Lesson 1

Question 1

Is a statistical interpretation used to analyze historical data to identify patterns and relationships.

Answer 1

Descriptive Analytics

Question 2

Seeks to describe an event, phenomenon, or outcome.

Answer 2

Descriptive Analytics

Question 3

Is about discovering patterns in data and communicating these trends to various stakeholders.

Answer 3

Analytics

Question 4

Four (4) Basic Types of Analytics

Answer 4

Descriptive Analytics
Diagnostic Analytics
Predictive Analytics
Prescriptive Analytics

Question 5

Summarizes and interprets historical data

Answer 5

Descriptive Analytics

Question 6

Examines why things happened the way they did.

Answer 6

Diagnostic Analytics

Question 7

Uses historical data to make predictions. It provides forecasts on probability and possible effects of particular future outcomes.

Answer 7

Predictive Analytics

Question 8

Makes use of results from descriptive, diagnostic and predictive analytics to arrive at suggestions for businesses to ensure good potential outcomes.

Answer 8

Prescriptive Analytics

Question 9

What information do descriptive analytics?

Answer 9

1. Can be applied to a wide variety of everyday operational activities of a business.
2. Reports on Inventory
3. Various Workflows
4. Sales Figures
5. Revenue Statistics

Question 10

How do descriptive analytics work?

Answer 10

The organization first need to create a set of metrics that will measure business performance against business goals.

With the necessary metrics in place, relevant data must be collected. It will then have to be managed, cleansed, and prepped for the next step, which is the data analytics.

Question 11

Historical data collection for descriptive analytics is done using two main techniques:

Answer 11

1. Data Aggregation
2. Data Mining

Question 12

How to apply descriptive analytics to an organization?

Answer 12

1. Identify Relevant Metrics
2. Identify Data to Support These Metrics
3. Data Extraction and Preparation
4. Data Analysis
5. Data Presentation

Question 13

The organization needs to know the metrics to be created.
These metrics should reflect primary business goals for each sector of the company or from the organization.

Answer 13

Identify Relevant Metrics

Question 14

Find the data needed to support the required metrics.
The data can be found across several siloes and files for some organizations.

Answer 14

Identify Data to Support These Metrics

Question 15

If an organization is working across multiple data sources, it will need to extract data, merge it, and prepare it for analysis to ensure uniformity.

Answer 15

Data Extraction and Preparation

Question 16

This is a drawn-out process but is critical for accuracy.

Answer 16

Data Extraction and Preparation

Question 17

Part of removing redundancies and mistakes and creating data in a format suitable for analysis.

Answer 17

Data cleansing

Question 18

There are several tools available to provide descriptive analytics. These can range from basic spreadsheets to a wide range of more complex business intelligence (BI) software.

Answer 18

Data Analysis

Question 19

The final aspect of descriptive analytics is presenting the data. This is usually done using visualization techniques, with compelling and exciting forms of presentation to make the data accessible for the user to understand.

Answer 19

Data Presentation

Question 20

There are several benefits of descriptive analytics.

Answer 20

1. Simple Analysis
2. Many Tools Available
3. It Answers Most Common Business Performance Questions

Question 21

Descriptive analysis doesn’t require great expertise or experience in statistical methods or analytics.

Answer 21

Simple Analysis

Question 22

Many apps make this function a plug-and-play form of analysis.

Answer 22

Many Tools Available

Question 23

Most stakeholders and salespeople want simple answers to basic questions such as “How are we doing?” or “Why did sales drop?” Descriptive analytics provides the data to effectively and efficiently answer those questions.

Answer 23

It Answers Most Common Business Performance Questions

Question 24

Challenges of Descriptive Analytics

Answer 24

1. It is a Blunt Tool without Insight
2. It tells an Organization What, Not Why
3. Can Measure the Wrong Thing
4. Poor Data Quality

Question 25

The descriptive analysis examines the relationship between a handful of variables, and that is all. It simply describes what is happening.

Answer 25

It Is a Blunt Tool without Insight

Question 26

Descriptive analysis reports events as they happened, not why they happened or what could happen next.

Answer 26

It Tells an Organization What, Not Why

Question 27

If the incorrect metrics are used, the analysis is useless.

Answer 27

Can Measure the Wrong Thing

Question 28

While vast amounts of data can be collected, it will not produce accurate results if it is not helpful or full of errors.

Answer 28

Poor Data Quality

Question 29

What is descriptive analytics in the future?

Answer 29

In the future, the prediction is that data analytics will break away from predictive analytics and move towards prescriptive analytics.

Question 30

a fundamental technique businesses use to comprehend meaning in the massive amounts of historical data they collect.

Answer 30

Descriptive analytic