Name: Mariam Amir Hassan Elsayed

Code:5200948

Assignment 2: CASE QUESTIONS

1. What is meant by a symptom versus a problem? Relate these ideas to the case.
Problems arise out of dissatisfaction with the way things are going. It is the result of a difference or gap
between what we desire and what is or is not) happening. A symptom is how a problem manifests itself.

To elaborate more, the symptoms of the problem in the MMS Running Case were a rapid decline in
demand for the Spider car model by 10%, rentals of company did not increase but the total market did
and a lack of understanding of the underlying causes of this drop. These signs were visible and obvious
signs that something was wrong with MMS's rental company, but they did not provide a clear grasp of the
underlying cause. Michael Lee recognized the need to distinguish the symptoms from the problem and
charged his team with further analysis and problem-solving throughout the design process. The team was
able to discover the fundamental cause of the problem, which was mainly an inventory imbalance and a
lack of awareness of customer preferences and inaccurate data, through this method. MMS was able to
build a solution that rebalanced the inventory of Spider cars and altered the advertising plan to better
target primary markets by addressing the fundamental cause of the problem, which helped to raise
demand and enhance profitability.

2. Why is problem ownership so important?

Problem ownership means having the authority, and taking the responsibility, of solving it. Lack of problem
ownership means either that someone is not doing his or her job, or that the problem at hand has yet to
be identified as belonging to anyone. In either case, it cannot be solved until someone owns it. As we can
see in the MMS running case Michael Lee took ownership of the problem of the sudden drop in demand
for the Spider car model and tasked his team with developing potential solutions. This clear ownership
contributed to the problem being addressed in a timely and effective manner. Furthermore, problem
ownership can help to ensure that all stakeholders are involved in decision-making and that potential
solutions are considered from several viewpoints. Individuals or teams can generate a sense of ownership
and dedication to finding a solution by taking ownership of a problem, which can help to drive the decision-
making process ahead.

3. Even though the problem was not identified at the end of the intelligence phase, what was?
The problem in the MMS Running Case was not fully discovered at the end of the intelligence phase. The
team was able to identify the problem's symptoms, which included a rapid decline in demand for the
Spider automobile model and a lack of understanding of the underlying causes of this drop. The team
employed data mining methods to analyze the available data and discover probable trends and patterns,
but they were unable to pinpoint the underlying source of the issue. Moreover, Problem ownership was
identified as Michael Lee took ownership of the problem. As a result, Michael Lee charged his team with
more analysis and problem-solving during the design phase.
Name: Mariam Amir Hassan Elsayed
Code:5200948

4. How was the design phase performed in this case?

In the design phase, we look at different ways to solve a problem. We try to understand the problem and
see if our solutions work. Moreover, A model of the decision-making problem is constructed, tested, and
validated.

So, what was the type of model developed in MMS Case?

It could be clearly seen that since the problem was vague at the beginning and not so clear, so mental
model was used.

Determining what is the principal of choice

Understanding the fundamental principles of choice is crucial to identify the most suitable solution for
addressing our problem. Maximizing net profit is the principal of choice in our case of study

Trying to find the PROBLEM.

The first step in the design phase was trying to separate the symptoms from the problem, so they started
investigating. They wanted to make sure that CLAUDIA analytics and insights are correct. Thus, they started
to validate the accuracy of the forecasting model.

Method 1
Gathering Data

Internal operational databases and subscribed economic data sources were used. The economic data
encompassed auto rental, automobile, and general economic sectors.

Tools Used

Initially, the analysis team employed automated data mining tools to uncover relationships within the data.
Amy's efforts mainly confirmed pre-existing relationships and assumptions within the forecasting models
and the RMS (Risk Management System). The application of artificial neural networks, clustering analysis
algorithms, and statistical regression models yielded no novel insights.

Though method one did not help in defining the problem, however new opportunities rose from it

Method 2: Out of the box method

The team used the new OLAP software named DOT (Data on Time) provides the ability to interact with
and analyze the data in a flexible and intuitive way, going beyond traditional data mining techniques. It
indicates an interactive approach to identifying insights and patterns in data through active exploration
and manipulation.

When DOT was used some problem was discovered such as Inventory imbalance and Lack of Data
accuracy.

At the end of the design phase, real problems and alternatives were successfully identified.
Name: Mariam Amir Hassan Elsayed
Code:5200948

5. The choice phase seemed like a combination of design, choice, and implementation. Is this a problem?

The choice phase in the MMS Running Case did involve elements of design, choice, and implementation,
but this is not necessarily a problem. In fact, the choice phase is often a combination of these three phases,
as it involves selecting the best solution and planning for its implementation. This sometimes happens as
when multiple solution where chosen the timeline of each chosen solution may differ from each other. To
make it clear, in our case It was decided to fix data mistakes and relocate a certain number of cars from
one set of locations to another. The advertising strategy had been altered, and new data and features were
to be introduced to the firm's DSS. The implementation of each solution differs from one other as some
solutions were still in the design phase while others were ready to implement.

The important thing is that the team carefully considered all the available alternatives and made an
informed decision based on the information available to them. By doing so, they were able to develop a
solution that effectively addressed the underlying problem and improved MMS's operations.

6. The implementation phase seemed to involve elements of all the phases. Is this a problem?

The implementation phase in the MMS Running Case did involve elements of all the phases, but this is not
necessarily a problem. In fact, the implementation phase often involves elements of all the previous
phases, as it involves putting the chosen solution into action and monitoring its effectiveness. Thus,
sometimes we need to get back to previous phases to redevelop the solution or take another decision.

This could be seen clearly in the case when the results of the implemented solution (adjusting the profile
data of the Spider and all models frequently, move cars around, and discount substitutes) came out, there
was increase in the sales and company was projected to be profitable with these small changes.

Elena then decided to go on with all the recommendations except the European marketing and the “Try
before you buy” will be applied but until a specific criterion happens which is a specific amount of spiders
cars should be present in the primary and secondary market. (This is part of choice phase not
implementation however, these decisions were taken in the implementation phase)

The important thing is that the team carefully planned and executed the implementation, and monitored
the results to ensure that the solution was effective.

7. How were new problems or opportunities handled as they arose?

In the design phase, the team observed that the neural networks exhibited slightly better performance
than the regression-based systems. In response, they established an information system and a marketing
group to explore possibilities for enhancing the regression-based models using neural networks.

How it was handled: This presented a fresh opportunity that prompted them to revisit the intelligence
phase with a renewed set of challenges.
Name: Mariam Amir Hassan Elsayed
Code:5200948

8. Why do you suppose some alternatives were either modified or postponed?

In the MMS Running Case, some alternatives were modified or postponed due to various reasons. One of
them is the need for more analysis. For example, the spider car was not moved from secondary market to
primary market until they investigated its properties and which categories of customers would ideally want
it. Another reason could be the urge to maximize the profit in this phase of the company. To illustrate,
European marketing was held on due to the fact that MMS did not have a presence in major European
markets, and therefore, it would be difficult to establish a successful marketing campaign without first
establishing a foothold in those markets, thus implementing this recommendation would not align with
MMS principal of choice.