session 8: business analytics Flashcards
manager’s job + decision making
interpersonal: figurehead, leader, liaison
informational: monitor, disseminator, spokesperson, analyzer
decisional: entrepreneur, disturbance handler, negotiator
decision making process steps
intelligence phase : what is the pbl?
design phase: what are my options?
choice phase: pick an option + implementation
KNOW HOW TO DRAW THE GRAPH
Decision making is difficult due to…
1) number of alternatives increasing
2) most decision must be made under time pressure
3) increased uncertainty in the decision environment => more complex decisions
4) often necessart to rapidly access remote info, consult with experts, conduct group decision making
decision suppport framework
problem structure:
structured:highly organized in fixed fields in a data repository => must be define in terms of filed name and type (numeric, alphanumeric, currency)
unstructured: do not reside in traditional relational database
semi-structured: only some of the decision-process phases are structured
nature of the decision:
operation control: executing specific tasks efficiently and effectively
mgmt control: acquiring and using resources efficiently in accomplishing organizational goals
strategic planning: the long-range goals and policies for growth and ressource allocation
decision matrix
LEARN IN SLIDES
3 specifics analytical targets
1) the development of one or a few related analytics application
2) the development of infrastructure to support enterprise-wise analytics
3) support for organization performance
Business Analytics def
process of developping actionable decisions or recommendations for actions based on insights generated from historical data
BA tools
excel
multidimensionnal analysis (OLAP)
data mining
decision support-system
statistical procedures: descriptive stats, affinity analysis
OLAP def
set of capabilities for “slicing and dicing” data using dimensions and measures associated with the data
2 basic operations of data mining
1) identify previously unknown patterns => descriptive analysis
2) predicting trends + behaviours => predictive
decision support systems
models = simplified representation or abstraction
enables to access data interactively manipulate data
predictive analysis def
examines recent/historical data to detect patterns + predict future outcomes
prescriptive analysis def
reccommend one or more course of action + identify the likely outcome of each decision
descriptive analysis def
summarizes what has happened in the past
tools of descriptive analysis
OLAP
data mining
decision support system
3 analysis of decision support system
sensitivity analysis
what-if analysis
goal-seeking analysis
sensitivity analysis def
examines how sensitive an output is to any changes in an input data many of which are based on the assessment of uncertain futures
what-if analysis def
a model builder must make predication and assumptions is to any change in an input data, many of which are based on the assessment of uncertain futures
goal-seeking analysis def
represents a backward solution approach
process involved in figuring out you rinput value based on an already known output value
operational control decision def
involve executing specific taks efficiently and effectively
management control decision def
involves decisions concerning acquiring and using resources efficiently in accomplishing organizational goals
strategic planning decision def
involves decisions concerning the long-range goals and polciies for gwoth and resources allocation
business analytics process
LEARN GRAPH 12.3
affinity analysis def
a data mining app that discovers co-occurence relationships among activities performed by specific individuals or groups => used to perform market basket analysis => retailers seek to understand the purchase behaviour of customers
