BRM

MODULE 1

MBA-LSCM
SoB, UPES

Descriptive Statistics
Neeraj Anand, Ph.D
Prof. & HOD - Dept. of Transportation
Management
Email: nanand@ddn.upes.ac.in
 Descriptive Analysis
• The transformation of raw data into a form
that will make them easy to understand and
interpret; rearranging, ordering, and
manipulating data to generate descriptive
information
 Type of Type of
Measurement descriptive analysis

Frequency table
Two Proportion (percentage)
categories

Nominal Frequency table

Category proportions
More than
(percentages)
two categories
Mode
 Type of Type of
Measurement descriptive analysis

Ordinal Rank order

Median
 Type of Type of
Measurement descriptive analysis

Interval Arithmetic mean

 Type of Type of
Measurement descriptive analysis

Index numbers
Ratio Geometric mean
Harmonic mean
 Tabulation
• Tabulation - Orderly arrangement of data in
a table or other summary format
• Frequency table
• Percentages
 Frequency Table
• The arrangement of statistical data in a row-
and-column format that exhibits the count
of responses or observations for each
category assigned to a variable
 Central Tendency

Measure of
Central Measure of
Type of Scale Tendency Dispersion

Nominal Mode None

Ordinal Median Percentile
Interval or ratio Mean Standard
deviation
 Cross-Tabulation

• A technique for organizing data by groups,

categories, or classes, thus facilitating
comparisons; a joint frequency distribution
of observations on two or more sets of
variables
• Contingency table- The results of a cross-
tabulation of two variables, such as survey
questions
 Cross-Tabulation
• Analyze data by groups or categories
• Compare differences
• Contingency table
• Percentage cross-tabulations
 Base

• The number of respondents or observations

(in a row or column) used as a basis for
computing percentages
 Elaboration and Refinement
• Moderator variable
– A third variable that, when introduced into an
analysis, alters or has a contingent effect on the
relationship between an independent variable
and a dependent variable.
– Spurious relationship
• An apparent relationship between two variables that
is not authentic.
 Quadrant Analysis

Two
rating
scales 4 quadrants
two-dimensional
Table Importance-
(BCG Matrix) Performance
Analysis)
 Data Transformation
• Data conversion
• Changing the original form of the data to a
new format
• More appropriate data analysis
• New variables
Data Transformation
Summative Score =
VAR1 + VAR2 + VAR 3
 Collapsing a Five-Point Scale
• Strongly Agree • Strongly Agree/Agree
• Agree • Neither Agree nor
• Neither Agree nor Disagree
Disagree • Disagree/Strongly
• Disagree Disagree
• Strongly Disagree
 Index Numbers
• Score or observation recalibrated to indicate
how it relates to a base number
• CPI - Consumer Price Index
• RPI – Retail Price Index
• CSI – Consumer Satisfaction Index
 Calculating Rank Order
• Ordinal data (Rank Correlation Coefficient)
• Brand preferences (Chi – square Test)
 Charts and Graphs
• Pie charts
• Line graphs
• Bar charts
– Vertical
– Horizontal
Line Graph
 Bar Graph

90
80
70
60
50 East
40 West
30 North
20
10
0
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr
 WebSurveyor Bar Chart
How did you find your last job?
643 Netw orking
213 print ad
Temporary agency 1.5 % 179 Online recruitment site
112 Placement firm
18 Temporary agency
Placement firm 9.6 %

Online recruitment site 15.4 %

print ad 18.3 %

Netw orking 55.2 %

0 100 200 300 400 500 600 700

 Fish Bone Diagram
This fishbone diagram was drawn by a manufacturing team to

try to understand the source of periodic iron

contamination.
 Procedure
• Agree on a problem statement (effect). Write it at the
center right of the flipchart or whiteboard. Draw a box
around it and draw a horizontal arrow running to it.
• Brainstorm the major categories of causes of the problem.
If this is difficult use generic headings:
• Methods
• Machines (equipment)
• People (manpower)
• Materials
• Measurement
• Environment
 Contd…
• Write the categories of causes as branches from the main
arrow.
• Brainstorm all the possible causes of the problem. Ask
"Why does this happen?" As each idea is given, the
facilitator writes it as a branch from the appropriate
category. Causes can be written in several places if they
relate to several categories.
• Again ask "Why does this happen?" about each cause.
Write sub-causes branching off the causes.
• Continue to ask "Why?" and generate deeper levels of
causes. Layers of branches indicate causal relationships.
Pareto Chart
 Computer Programs/Softwares
• SPSS
• SAS
• SYSTAT
• TORA
• WebSurveyor
• LINDO/LINGO
• IOR
• R
Microsoft Excel -Data Analysis
 The Paste Function Provides
Numerous Statistical Operations
 Interpretation
• The process of making pertinent inferences
and drawing conclusions
• concerning the meaning and implications of
a research investigation