1/26/2020 Week 1.

1 - Jupyter Notebook

1.1 - Introduction to Data Analytics

Variable - takes different values ( is a 'characteristic' of an entity )

- Types : Categorical ( Category A, Category B,....)
Numerical ( Discrete ( ex : Number of items ), Continuous ( ex : age, weight ))
Measurement - the process of assigning values to variables after studying the underlying phenomena
- is measured at four levels : Nominal, Ordinal, Interval, Ratio ( lowest to highest arranged )
- Nominal : distinct categorization, no ranking involved ( ex : Gender )
: classifying and counting ( non parametric statistical methods )
- Ordinal : distinct categorization, ranking involved ( ex : Military Designations )
: classifying, counting, ranking ( non parametric statistical methods )
- Interval : an ordered scale ( ex : Temperature ), difference between measurements unmeaningful
: classifying, counting, +/- ( parametric statistical methods )
- Ratio : an ordered scale ( ex : Weight, Age ), difference between measurements meaningful
: classifying, counting, +/-/*/div ( parametric statistical methods )

Data - recorded measurements

Influence of Data on Businesses:

- helps develop Data Products ( ex : Recommendation Engines on YouTube, Flipkart, Amazon, etc )
- helps in Quantitative Data Analysis to identify data patterns

Data Analytics
- the scientific process of converting data into insights for taking better decisions
- the use of data, IT, statistical analysis, quantitative methods and mathematical or computer based models to help
managers gain improved insights about their business operations and make better fact - based decisions

Analytics vs Analysis

Analysis - Arranging data and explaining how and why things in the data have occurred ( things which took place in the
past )
Analytics - Using data to predict future events ( things which 'will' take place in future )

Data Scientist vs Data Analyst

Analysts - have info of business strategy/mathematics and work with data
Scientists - have advances knowledge of algo and ML and are able to develop data products

Types of Data Analytics

- Descriptive - what happened
- Diagnostic - why did it happen
- Predictive - what will happen
- Prescriptive - how can we make it happen
- value is directly proportional to the scale of difficulty of the type of analytics
- Descriptive < Diagnostic < Predictive < Prescriptive ( both value, difficulty )

Descriptive Analytics
- summarizes facts/raw data in an understandable format
- Uses Business Intelligence and Data Analysis
- Ex : Reports, Descriptive Stats, Data Visualization

Diagnostic Analytics
- helps an analyst dig deep into a problem and identify the cause of the problem
- uses Data Discovery, Data Mining, Correlations

Predictive Analytics
- helps forecast future trends/ probability of occurrence of future events
- many different but co-dependent variables are analysed to do this
- Ex: Linear Regression, Time Series Forecasting and Analysis, Data Mining

Precriptive Analytics
- suggests the best decision from a set to obtain the best outcomes
- aims at cost reduction, increased productivity and quality
- Uses Decision Analysis, Optimization Model and Simulation

Components of Data Analytics

- Statistics
- Business Intelligence/ Information Systems
- Modeling and Optimization

Data Analysts need to have a good knowledge of Maths, Business Strategies and Hacking ( +ve)

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