value to examples, giving each concept its own clearly bounded discussion before building to a synthesis in the conclusion.
- The paper uses direct quotations from vendor literature and academic sources together, demonstrating the ability to integrate practitioner and scholarly perspectives.
- The conclusion grounds the findings in a realistic, nuanced takeaway — acknowledging that tool value depends on user disposition — rather than offering an uncritical endorsement.
Key academic technique demonstrated
The paper demonstrates effective use of definitional framing: it anchors each technology in a cited, authoritative definition before expanding into analysis. This technique, common in business and information systems writing, ensures the reader and writer share a precise vocabulary before value claims are made.
Structure breakdown
The paper opens with a brief introduction stating its purpose, then proceeds through three analytical subsections — definition, mechanism, and value — followed by a section presenting concrete product examples. The conclusion synthesizes the key findings and offers a practical observation about user adoption. At approximately 700 words, it is a tight overview paper suited to an introductory business technology course.
Introduction
Today, computer applications are available that can help companies of all types and sizes improve their performance and profitability. Identifying appropriate technologies for a given company therefore represents a timely and valuable enterprise. To this end, this paper provides detailed descriptions of what executive information systems and digital dashboards are, how they work, and how they provide value to today's business organizations. Two examples of each technology are discussed. A summary of the research and important findings concerning these executive management tools is provided in the conclusion.
What Are Executive Information Systems?
According to Thierauf and Hoctor (2003), executive information systems (hereinafter alternatively "EIS") can be defined as "systems for business that can turn selected information, knowledge, and intelligence into optimized solutions for decision makers to solve problems and explore new opportunities" (p. 17).
How EIS and Digital Dashboards Work
Executive information systems work by providing a "snapshot" analysis of business processes and functions at a given point in time (Desouza, 2002). Like digital dashboards — which are a subset of EISs — executive information systems typically provide "dashboard" displays of data for executives who need to review various metrics of their company's performance (Desouza, 2002). According to Abel (2008), "Digital dashboards provide users with one single interface through which they can view information from a variety of sources that have been chosen specifically for that user" (p. 4).
How EIS and Digital Dashboards Add Value
In some cases, executive information systems will have only limited application because they are mostly static in nature (Desouza, 2002). Although EISs can provide executives with an overall picture, they have limited functionality for diagnostic purposes. According to one authority, "Generation of accounting statements such as profit-and-loss statements and balance sheets are to a large extent akin to executive information systems. They provide investors with a snapshot view of a business's state but have low analytical or decision-making value" (Desouza, 2002, p. 37).
The potential value added by executive information systems therefore relates to how these tools are used. As Thierauf and Hoctor (2003) emphasize, executive business systems "enable decision makers to access data, information, and knowledge in ways they never could before to obtain a better understanding in order to optimize a company's operations. This simple fact is the main thrust behind the growing popularity of smart technology" (p. 16). Likewise, Thierauf (2001) suggests that EISs provide executives with the types of information they need when they need it: "For the most part, these systems are helpful in making comparisons, analyzing trends and patterns in business, and presenting historical and current information to decision makers. Essentially, these systems assist decision makers in making better informed decisions that affect all aspects of a company's operations" (p. 4).
Furthermore, digital dashboards in particular are capable of providing executives with customizable displays for reporting data from managers at all levels of the organization, allowing them to manage the organization in more effective ways (Glenn et al., 2003). According to Abel (2008), "Digital dashboards are customized to allow you to access personal files, e-mail, company databases, Web sites, and more — all in one place. A digital dashboard offers the user more than a Web portal offers" (p. 5).
Although Web portals also provide executives with the ability to aggregate large amounts of data from various sources, there is still the challenge of sorting through all of that information in meaningful ways. Indeed, many executives face so much information that it is comparable to trying to sip from a fire hose. In contrast to Web portals, a digital dashboard is "a personalized portal that provides consolidated information for an individual user" (Abel, 2008, p. 6). Finally, digital dashboards also provide executives with the ability to view information offline, thereby adding portability to the EIS approach (Abel, 2008).
Conclusion
The research showed that EIS and digital dashboards are computer- and Internet-based applications that can help executives better manage the flood of information they receive on a regular basis. The research also showed that executive information systems and digital dashboards are like any management tool in that their value relates to the individual's ability to use these tools appropriately. Top-level managers who are comfortable with data analysis will likely embrace these technologies, identifying new ways to use their information displays to make more timely and informed decisions. By contrast, executives who are already uncomfortable with computers or who prefer a more hands-on management approach may not realize the same level of value from these systems.
References
Abel, T. (2008). Microsoft Office 2000: Create dynamic digital dashboards using Office, OLAP, and DHTML. Microsoft Corporation.
Desouza, K. C. (2002). Managing knowledge with artificial intelligence: An introduction with guidelines for nonspecialists. Westport, CT: Quorum Books.
Glenn, R. W., Panitch, B. R., Barnes-Proby, D., Williams, E., Christian, J., Lewis, M. W., Gerwehr, S., & Brannan, D. W. (2003). Training the 21st century police officer: Redefining police professionalism for the Los Angeles Police Department. Santa Monica, CA: Rand.
Lilly Software. (2008). Infor Global Solutions, Inc.
SAS. (2008). Executive Information Systems, Inc.
Thierauf, R. J., & Hoctor, J. J. (2003). Smart business systems for the optimized organization. Westport, CT: Praeger.
Thierauf, R. J. (2001). Effective business intelligence systems. Westport, CT: Quorum Books.
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