SlideShare a Scribd company logo
5
Most read
13
Most read
Business Statistics
What and Why
Introduction
 The word “statistics” is very popularly used in
practice. It conveys a variety of meanings to
people, many of which are inaccurate or, at
the very least, misleading.
 The average persons conceive of “statistics”
as column of figures, zigzag graphs or tables
like statistics of production, consumption, per
capita income, imports, exports, crimes,
divorce, share prices, etc.
 Such statistics are quite commonly found in
newspapers, journals, reports and one can
hear them on radio, television, classroom
lectures and so on.
 For example, one may find statements like
“the production of food grains is expected to
decrease from 192.3 m tones in 1997-98 to
183.2 m tones in 2002-03.
 In addition to meaning numerical facts,
“statistics” also refers to a subject, just as
‘mathematics’ as well as symbols, formulae
and theorems.
 Thus, the word ‘statistics’ refers either to
quantitative information or to a method of
dealing with quantitative information.
 The methods by which statistical data are
analyzed are called statistical methods.
 Statistical methods are applicable to a very
large number of fields- economics, sociology,
anthropology, business, agriculture,
psychology, medicine and education.
 Statistical methods are used by governmental
bodies, private business firms, and research
agencies as an indispensable aid in
i) forecasting ii) controlling and iii) exploring.
Definition
 There have been many definitions of the term
‘statistics’- indeed scholarly articles have
carefully collected together hundreds of
definitions, some have defined statistics as
statistical data whereas others as statistical
methods.
 Croxton and Cowden– “Statistics may be
defined as a science of collection,
presentation, analysis and interpretation of
numerical data.”
Statistical Methods
 There are five stages in a statistical
investigation:
1.Collection: Utmost care must be exercised in
collecting data because they form the foundation
of statistical analysis. If data are faulty, the
conclusion drawn can never be reliable. The
data may be available from existing published or
unpublished sources or else may be collected by
investigator himself.
2. Organization: Data from published sources
are generally in organized form. Data from
survey needs organization. The first step is data
editing so that the omissions, inconsistencies,
irrelevant answers and wrong computation in the
returns may be corrected or adjusted. The
second step is to classify data and the last step
is tabulation of data-arrange data in rows and
columns.
3.Presentation: After the data have been
collected and organized, they are ready for
presentation. It facilitates statistical analysis.
4. Analysis: Data are analyzed mostly in tabular
form. Methods used are numerous ranging from
simple observation of data to complicated,
sophisticated and highly mathematical
techniques.
5.Interpretation: Drawing conclusions from the
data collected and analyzed. It is a difficult task
and necessitates a high degree of skills and
experience. Correct interpretation will lead to a
valid conclusion of the study and thus can aid in
decision-making.
Statistics: Science or Art
 Whether statistics is a science or an art is often a subject
of debate. Science refers to a systematized body of
knowledge. It studies cause and effect relationship and
attempts to make generalizations in the form of scientific
principles or laws. It describes facts objectively and
avoids vague judgments as good as bad.
 Science, in short, is like a lighthouse that gives light to
the ships to find out their own way but does not indicate
the direction in which they should go.
 Art, on the other hand, refers to the skill of
handling facts so as to achieve a given
objective. It is concerned with ways and
means of presenting and handling data,
making inferences logically and drawing
relevant conclusions.
 If science is knowledge, then art is action.
Functions of Statistics
 Definiteness: To present general statements in a precise and
definite form. The sex ratio (i.e. number of females per 1000males)
is going up in Bangladesh.
The sex ratio has gone up from 927 in 1991 to 933 in 2001.
 Condensation: It simplifies mass of data into a few significant
figures.
 Comparison: It facilitates comparison.
 Formulating and testing Hypothesis: Statistical
methods are extremely useful in formulating and testing hypothesis
and to develop new theories.
 Prediction: Statistical methods provide helpful means of
forecasting future events.
 Formulation of policies: Statistics provide the basic
material for framing suitable policies. How much oil a nation should
import in 2005.

More Related Content

What's hot (20)

PPTX
Data analysis presentation by Jameel Ahmed Qureshi
Jameel Ahmed Qureshi
 
PPTX
Role of statistics in real life , business & good governance
Department of Mathematics and Statistics, Ramjas College, Delhi University
 
PPT
Introduction to Stata
Samaa Hazem Hosny
 
PPT
Topic 7 measurement in research
Dhani Ahmad
 
PPT
Quantitative Data analysis
Muhammad Musawar Ali
 
PPTX
Applications of statistics
Vinit Suchak
 
PDF
Theoretical Framework and Hypothesis Development
Muhammad Ayyoub, PhD
 
PPTX
Hypothesis testing ppt final
piyushdhaker
 
DOCX
Introduction to Business Statistics
Megha Mishra
 
PPTX
Research design
sagar_sambare
 
PPTX
frequency distribution
Unsa Shakir
 
PPTX
Basic Statistics
Chie Pegollo
 
PPTX
Regression analysis
Parminder Singh
 
PPT
Spss an introduction
Suresh Thengumpallil
 
PPTX
Introduction to statistics
madan kumar
 
PPTX
Measurement in research
Bikram Pradhan
 
PDF
Data Analysis & Interpretation and Report Writing
SOMASUNDARAM T
 
PPT
Crosstabs
mandrewmartin
 
PDF
Nature, Scope, Functions and Limitations of Statistics
Asha Dhilip
 
Data analysis presentation by Jameel Ahmed Qureshi
Jameel Ahmed Qureshi
 
Role of statistics in real life , business & good governance
Department of Mathematics and Statistics, Ramjas College, Delhi University
 
Introduction to Stata
Samaa Hazem Hosny
 
Topic 7 measurement in research
Dhani Ahmad
 
Quantitative Data analysis
Muhammad Musawar Ali
 
Applications of statistics
Vinit Suchak
 
Theoretical Framework and Hypothesis Development
Muhammad Ayyoub, PhD
 
Hypothesis testing ppt final
piyushdhaker
 
Introduction to Business Statistics
Megha Mishra
 
Research design
sagar_sambare
 
frequency distribution
Unsa Shakir
 
Basic Statistics
Chie Pegollo
 
Regression analysis
Parminder Singh
 
Spss an introduction
Suresh Thengumpallil
 
Introduction to statistics
madan kumar
 
Measurement in research
Bikram Pradhan
 
Data Analysis & Interpretation and Report Writing
SOMASUNDARAM T
 
Crosstabs
mandrewmartin
 
Nature, Scope, Functions and Limitations of Statistics
Asha Dhilip
 

Similar to Business statistics what and why (20)

PDF
Basics of Research Types of Data Classification
Harshit Pandey
 
PDF
Introduction to basic statistics 1 Don Ozisco
ignasmorylix
 
PDF
Introduction to basic statistics 1 Don Ozisco
cwyhsdrpwe2643
 
DOCX
Statistics assignment
Pragati Mehndiratta
 
PPTX
Overview of statistics
Manishadevanshi
 
PDF
BBA 2ND SEM STATISTIC.pdf
Ram Krishna
 
PPTX
Introduction to statistics
akbhanj
 
PPTX
Business Statistics power point presentation.pptx
garudag581
 
PPTX
Chapter 1 Introduction to statistics, Definitions, scope and limitations.pptx
SubashYadav14
 
PPTX
Statistics an introduction (1)
Suresh Kumar Murugesan
 
PPTX
Introduction to Statistics.pptxxxxxxxccx
Dipankar83
 
PPTX
Introduction concepts of Statistics
Saurabh Patni
 
PPTX
Introduction to statistics
Santosh Bhandari
 
PDF
Statistics text book higher secondary
Chethan Kumar M
 
PDF
Paktia university lecture prepare by hameed gul ahmadzai
Hameedgul Ahmadzai
 
PDF
Introduction to Business Statistics
SOMASUNDARAM T
 
PPT
Lecture 1 PPT.ppt
RAJKAMAL282
 
PPTX
DES STAT-DEFINTION.pptx-discriptive statistics as part of economics
JasiSapna
 
PPTX
Statistics.pptx
MdAbidurRahman9
 
Basics of Research Types of Data Classification
Harshit Pandey
 
Introduction to basic statistics 1 Don Ozisco
ignasmorylix
 
Introduction to basic statistics 1 Don Ozisco
cwyhsdrpwe2643
 
Statistics assignment
Pragati Mehndiratta
 
Overview of statistics
Manishadevanshi
 
BBA 2ND SEM STATISTIC.pdf
Ram Krishna
 
Introduction to statistics
akbhanj
 
Business Statistics power point presentation.pptx
garudag581
 
Chapter 1 Introduction to statistics, Definitions, scope and limitations.pptx
SubashYadav14
 
Statistics an introduction (1)
Suresh Kumar Murugesan
 
Introduction to Statistics.pptxxxxxxxccx
Dipankar83
 
Introduction concepts of Statistics
Saurabh Patni
 
Introduction to statistics
Santosh Bhandari
 
Statistics text book higher secondary
Chethan Kumar M
 
Paktia university lecture prepare by hameed gul ahmadzai
Hameedgul Ahmadzai
 
Introduction to Business Statistics
SOMASUNDARAM T
 
Lecture 1 PPT.ppt
RAJKAMAL282
 
DES STAT-DEFINTION.pptx-discriptive statistics as part of economics
JasiSapna
 
Statistics.pptx
MdAbidurRahman9
 
Ad

Recently uploaded (20)

PPTX
How to Configure Access Rights of Manufacturing Orders in Odoo 18 Manufacturing
Celine George
 
PPTX
Optimizing Cancer Screening With MCED Technologies: From Science to Practical...
i3 Health
 
PPTX
ANORECTAL MALFORMATIONS: NURSING MANAGEMENT.pptx
PRADEEP ABOTHU
 
PDF
IMP NAAC REFORMS 2024 - 10 Attributes.pdf
BHARTIWADEKAR
 
PPTX
Accounting Skills Paper-I, Preparation of Vouchers
Dr. Sushil Bansode
 
PPTX
classroom based quiz bee.pptx...................
ferdinandsanbuenaven
 
PPTX
nutriquiz grade 4.pptx...............................................
ferdinandsanbuenaven
 
PPTX
Folding Off Hours in Gantt View in Odoo 18.2
Celine George
 
PPTX
CLEFT LIP AND PALATE: NURSING MANAGEMENT.pptx
PRADEEP ABOTHU
 
PPTX
Optimizing Cancer Screening With MCED Technologies: From Science to Practical...
i3 Health
 
PPTX
Explorando Recursos do Summer '25: Dicas Essenciais - 02
Mauricio Alexandre Silva
 
PPTX
ENGLISH LEARNING ACTIVITY SHE W5Q1.pptxY
CHERIEANNAPRILSULIT1
 
PPTX
2025 Winter SWAYAM NPTEL & A Student.pptx
Utsav Yagnik
 
PPTX
Blanket Order in Odoo 17 Purchase App - Odoo Slides
Celine George
 
PPTX
Nutri-QUIZ-Bee-Elementary.pptx...................
ferdinandsanbuenaven
 
PPTX
THE HUMAN INTEGUMENTARY SYSTEM#MLT#BCRAPC.pptx
Subham Panja
 
PDF
Zoology (Animal Physiology) practical Manual
raviralanaresh2
 
PDF
FULL DOCUMENT: Read the full Deloitte and Touche audit report on the National...
Kweku Zurek
 
PDF
Ziehl-Neelsen Stain: Principle, Procedu.
PRASHANT YADAV
 
PPTX
Views on Education of Indian Thinkers J.Krishnamurthy..pptx
ShrutiMahanta1
 
How to Configure Access Rights of Manufacturing Orders in Odoo 18 Manufacturing
Celine George
 
Optimizing Cancer Screening With MCED Technologies: From Science to Practical...
i3 Health
 
ANORECTAL MALFORMATIONS: NURSING MANAGEMENT.pptx
PRADEEP ABOTHU
 
IMP NAAC REFORMS 2024 - 10 Attributes.pdf
BHARTIWADEKAR
 
Accounting Skills Paper-I, Preparation of Vouchers
Dr. Sushil Bansode
 
classroom based quiz bee.pptx...................
ferdinandsanbuenaven
 
nutriquiz grade 4.pptx...............................................
ferdinandsanbuenaven
 
Folding Off Hours in Gantt View in Odoo 18.2
Celine George
 
CLEFT LIP AND PALATE: NURSING MANAGEMENT.pptx
PRADEEP ABOTHU
 
Optimizing Cancer Screening With MCED Technologies: From Science to Practical...
i3 Health
 
Explorando Recursos do Summer '25: Dicas Essenciais - 02
Mauricio Alexandre Silva
 
ENGLISH LEARNING ACTIVITY SHE W5Q1.pptxY
CHERIEANNAPRILSULIT1
 
2025 Winter SWAYAM NPTEL & A Student.pptx
Utsav Yagnik
 
Blanket Order in Odoo 17 Purchase App - Odoo Slides
Celine George
 
Nutri-QUIZ-Bee-Elementary.pptx...................
ferdinandsanbuenaven
 
THE HUMAN INTEGUMENTARY SYSTEM#MLT#BCRAPC.pptx
Subham Panja
 
Zoology (Animal Physiology) practical Manual
raviralanaresh2
 
FULL DOCUMENT: Read the full Deloitte and Touche audit report on the National...
Kweku Zurek
 
Ziehl-Neelsen Stain: Principle, Procedu.
PRASHANT YADAV
 
Views on Education of Indian Thinkers J.Krishnamurthy..pptx
ShrutiMahanta1
 
Ad

Business statistics what and why

  • 2. Introduction  The word “statistics” is very popularly used in practice. It conveys a variety of meanings to people, many of which are inaccurate or, at the very least, misleading.  The average persons conceive of “statistics” as column of figures, zigzag graphs or tables like statistics of production, consumption, per capita income, imports, exports, crimes, divorce, share prices, etc.
  • 3.  Such statistics are quite commonly found in newspapers, journals, reports and one can hear them on radio, television, classroom lectures and so on.  For example, one may find statements like “the production of food grains is expected to decrease from 192.3 m tones in 1997-98 to 183.2 m tones in 2002-03.
  • 4.  In addition to meaning numerical facts, “statistics” also refers to a subject, just as ‘mathematics’ as well as symbols, formulae and theorems.  Thus, the word ‘statistics’ refers either to quantitative information or to a method of dealing with quantitative information.
  • 5.  The methods by which statistical data are analyzed are called statistical methods.  Statistical methods are applicable to a very large number of fields- economics, sociology, anthropology, business, agriculture, psychology, medicine and education.  Statistical methods are used by governmental bodies, private business firms, and research agencies as an indispensable aid in i) forecasting ii) controlling and iii) exploring.
  • 6. Definition  There have been many definitions of the term ‘statistics’- indeed scholarly articles have carefully collected together hundreds of definitions, some have defined statistics as statistical data whereas others as statistical methods.  Croxton and Cowden– “Statistics may be defined as a science of collection, presentation, analysis and interpretation of numerical data.”
  • 7. Statistical Methods  There are five stages in a statistical investigation: 1.Collection: Utmost care must be exercised in collecting data because they form the foundation of statistical analysis. If data are faulty, the conclusion drawn can never be reliable. The data may be available from existing published or unpublished sources or else may be collected by investigator himself.
  • 8. 2. Organization: Data from published sources are generally in organized form. Data from survey needs organization. The first step is data editing so that the omissions, inconsistencies, irrelevant answers and wrong computation in the returns may be corrected or adjusted. The second step is to classify data and the last step is tabulation of data-arrange data in rows and columns.
  • 9. 3.Presentation: After the data have been collected and organized, they are ready for presentation. It facilitates statistical analysis. 4. Analysis: Data are analyzed mostly in tabular form. Methods used are numerous ranging from simple observation of data to complicated, sophisticated and highly mathematical techniques.
  • 10. 5.Interpretation: Drawing conclusions from the data collected and analyzed. It is a difficult task and necessitates a high degree of skills and experience. Correct interpretation will lead to a valid conclusion of the study and thus can aid in decision-making.
  • 11. Statistics: Science or Art  Whether statistics is a science or an art is often a subject of debate. Science refers to a systematized body of knowledge. It studies cause and effect relationship and attempts to make generalizations in the form of scientific principles or laws. It describes facts objectively and avoids vague judgments as good as bad.  Science, in short, is like a lighthouse that gives light to the ships to find out their own way but does not indicate the direction in which they should go.
  • 12.  Art, on the other hand, refers to the skill of handling facts so as to achieve a given objective. It is concerned with ways and means of presenting and handling data, making inferences logically and drawing relevant conclusions.  If science is knowledge, then art is action.
  • 13. Functions of Statistics  Definiteness: To present general statements in a precise and definite form. The sex ratio (i.e. number of females per 1000males) is going up in Bangladesh. The sex ratio has gone up from 927 in 1991 to 933 in 2001.  Condensation: It simplifies mass of data into a few significant figures.  Comparison: It facilitates comparison.
  • 14.  Formulating and testing Hypothesis: Statistical methods are extremely useful in formulating and testing hypothesis and to develop new theories.  Prediction: Statistical methods provide helpful means of forecasting future events.  Formulation of policies: Statistics provide the basic material for framing suitable policies. How much oil a nation should import in 2005.