IRM4723
Assignment 3
Due 2025
, IRM4723
Assignment 3
Due 2025
Question 1: Role of Databases in Managerial Decision Making
1.1 Levels of Management in an Organisation
In any structured organisation, three primary levels of management typically exist.
These levels are not only hierarchical but also functionally distinct, each playing a
critical role in organisational decision-making. Understanding these levels helps explain
how database systems meet different decision needs.
1.1.1 Operational Level
This level consists of first-line managers who are responsible for short-term activities
and daily operations. Their decisions are structured and repetitive. They work close to
the technical core and rely heavily on routine information. The assumption at this level is
that problems are clearly defined and solutions are known, which supports the use of
transactional databases.
1.1.2 Tactical Level
Middle-level managers occupy this position and serve as a bridge between operational
activities and strategic goals. Their decisions are semi-structured, requiring judgment,
experience, and access to summarized operational data. A key tension here lies in
balancing strategic alignment with operational constraints. Database systems at this
level must enable comparative, predictive, and diagnostic analysis.
1.1.3 Strategic Level
Top-level managers, such as executives and directors, focus on long-term planning,
organisational direction, and policy decisions. Their decisions are unstructured, highly
complex, and often deal with uncertainty.
Assignment 3
Due 2025
, IRM4723
Assignment 3
Due 2025
Question 1: Role of Databases in Managerial Decision Making
1.1 Levels of Management in an Organisation
In any structured organisation, three primary levels of management typically exist.
These levels are not only hierarchical but also functionally distinct, each playing a
critical role in organisational decision-making. Understanding these levels helps explain
how database systems meet different decision needs.
1.1.1 Operational Level
This level consists of first-line managers who are responsible for short-term activities
and daily operations. Their decisions are structured and repetitive. They work close to
the technical core and rely heavily on routine information. The assumption at this level is
that problems are clearly defined and solutions are known, which supports the use of
transactional databases.
1.1.2 Tactical Level
Middle-level managers occupy this position and serve as a bridge between operational
activities and strategic goals. Their decisions are semi-structured, requiring judgment,
experience, and access to summarized operational data. A key tension here lies in
balancing strategic alignment with operational constraints. Database systems at this
level must enable comparative, predictive, and diagnostic analysis.
1.1.3 Strategic Level
Top-level managers, such as executives and directors, focus on long-term planning,
organisational direction, and policy decisions. Their decisions are unstructured, highly
complex, and often deal with uncertainty.
