APA Paper Template 100 299 V1
Statistics in Business
Yolanda Bolden
QNT/351
1/12/2015
Professor Alex Freeman
Statistics In Business
Statistics are used in our everyday lives and business decision making. Statistics is a mathematical analysis that involves the use of quantified models, summaries and representations for real world observation or a given set of empirical information. This type of analysis involves the process if analyzing and collecting information and then summarize the information into a numerical format.
Different Levels of Statistics and How They are used in business decision making.
There are different levels of statistics with four of them being quantitative, qualitative, inferential and descriptive statistics. Quantitative can be measured and qualitative cannot be measured. Descriptive statistics are usually summary figures that are calculated from sets of observation. Inferential statistics is used in applying conclusion about a set of observation in order to reach a broader conclusion or inference about something that hasn’t been observed directly.
Statistics assist a business decision by defining the business target consumers, helps the company develop products that better meet the needs of the companies consumers. Managers can get a better idea of what their consumers need, how much they will spend and or if they can buy the product or not. Statistics can also assist a business in how to advertise and brand their products.
Some examples of where statistics can be used is:
A production manager may test their manufacturing process to make sure that procedures are being produced within the regulatory and consumer specification.
A bookkeeper may sample a set of accounts receivable transaction to make decisions and inference about any validity of the total accounts receivable numbers that’s reported on the business balance sheets.
Managers of a restaurants use statistics to study variability of any important performance measures, such as food cost and
Yolanda Bolden
QNT/351
1/12/2015
Professor Alex Freeman
Statistics In Business
Statistics are used in our everyday lives and business decision making. Statistics is a mathematical analysis that involves the use of quantified models, summaries and representations for real world observation or a given set of empirical information. This type of analysis involves the process if analyzing and collecting information and then summarize the information into a numerical format.
Different Levels of Statistics and How They are used in business decision making.
There are different levels of statistics with four of them being quantitative, qualitative, inferential and descriptive statistics. Quantitative can be measured and qualitative cannot be measured. Descriptive statistics are usually summary figures that are calculated from sets of observation. Inferential statistics is used in applying conclusion about a set of observation in order to reach a broader conclusion or inference about something that hasn’t been observed directly.
Statistics assist a business decision by defining the business target consumers, helps the company develop products that better meet the needs of the companies consumers. Managers can get a better idea of what their consumers need, how much they will spend and or if they can buy the product or not. Statistics can also assist a business in how to advertise and brand their products.
Some examples of where statistics can be used is:
A production manager may test their manufacturing process to make sure that procedures are being produced within the regulatory and consumer specification.
A bookkeeper may sample a set of accounts receivable transaction to make decisions and inference about any validity of the total accounts receivable numbers that’s reported on the business balance sheets.
Managers of a restaurants use statistics to study variability of any important performance measures, such as food cost and
References: The Importance of Statistics in Management Decision Making The, by John T. Williams, Demand Media Retrived on 2015, from http://smallbusiness.chron.com/importance-statistics-management-decision-making-4589.html .