Learning Outcomes

1. Describe the Data Analytics

2. Understand the differences of descriptive,
diagnostic, predictive and prescriptive analytics.
INTRODUCTION
TO
DATA
ANALYTICS
 What is
Data Analytics?
Data
Data is like raw ingredients in cooking. It's pieces of information or facts. Data can be numbers, text, images, videos,
or anything else that can be recorded. Examples of data include the temperature on a given day, the number of
customers in a store, or the scores of students in a class.

Analytics
Analytics is the process of examining, cleaning, transforming, and interpreting data to discover useful information,
patterns, and insights. Think of it as the cooking and recipe creation using those raw ingredients. It involves
techniques like statistics, mathematics, and computer science to turn data into something meaningful. For example,
analyzing sales data to understand which products are the most popular and why.

Data Analytics
Data Analytics combines both data and analytics. It's the practice of using various techniques and tools to process
and analyze data in order to uncover valuable insights or make informed decisions. In simpler terms, it's like being a
detective for information. Data analytics helps us make sense of data, find patterns, and answer questions like "What
is happening?" and "Why is it happening?"
 To Summarize
To summarize, data is the raw information,
analytics is the process of making sense of that
information, and data analytics is the practice of
using analytics techniques to turn data into useful
knowledge.
 Data Analytics
Is the process of collecting, organizing,
and studying data to find valuable insights
or answers to questions.
Real-Life Example: Netflix and
Content Recommendation
Background: Netflix is a leading streaming service known for its vast library of movies and TV
shows. To keep its subscribers engaged and satisfied, Netflix relies heavily on data analytics to
recommend content tailored to each viewer's preferences.

How Data Analytics Helps:

1. User Data Collection: Netflix collects data on each user's viewing habits, including
what they watch, when they watch, how long they watch, and even when they pause or
rewind.
2. Data Processing: The collected data is processed and organized. Netflix uses big
data technologies to handle the massive amount of user data generated daily.
3. User Profiling: Through data analytics, Netflix creates user profiles based on viewing
history and behaviors. For example, they may identify a user as a "Sci-Fi Enthusiast" or a
"Romantic Comedy Lover."
Real-Life Example: Netflix and
Content Recommendation
Background: Netflix is a leading streaming service known for its vast library of movies and TV
shows. To keep its subscribers engaged and satisfied, Netflix relies heavily on data analytics to
recommend content tailored to each viewer's preferences.

How Data Analytics Helps:

4. Content Recommendation: Netflix's recommendation system uses complex
algorithms to analyze user profiles and find patterns. It suggests content that is likely to
be of interest to each user. If you've ever seen recommendations like "Because you
watched [Title]," that's the result of data analytics.
5. A/B Testing: Netflix continuously tests different recommendation algorithms and user
interfaces. They use A/B testing to show variations to different user groups and analyze
which one results in more engagement and longer viewing sessions.
Impact and Benefits:
Increased Viewer Satisfaction: By using data analytics to suggest content
that aligns with individual tastes, Netflix keeps viewers engaged and satisfied.
This leads to longer subscription retention and more user engagement.

Content Investment: Data analytics helps Netflix decide which original

content to produce. They analyze what genres and themes are popular among
subscribers and invest in producing content that matches those preferences.
Cost Efficiency: By recommending content that users are more likely to
enjoy, Netflix optimizes its content delivery, reducing unnecessary bandwidth
costs.
Competitive Edge: Netflix's data-driven approach to content recommendation
gives it a significant competitive advantage in the streaming industry.
Categories of Analytics
1. Descriptive Analytics
Descriptive analytics is like looking at the past to understand
what has already happened. It involves summarizing and
visualizing historical data to get a clear picture of past events
or trends.
Example: Imagine you're the manager of a retail store, and you want
to know how much your store sold in the past month. You collect and
organize sales data for each day and create a bar chart to visualize
the sales figures for each day. This bar chart is an example of
descriptive analytics because it helps you see what happened in the
past month.
2. Diagnostic Analytics
Diagnostic analytics takes a step further by trying to figure out
why something happened in the past. It involves analyzing
historical data to uncover the causes or factors behind specific
events or trends.
Example: Let's say you noticed that your store's sales dropped
significantly last month (from the descriptive analysis). To understand
why, you delve into the data further. You discover that there was a
disruption in your supply chain, leading to a shortage of popular
products. Diagnostic analytics helps you identify the reason behind
the sales decrease.
3. Predictive Analytics
Predictive analytics is like predicting the future based on what
we know from the past and present. It uses statistical and
machine learning techniques to forecast future events or
trends.
Example: Continuing with the retail store example, predictive
analytics could involve using historical sales data, seasonality
patterns, and economic indicators to predict how much you're likely to
sell in the upcoming holiday season. This allows you to plan your
inventory and marketing strategies accordingly.
4. Prescriptive Analytics
Prescriptive analytics not only predicts what might happen in
the future but also recommends actions to achieve the best
outcome. It's like having a smart advisor that tells you what
steps to take.
Example: Suppose your predictive analytics model suggests that your
store is likely to face a shortage of popular products during the holiday
season. Prescriptive analytics takes it a step further by recommending
actions, such as increasing your order quantities, adjusting pricing
strategies, and launching targeted marketing campaigns to ensure you
meet customer demand and maximize profits.
Exercise
Stock Market: Price Forecasting
Scenario: Financial analysts use historical
stock prices and market data to predict
future stock price movements.

Answer: Predictive Analytics

Healthcare: Disease Outbreak
Investigation
Scenario: Epidemiologists study patient
health records to pinpoint the source of a
disease outbreak.
Answer: Diagnostic Analytics
Supply Chain: Route Optimization
Scenario: A logistics company
recommends the most efficient delivery
routes to minimize costs.

Answer: Prescriptive Analytics

Online Retail: Monthly Sales Trends
Scenario: An online retailer analyzes
monthly sales data to track revenue,
bestselling products, and customer
demographics.
Answer: Descriptive Analytics
Social Media: Post Engagement Metrics
Scenario: A social media manager reviews
post engagement metrics, including likes,
shares, and comments.

Answer: Descriptive Analytics

Manufacturing: Machine Downtime
Analysis
Scenario: A manufacturing plant
investigates frequent machine downtime
incidents to identify the underlying causes.
Answer: Diagnostic Analytics
20 Minutes Quiz
1. Scenario: A teacher maintains a grade
book to summarize student performance
over the school year.

Type of Analytics:_____________
1. Scenario: A logistics company
recommends the most efficient delivery
routes to minimize costs.

Type of Analytics:_____________
3. Scenario: Meteorologists examine
historical temperature data to understand
seasonal temperature patterns.

Type of Analytics:_____________
4. Scenario: A bank uses transaction data
to detect unusual or suspicious financial
activities.

Type of Analytics:_____________
5. Scenario: A manufacturing plant
investigates frequent machine downtime
incidents to identify the underlying causes.

Type of Analytics:_____________
6. Scenario: A social media manager
reviews post engagement metrics,
including likes, shares, and comments.

Type of Analytics:_____________
7. Scenario: Conservationists recommend
specific actions to protect endangered
species based on ecological data.

Type of Analytics:_____________
8. Scenario: Doctors use patient data and
medical research to prescribe
individualized treatment plans.

Type of Analytics:_____________
9. Scenario: An online retailer analyzes
monthly sales data to track revenue,
bestselling products, and customer
demographics.

Type of Analytics:_____________
10. Scenario: An energy company uses
historical usage data to forecast electricity
consumption patterns.

Type of Analytics:_____________
11. Scenario: Financial analysts use
historical stock prices and market data to
predict future stock price movements.

Type of Analytics:_____________
12. Scenario: Epidemiologists study
patient health records to pinpoint the
source of a disease outbreak.

Type of Analytics:_____________
13. Scenario: An online store examines
customer behavior data to understand why
shoppers abandon their carts before
completing purchases.

Type of Analytics:_____________
14. Scenario: A retail chain predicts the
demand for specific products to optimize
inventory management.

Type of Analytics:_____________
15. Scenario: A marketing team predicts
which customers are most likely to cancel
their subscriptions.

Type of Analytics:_____________
16. Scenario: A retail platform adjusts
product prices in real-time based on
demand and competitor prices.

Type of Analytics:_____________
17. Scenario: A telecommunications
company notices a spike in customer
churn (subscription cancellations).

Type of Analytics:_____________
18. Scenario: An e-commerce platform
adjusts product prices in real-time based
on demand and competitor prices.

Type of Analytics:_____________
19. Scenario: A medical research center
uses patient health records and genetic
data to recommend personalized
treatment plans.

Type of Analytics:_____________
20. Scenario: A manufacturing plant
experiences frequent production line
downtime.

Type of Analytics:_____________
Answers
1. Scenario: A teacher maintains a grade
book to summarize student performance
over the school year.

Descriptive
Type of Analytics:_____________
2. Scenario: A logistics company
recommends the most efficient delivery
routes to minimize costs.

Prescriptive
Type of Analytics:_____________
3. Scenario: Meteorologists examine
historical temperature data to understand
seasonal temperature patterns.

Descriptive
Type of Analytics:_____________
4. Scenario: A bank uses transaction data
to detect unusual or suspicious financial
activities.

Diagnostic
Type of Analytics:_____________
5. Scenario: A manufacturing plant
investigates frequent machine downtime
incidents to identify the underlying causes.

Diagnostic
Type of Analytics:_____________
6. Scenario: A social media manager
reviews post engagement metrics,
including likes, shares, and comments.

Descriptive
Type of Analytics:_____________
7. Scenario: Conservationists recommend
specific actions to protect endangered
species based on ecological data.

Prescriptive
Type of Analytics:_____________
8. Scenario: Doctors use patient data and
medical research to prescribe
individualized treatment plans.

Prescriptive
Type of Analytics:_____________
9. Scenario: An online retailer analyzes
monthly sales data to track revenue,
bestselling products, and customer
demographics.

Descriptive
Type of Analytics:_____________
10. Scenario: An energy company uses
historical usage data to forecast electricity
consumption patterns.

Predictive
Type of Analytics:_____________
11. Scenario: Financial analysts use
historical stock prices and market data to
predict future stock price movements.

Predictive
Type of Analytics:_____________
12. Scenario: Epidemiologists study
patient health records to pinpoint the
source of a disease outbreak.

Diagnostic
Type of Analytics:_____________
13. Scenario: An online store examines
customer behavior data to understand why
shoppers abandon their carts before
completing purchases.

Diagnostic
Type of Analytics:_____________
14. Scenario: A retail chain predicts the
demand for specific products to optimize
inventory management.

Predictive
Type of Analytics:_____________
15. Scenario: A marketing team predicts
which customers are most likely to cancel
their subscriptions.

Predictive
Type of Analytics:_____________
16. Scenario: A retail platform adjusts
product prices in real-time based on
demand and competitor prices.

Prescriptive
Type of Analytics:_____________
17. Scenario: A telecommunications
company notices a spike in customer
churn (subscription cancellations).

Diagnostic
Type of Analytics:_____________
18. Scenario: An e-commerce platform
adjusts product prices in real-time based
on demand and competitor prices.

Prescriptive
Type of Analytics:_____________
19. Scenario: A medical research center
uses patient health records and genetic
data to recommend personalized
treatment plans.

Prescriptive
Type of Analytics:_____________
20. Scenario: A manufacturing plant
experiences frequent production line
downtime.

Diagnostic
Type of Analytics:_____________
Group Presentation
Task Instructions: Exploring Data
Analytics in a Big Company

Objective: To investigate how a well-known big

company uses data analytics to improve its operations.

Instructions/ Guidelines
1. Choose a Company: Pick a famous big company
that interests you. Think about companies you admire
or those that have a significant impact on their
industry.
2. Company Overview:
Briefly introduce the chosen company. Mention what it
does and why it's important.
3. Data Usage:
Find out how the company uses data to make
decisions and improve its operations. Look for
examples like better customer service, marketing
strategies, or cost-saving measures.
4. Benefits of Data Analytics:
Explain what benefits the company gains from using data
analytics. These could include making more money,
saving time, or providing better products or services.
5. Any Challenges?:
Are there any problems or difficulties the company faces
when using data analytics? Think about things like
privacy concerns or issues with collecting accurate data.
6. Future Possibilities:
Imagine how the company might use data analytics even
more in the future. What new things could they do with
data to be even better?
 Grading Criteria
1. Comprehension of Data Analytics (20 points):
The presenter demonstrates a clear
understanding of the concept of data analytics.
2. Illustration of the Four Analytics Types
within Their Selected Company (20 points):
The presenter provides practical examples of
how each of the four analytics types
(descriptive, diagnostic, predictive, prescriptive)
is applied within their chosen company.
3. Adherence to Instructions or Guidelines
(30 points):
The presenter thoroughly follows the provided
instructions or guidelines for the presentation.
4. Expertise in the Topic (15 points):
The presenter not only reads from slides
but delivers a comprehensive and in-depth
explanation of the subject matter.
5. Effective Communication (15 points):
The presentation avoids excessive flattery
or verbosity and focuses on delivering
substantive content. (“May masabi lang” is
not allowed)
Total Points: 100
 THANK
S Do you have any questions?

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