Expert information system
This refers to a knowledge intensive information system that captures expertise of a human in limited domains of knowledge. Expert information systems can assist decision making asking relevant questions and explaining the reasons for adopting certain actions.
Reasons why expert information systems are not popular in business systems:
1. They are quite narrow, shallow and brittle. They typically perform very limited tasks that can be performed professionals in a few minutes or hours.
2. They are expensive to purchase since they contain captured human expertise.
3. Expert systems cannot handle exceptional decision making situations which are typical of day-to-day business. For instance, CLUES, an expert system used Countrywide Funding Corp. in Pasadena, California, USA is able to process normal loan applications with 95% accuracy but it‘s unreliable when faced with exceptional situations such as those involving a self-employed person or complex financial schemes. Such exceptional situations are best handled insurance underwriters.
4. Incase a poor decision is made, a business organization cannot hold the expert system accountable because it‘s not a person rather it‘s a tool. The organization can only pursue those responsible for developing the system if tit was in-house developed. If it was purchased or outsourced, then the organization must have a really good case for it to hold the concerned organization responsible. However, if a manager of an organization makes a poor decision, he/she would be fully accountable. Human decision makers can be questioned regarding the success or failures of their decisions.
5. As much as expert systems provide solutions to business problems, they are not used in isolation. They are used together with a human decision maker who considers the advice from the expert system before giving the final decision. Thus, expert systems do not contribute to substantial cost reductions due to downsizing of staff.