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INDIAN INSTITUTE OF MANAGEMENT, SIRMAUR

MASTERS OF BUSINESS ADMISITRATION

COURSE OUTLINE
QUANTITATIVE ANALYSIS FOR MANAGEMENT - I

MBA: 07 Term: I Year: 2021-22

Instructor: Prof. Amit Sachan & Prof. Arulanantha Prabu Course Credit: 1.00
E mail ID: amitsachan@iimranchi.ac.in Contact Number:

COURSE DESCRIPTION

In this era of artificial intelligence, big data analytics and data science, more and more firms are
adopting and applying quantitative techniques to aid in their process of decision making. The
intelligent use of appropriate tools can reduce an otherwise highly complex problem to one of
manageable dimensions. There is a growing body of opinion that believes that the greatest impact of
quantitative approach will not be in the area of problem solving, but will rather be on problem
formulation. It will radically alter the way the managers think about their problems, how they size them
up, gain new insight, communicate with other people about them, and gather information for solving
them. Thus quantitative analysis should have a profound effect on the "art" of management. With this
in mind a series of three courses has been conceived for PGP students during the first year of their
study.
COURSE OBJECTIVE

This course, the first in the series, is designed to develop a familiarity with the application of
quantitative techniques in managerial problem solving and decision making. The course is offered with
three primary objectives. These are:
a) to provide an introduction to the availability and use of some of these techniques;
b) to maximize the value of the informational content (in the form of managerial insights) of the final
solution; and
c) to alert the management students to assumptions inherent in each one of these techniques and the
resulting limitations.
COURSE LEARNING OUTCOMES

By the end of the course the student should be able to:

1) Understand the concepts of probability, random variable, various distributions, and their
applications in the decision making of firms;
2) Understand the concepts of sampling, sampling distributions, confidence interval, hypothesis
testing, goodness of fit tests, non-parametric tests and applications of these concepts in decision
making.
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ALIGNMENT OF INTENDED PROGRAM & COURSE LEARNING OUTCOMES

SN. PROGRAMME OBJECTIVES COURSE LEARNING

(CL) OUTCOMES
1 To acquire knowledge and skills in key functional areas
CL 1 & 2

2
To internalize the knowledge and skills in key functional areas CL 1 & 2

3 To integrate and apply business knowledge CL 1 & 2

4 To develop a global perspective CL 1 & 2

5 To inculcate values of professionalism, ethical leadership and social CL 1 & 2

responsiveness
6 To master relational and interpersonal communication skills CL 1 & 2

REQUIRED COURSE MATERIALS AND READINGS

TEXT BOOKS

Statistics for Business and Economics, 13e, David R. Anderson, Denis J.

Sweeney , and Thomas A. Williams, Cengage.

A).
REFERENCE BOOKS

a) Newbold, Carlson, Thorne, Statistics for Business & Economics, 6th Ed., Pearson India.
b) Aczel, A., Sounderpandian, J., Saravanan, P., and Joshi, R. (2017) Complete Business Statistics, 7th edition,
Tata McGraw Hill Education, Delhi.
c) Stine, R., E., and Foster, D. (2013) Statistics for Business: Decision Making and Analysis, 2nd edition, Pearson
Education, New Delhi.
d) Bruce L.Bowerman, Richard T. O'Connell and Emily S. Murphree (2017) Business statistics in practice, 7th
edition, McGraw Hill Education, Delhi
e) Ken Black, Business Statistics: For Contemporary Decision Making, John Wiley & Sons.
EVALUATION

 Exam: There will be two examinations – mid-term exam covering Probability topics and end-term exam
covering Statistics Topics.
 Quizzes: There will be multiple quizzes both pre-midterm & post-midterm. The quizzes may be declared
up front/ surprise quizzes.
 Class participation/ Assignments
GRADING SCHEME

Mid Term Exam 30%

40%
End Term Exam
10%
Quizzes
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20%
Project/ Assignments

Total 100%
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ACADEMIC DISHONESTY
Academic dishonesty or misconduct is cheating that relates to an academic activity. It is a violation of trust between the
Institute and its stakeholders. Plagiarism, fabrication, deception, cheating and sabotage are examples of unacceptable
academic conduct. Please consult the PGP Manual for the section on academic dishonesty.

COURSE SCHEDULE

Session Topics to be Readings and Assessment

(90 covered in the course Book Chapter Criteria
Mins.)
1 Introduction to the course. Chapter 1 of the Quizzes/
textbook. Assignment
Applications in Business / Exams
Data types
Data Sources
Descriptive Statistics
Statistical Inference
Computers and Statistical Analysis
2-3 Introduction to Descriptive Statistics: Chapter 3 of text book
 Percentiles, Quartiles, Measures of Central
Tendency and Measures of Variability.
 Concepts of Skewness and Kurtosis. Case study PGA Golf:
 Relationship between mean and standard Is Sunday Made for
deviation – TV?
Chebyshev’s theorem; empirical rule.
Displaying data – histogram; box plots.

4-5 Descriptive Statistics: Tabular and Graphical Chapter 2 of text

Displays book
Summarizing Data for a Categorical Variable Case study MBA
Starting Salaries
Summarizing Data for a Quantitative Variable
Summarizing Data for Two Variables Using
Tables
Summarizing Data for Two Variables Using
Graphical Displays

6-7 Introduction to Probability Chapter 4 of the Quizzes/

 Probability of Events, Probability rules & textbook. Assignment
applications HBS Case: / Exams
 Conditional Probability Freemark Abbey
Winery (9-181-
 Independence of Events 027)
 Bayes theorem with
applications
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8 Special Discrete Distributions Chapter 5 of the Quizzes/
 Bernoulli textbook. Assignment
 Binomial / Exams
 Geometric
 Poisson
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9 Continuous random variables Chapter 6 of the textbook. Quizzes/

 Distribution – pdf, cdf, mean, Assignment
variance etc. / Exams
 Special continuous distributions
– uniform, exponential, normal.
 Properties of normal
distribution & applications.
 The standard normal table.
10 Introduction to Sampling Chapter 7 of the Quizzes/
 Sampling concepts textbook. Assignment
 Sampling distributions / Exams
 Central limit theorem
 The t-distribution
11 -12 Interval Estimation Chapter 8 of the Quizzes/
 Concept of Confidence intervals and textbook. Assignment
applications. / Exams
 Confidence intervals for mean,
proportion & standard deviation.
 Sample size determination.
13-14 Hypothesis Testing Chapter 9 of the textbook. Quizzes/
 Introduction to null and MBA Starting Salaries Assignment
alternative hypothesis. / Exams
 Type I & Type II errors, p-value,
significance level.
 One-tailed, two-tailed tests.
 Tests of mean, proportion and
variance.
15-16 Hypothesis Testing for comparing two Chapter 10 of the Quizzes/
populations: textbook. Assignment
 Difference between means of two Case study PGA Golf: Is / Exams
populations (paired samples; Sunday Made for TV?
independent samples)
 Difference between proportions of
two samples.
 Testing for equality of two
population variances.

17 Testing for equality of means of more than Chapter 13 of the Quizzes/

two populations – one way textbook. Assignment
ANOVA. / Exams
18-19  Goodness of Fit tests- chi- square Chapter 12 of the Quizzes/
test for goodness of fit. textbook. Assignment
 Non-parametric tests / Exams
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20 Project Presentation