SANYA CHRISTIN T (4122001080) DELA PUSPITA (4122001096)

ANALYSIS OF CORRELATION
 Contents

Definition & Benefit Types of correlation relationships

01 What is Analysis of Correlation? 03 What is the types of correlation relationship?
What is the benefit of Analysis of Correlation?

Value Correlation measurement method

02 What is the Value of the Correlation Coefficient? 04 What is the method and the examples?
Definition & Benefit
What is Analysis of
Correlation?

Correlation is a form and measure by having several variables in the relationship

using the word of positive correlation so that changes occur with increasing in
an object.

Correlation statistics is a method to determine whether or not there is a linear

relationship between variables. And if there is a relationship, the changes that
occur in one of the X variables will result in changes to the other variables (Y).
What is the benefit of Analysis of Correlation?

Can measure several variable relationships

Can motivate work to variable productivity

Can perform inflation rates on certain variables

Can find quality with services

Value
Value of the Correlation Coefficient
The following is an interpretation of the value of the correlation coefficient.

The positive and negative signs on the correlation coefficient indicate the direction of the
relationship. If the correlation coefficient is positive, it means that the relationship is
directly proportional, where the higher the value of the variable x, the higher the value of
the variable y and the lower the value of the variable x, the lower the value of the variable
y. If the correlation coefficient is negative, it means that the relationship is inversely
proportional, where the higher the value of the variable x, the lower the value of the
variable y and the lower the value of the variable x, the higher the value of the variable y.
Types of correlation
relationships
What is the types of correlation relationship?

Positive Correlation

Positive correlation is the relationship between 2 variables

where an increase in one variable causes an increase in the
value of the other variable. It could also be said that this
correlation is a unidirectional relationship.

For example: increasing age is directly proportional to

increasing body height, increasing production time will be
directly proportional to increasing the amount of production.
What is the types of correlation relationship?

Negative Correlation

Negative correlation is the relationship between 2 variables

where an increase in one variable causes a decrease in the value
of the other variable. The relationship between the two variables
in this case is reversed.

For example: the longer a person studies, the fewer mistakes

they make during exams.
What is the types of correlation relationship?

Not Correlated (0)

An increase in the value of the only variable is sometimes

followed by a decrease in other variables or sometimes followed
by an increase in other variables. The direction of the
relationship is irregular, sometimes unidirectional, sometimes
opposite.

If the Correlation Coefficient Value is close to 0 (Zero), it

means that the data pair for Variable X and Variable Y have a
very weak correlation or possibly uncorrelated.
Correlation measurement
method
 Pearson Correlation Coefficient

Pearson correlation is a statistical analysis tool

used to see the closeness of the linear
relationship between 2 variables whose data
scale is an interval or ratio.
 Example

Based on the test results, we find that the correlation level

between age and height is 0.90. This means that there is a
very strong relationship between age and body weight.
Example

If you have difficulty using the formula above, you can

use the following formula on microsoft excel

= correl (array1, array2)

array1 = block of all data for the first variable
array 2 = block of all data for the second
variable
 Spearman Correlation Coefficient

The Spearman correlation is a statistical test tool

used to test the associative hypothesis of two
variables when the data is on an ordinal scale
(ranking).
  third step, calculating the Spearman correlation coefficient
The
with the following formula.

First step, to rank the data is to

arrange the data into an order from  
Second Step, finding the difference in
smallest to largest. After the sorted
rank between one variable and another.
data is given a ranking, for data that
This difference is usually denoted by
has the same value an average rating
is given.

Where
: spearman correlation coefficient
: difference in rank for each data
: number of samples or data
 Question

Example:
Manager of PT. Siix wants to find out whether there is a significant and
close relationship between an employee's entry test score and their work
performance.
For this reason, a sample of 11 workers was taken who were then assessed
for their work performance (with a score of 0 to 100).

Calculate the spearman correlation coefficient from the data, how is the
relationship between the entrance test scores and employee performance!
 Answer

First Step, ranking the data, namely arranging the data into the order from
smallest to largest. After the sorted data is given a ranking, for data that has the
same value an average rating is given. 
 Answer

Second Step, finding the difference in rank between one variable and another.
This difference is usually denoted by Di.

 
Then count the sum of the total
 Answer

The third step, calculate the Spearman correlation coefficient with the formula.

So, The Spearman correlation

coefficient of 0.964 indicates
that there is a very close
relationship between the test
exams with an achievement of
96.4%
Please do the quiz!
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