Premium Essay

Good Data

In: Business and Management

Submitted By magda81
Words 1930
Pages 8
HBR.ORG

ApRil 2012 reprinT F1204A

Good Data Won’t Guarantee Good Decisions
Most companies have too few analyticssavvy workers. here’s how to develop them. by Shvetank Shah, Andrew Horne, and Jaime Capellá

Idea Watch

For artIcle reprInts call 800-988-0886 or 617-783-7500, or vIsIt hbR.oRG

Good data Won’t Guarantee Good decisions

FIRSt

G

Most companies have too few analytics-savvy workers. Here’s how to develop them. by Shvetank Shah, Andrew Horne, and Jaime Capellá

lobal businesses have entered a new era of decision making. The ability to gather, store, access, and analyze data has grown exponentially over the past decade, and companies now spend tens of millions of dollars to manage the information streaming in from suppliers and customers. For all the breathless promises about the return on investment in Big Data, however, companies face a challenge. Investments in analytics can be useless, even harmful, unless employees can incorporate that data into complex decision making. Our research offers a succinct warning to managers. At this very moment, there’s an odds-on chance that someone in your organization is making a poor decision on the basis of information that was enormously expensive to collect. To help organizations measure and improve employees’ facility with data-driven decision making, Corporate Executive Board created the Insight IQ, which assesses the ability to find and analyze relevant information. We evaluated 5,000 employees at 22 global companies and sorted them into three groups. “Unquestioning empiricists” trust analysis over judgment, and “visceral decision makers” go exclusively with their gut. “Informed skeptics”— the employees best equipped to make good decisions—effectively balance judgment and analysis, possess strong analytic skills, and listen to others’ opinions but are willing to dissent. They’re the kind of…...

Similar Documents

Premium Essay

Good Data Base

...1. Poor information is the quickest way to ruin a good database. The case says that data visualization is used for contextualizing the data. Companies will use data visualization to give the date they are showing emotional impact. One place where data visualization is currently being used to is monitor what is being talked about on social media. Digg is a populat website right now delivers the most talked about new stores. You are able to read news stories and shoare them at your computer, on your phone, or tablet. You also get daily emails with popular stories. Stack is a program that creates a data visualization of the stories that are on Digg. Stories drop into a graph and as the topic gets more hits, the bar on the graph grows. Below is an picture of Stack. All Stack is showing is what topics are being looked at, and the amount of times a topic is being accessed. This give the viewer of this data visualization information about what people are interested in currently. This is helpful data that is easy to read. If the devlopers of this program would of put poor inofmation, or unneeded information into this data visualization, it would have become much more confusing, and it would no longer be a beneficial to the viewer. This data visualization is quick and easy to view and come to a conclusion on. Poor data just confuses the person who is using the visualization to gain information. At my last job my bosses loved seeing an overview of the different......

Words: 553 - Pages: 3

Premium Essay

11 Good Energy-Analysis of Kag Data

...11 GOOD ENERGY Kenan Advantage Group Pilot Study Analysis July 7, 2011 Environmentally Safe! Clean! Natural Diesel Fuel Additive! EXECUTIVE SUMMARY Test Conditions !  Pilot test by Kenan Advantage Group and 11 Good Energy from Dec. 2010 to June 2011 using a 5% G2 Diesel blend. !  The Treatment Group: !  The Control Group: 13 vehicles with 1,291 fuel stops. Received the G2 Diesel blend during the test period. 4 vehicles with 378 recorded fuel stops. Did not use the G2 Diesel blend. Key Findings !  The Treatment Group: !  The Control Group: 7.5% increase. Statistically significant: less than a 0.01% chance increase was random. 2.7% increase. Not statistically significant: within margin of error and expected range of fluctuation. !  Monthly results are consistent with the overall findings. The only significant variance noted was for the Treatment Group from the baseline to test period. All other monthly variances were within the expected range. Benefits !  Based on the study’s results, every gallon of G2 Diesel added at a 5% blend rate could replace 2.5 gallons of #2 diesel fuel that would have been required without G2 Diesel. !  Based on our results, a 5% G2 Diesel blend may decrease KAG’s annualized fuel consumption from 685,000 total gallons to 637,000 total gallons. This would result in 48,000 fewer gallons of total fuel burned, a marked reduction in carbon emissions. !  The major cost benefit of these findings is a significant......

Words: 1302 - Pages: 6

Premium Essay

Context, Dfd & Flowchart

...Requisition Purchase Manager 1.0 Demand for Goods Commence ordering on receipt of approved purchase requisition 2.0 OrderingG oods Requests list of approved suppliers Purchase Clerk Quotes sent Opens Requisition Requests for quotes Purchase Requisition Suppliers Create Purchase Order P.O. emailed Purchase Order P.O. emailed P.O. emailed Warehouse Clerk Receiving Report & Delivery Docket Delivery Docket Accepts / Rejects Delivery Delivery Driver 3.0 Receiving Goods Supplier Payment Updates 4.0 Payment for Goods Creates Payment File Extracts PO status Invoice P.O. data store Suppliers Payments File Accounts Payable General Ledger data store Supplier Payment Details Bank Process 1.0 Determine demand for goods Process 2.0 Order goods Process 3.0 Receive goods Process 3.0 Receive goods Process 3.0 Receive goods Process 4.0 Pay for goods All Suppliers Approved Suppliers Purchase Clerk Provide PO number on their invoice Weekly extracts details of payments due Monitors stock level via computer Request a list of approved suppliers for items on approved requisition Provide delivery docket listing items, number of cartons & PO number the delivery date relates to 1 Emails copy of requisition to approved suppliers requesting quotes Opens cartons, checks & counts items delivered, writes quantity of each item on printed goods received report; for large......

Words: 2311 - Pages: 10

Premium Essay

Business Forecasting

...Business Forecasting Coursework Introduction The data of this coursework are business investment in the quarterly series in the manufacturing sector from 1994 to the second quarter of 2008 in UK. In the coursework, firstly analyze the former 50 data to forecast the latter 8 ones and then compare with the real data to see if the forecasting model is a good fit or not. As adopting two different approaches to make the forecasting work, including regression with Dummy Variables method and Box-Jenkins ARIMA method, according to the results, relative comparisons will be made to demonstrate which one is a better choice for this certain question. Then discuss the underlying assumptions of the chosen model and evaluate whether it is sensitive to these assumptions. All the analyses are based on the SPSS software and the graphs are from the output. Part 1. Examine the data To apply certain model to forecast future value, find out the seasonal component, trends and cycles component is the basic job. There are two approaches to examine the data: see the time series plot (chart 1) or use ACF (chart 2). Chart 1 Plot of the data [pic] Chart 2 ACF/PACF of the data [pic][pic] [pic][pic] From both Chart 1 and Chart 2, the drawing conclusion is that the data has trend-cycle and seasonal components. Firstly, although there is no general upward trend and downward trend, clearly there is a cycle component: the data value climbs up in the first 20 data and then displays a down trend......

Words: 3588 - Pages: 15

Free Essay

Hw #3 Yummy Good Treats Scope Analysis

...analysis 2) Identify assets for review • Who will be involved? Is good to have a team set up that includes business personnel, because an information security team usually does not know the business processes and will focus their efforts on specific threats and technology and then would not be able to justify the need for new security products. Whereas business personnel will know their processes and what data is important for them, but most likely have little knowledge of the technology supporting their processes.  • What will they do? they should be able to establish that protecting data is the primary goal of Yummy Good Treats and that all of the people processes, hardware, software and other technology are tools used to do view/modify the data.  • What are the expected outcomes? Once the assessment is understood and sensitive data elements are identified, it is time to bring teams together to link business processes that access the sensitive data and the technology used to support those processes and evaluate where risks are present. Once this is complete the teams can define and evaluate controls that are appropriate for the protection of the data. • What will be done based on the outcomes? Once the sensitive data elements and needed security controls are identified, the teams can define and evaluate new controls that are appropriate for the protection of the data. • Why is this step important in the risk assessment? I consider......

Words: 561 - Pages: 3

Premium Essay

Quality Assurance

...Chapter 8 Quality Assurance and Quality Control 8 QUALITY ASSURANCE AND QUALITY CONTROL IPCC Good Practice Guidance and Uncertainty Management in National Greenhouse Gas Inventories 8.1 Quality Assurance and Quality Control Chapter 8 CO-CHAIRS, EDITORS AND EXPERTS Co-Chairs of the Expert Meeting on Cross-sectoral Methodologies f or Uncertainty Estimation and Inventory Quality Taka Hiraishi (Japan) and Buruhani Nyenzi (Tanzania) REVIEW EDITORS Carlos M Lòpez Cabrera (Cuba) and Leo A Meyer (Netherlands) Expert Group: Quality Assurance and Quality Control (QA/QC) CO-CHAIRS Kay Abel (Australia) and Michael Gillenwater (USA) AUTHOR OF BACKGROUND PAPER Joe Mangino (USA) CONTRIBUTORS Sal Emmanuel (IPCC-NGGIP/TSU), Jean-Pierre Fontelle (France), Michael Gytarsky (Russia), Art Jaques (Canada), Magezi-Akiiki (Uganda), and Joe Mangino (USA) 8.2 IPCC Good Practice Guidance and Uncertainty Management in National Greenhouse Gas Inventories Chapter 8 Quality Assurance and Quality Control Contents 8 QUALITY ASSURANCE AND QUALITY CONTROL 8.1 INTRODUCTION.................................................................................................................................8.4 8.2 PRACTICAL CONSIDERATIONS IN DEVELOPING QA/QC SYSTEMS ......................................8.5 8.3 ELEMENTS OF A QA/QC SYSTEM .................................................................................................. 8.6 8.4 INVENTORY AGENCY...

Words: 9065 - Pages: 37

Free Essay

Goods Spend Analysis

...MODULE 2 SESSION 1 STUDENT ID # 2001691 GOODS SPEND ANALYSIS ASSIGNMENT Goods spend Analysis is the process of organizing a company’s spend, leveraging spend data for the purpose of gaining visibility into cost reduction, performance improvement and uncovering hidden savings opportunities. Spend Analysis consist of three different components which are; Suppliers, Customers and Commodities and Services. Each component should be measured in dollars and number of transactions which should be a potential source of improvement and cost saving. I believe spend Analysis serves three internal user groups in a company which comprises of: ❖ Leadership of the organization usually the chief executive officer and chief Operating officer who needs up-to- date reports to drive strategic direction. ❖ Managers, Accountants or Chief Financial officer who need to drill down into a spend data set to explore specific areas of interest or track down payment specifics. ❖ Sourcing power users who need to locate, drive, and monitor the next set of savings initiatives. Goods spend Analysis consists of both direct and indirect spend and my organization deals with both. I will be discussing the various steps I will use in conducting goods spend analysis in my organization. The first step is to identify the system containing spend data in my organization; there are many......

Words: 993 - Pages: 4

Premium Essay

Retail Selling

...to €6000 for first offences * There are higher fines for repeat offenders. The Sale of Goods and Supply of Services Act * This act is an update on the Sale of Goods Act 1893. * The phrase ‘and Supply of Services’ has been added as the 1980 Act now provides protection for those involved in supplying or receiving services as a business transaction. * This transferred legal responsibility to the seller. * The seller must ensure that goods are of merchantable Qualities, as described, fit for their purpose and conform to sample. Services must be provided by qualified staff and the materials used and any goods supplied as part of the service must be of merchantable quality. * Signs limiting the liability of retailers are illegal. * Guarantees can’t affect statutory rights and the time periods must be clearly stated. * A supplier who offers a service rather than goods will need to use materials to provide the service. Those materials must be of merchantable quality and the supplier must be competent to provide the service offered. * If the seller doesn’t rightfully own the goods they are selling, the goods must be returned to the lawful owner. * The buyer who has bought goods from a seller who sold goods without having good title to do so has the right to be refunded with the full price they paid for the product. * Any goods to the value of €12.50 or over must be accompanied by a signed written copy of the contract......

Words: 2315 - Pages: 10

Premium Essay

Regression Analysis

...of good and money stock, these three different kinds of data we considered as independent variables, which can be seen as the factors will impact the market of house sold in USA. Intuitively, we thought 30-yr conventional mortgage rate is a significant factor that will influences our behavior in house sold market, which has a negative relation with number of house sold. When mortgage rate increases, which means people are paying relatively more to buy a house, which will leads to a decrease tendency in house sold market. By contrast, a lower interest rate would impulse the market. We believe that real import good and service is another factor that will causes up and down in house sold market. When a large amount of goods and services imported by a country, that means we give out a lot of money to other country. In other words, people have less money, the sales of houses decreased. Otherwise, less import of goods and services indicates an increase tendency in house sold market. We can see it also has a negative relationship with the number of house sold. Lastly, we have money stock as our third impact factor of house sold. We considered it has a positive relationship with the number of house sold. When the supply of money increases, it will leads to a increasing in house sold. People are more willing to spend when they have more money in their hands. Vice versa, people will spend less in case of their money run out quickly if money stock decreases. We have monthly data for...

Words: 723 - Pages: 3

Premium Essay

Business Decision Making Process

...East end Computing & Business College Assignment Title: Unit-6: Business Decision Making Submitted To Submitted By Name: Id: Date of Submission: Table of Contents Introduction 4 Assignment One 4 Q1. A plan for the collection of primary and secondary data for the above scenario 4 Q2. Present the survey methodology and sampling frame used 5 Q3. Design a questionnaire to know the opinion of students and staff on the matter 5 Q4. Create information for decision making by summarizing data using representative values 7 Q5. Analyze the results to draw valid conclusions in the above scenario 9 Q6. Produce graphs using spreadsheets and draw valid conclusions based on the information derived from the survey 10 Q7. Create trend lines in spreadsheet graphs to assist in forecasting so that the college management can forecast what they need to spend in the future 12 Q8. Prepare a business presentation using Microsoft PowerPoint and give a presentation to disseminate information effectively on your findings 12 Q9. Produce a formal business report 12 Assignment Two 13 Q1.a) A frequency table with a class interval of 5 13 Q1.b) Calculation of mean, variance and standard deviation 14 Q1.c) Score corresponds to 50% percentile 17 Q1.d) Calculation of the location of third quartile 17 Q2. Calculation of the Karl Pearson’s co-efficient of correlation between monthly income (in hundreds of pounds) and monthly telephone bills (in......

Words: 3515 - Pages: 15

Premium Essay

.Lkmk

...procurement process and the data, document, and information flows associated with the process. * Explain the financial impact of the steps in the procurement process * Explain the role of enterprise systems in supporting the procurement process Chapter Outline and Teaching Suggestions 1. Key Concepts and Assumptions a. Procurement - Requisition to pay b. Business to consumer c. Business to business Explain what procurement means and differentiate between B2B and B2C procurement. 2. A Basic Procurement Process d. The framework i. Physical flow ii. Data and document flow iii. Information flow Review the framework introduced in chapter 1 e. Physical Flow iv. Create requisition v. Create and send purchase order vi. Receive shipment vii. Receive invoice viii. Send payment Explain each step in terms of purpose. Discuss how communication between process steps is accomplished. 3. Document and Data Flow f. Purchase Requisition g. Purchase Order h. Packing List i. Goods Receipt Document j. Goods Receipt Document For each document, explain its role in the process and the key data in the document. For the data in the documents, explain the purpose of the data and how it is used in the various process steps and how the data may change during the process. Discuss alternative values for the data such as......

Words: 1822 - Pages: 8

Premium Essay

Bussines Inteligence Data Mining

...BUSINESS INTELLIGENCE DATA MINING Business intelligence is a computerized technique used is searching, storing and analyzing useful business information (http://en.wikipedia.org/wiki/Business_intelligence). Business intelligence is an increasing strategy employed by many modern ventures, in the attempt to providing quick access to information and helps the business in making appropriate decisions. Holistic information on ones business environment is an important tool, since it does not only shows your past trend, but also prepares the firm for the future improvements. This sets a challenge in establishing the methods to source for the information, and how to use this information to improve a business position . Data mining is the sourcing of any hidden and predictive business information from a relevant database. It involves a thorough analysis of data gained from various sources, manipulating it into useful tool - a tool that leads to raising business revenue, saving on the running costs or both (http://en.wikipedia.org/wiki/Data_mining). Data mining tool incorporates analytical tools that helps build a useful predictive relationship. Data mining tools helps get answers as it scrutinizes data from different perspective to a precision, than any expert could do. Interplay of data mining process with software and hardware utilities is a big step in data analysis. The integration of artificial intelligence and databases heightens the data-mining goal as the information is......

Words: 1904 - Pages: 8

Premium Essay

Erp Procurement Process

...Process Multiple Choice Questions | 1. |Which one of the following is not a type of organizational data that is utilized in the procurement process? | | | | | |Client | | |Company Code | | |Storage Location | | |Purchasing Organization | | |Manufacturing Plant | | | | | |Answer: e Difficulty: Easy Page Reference: 2 | | |Section: Organizational Data Practice: | | 2. |What......

Words: 3775 - Pages: 16

Premium Essay

Case Study

...CASE STUDY   Materials Management (MM) Case Study This case study explains an integrated materials management process in detail and thus fosters a thorough understanding of each process step and underlying SAP functionality. Product SAP ERP G.B.I. Release 6.04 MOTIVATION The data entry requirements in the materials management exercises (MM 1 through MM 5) were minimized because much of the data was stored in the SAP system. This stored data, known as master data, simplifies the processing of business transactions. In the procurement process, we used master data for vendors, materials (products we purchased) to simplify the procurement process. In this case study, we will create the master data for a new vendor and a new trading good. PREREQUISITES Before you use this case study, you should be familiar with navigation in the SAP system. In order to successfully work through this case study, it is not necessary to have finished the MM exercises (MM 1 through MM 5). However, it is recommended. Level Undergraduate Graduate Beginner Focus Materials Management NOTES This case study uses the Global Bike Inc. (G.B.I.) data set, which has exclusively been created for SAP UA global curricula. Authors Bret Wagner Stefan Weidner Version 2.01 © SAP AG CASE STUDY Process Overview Learning Objective Understand and perform a purchasing process cycle Time 140 min Scenario In order to process a complete purchasing process you will take......

Words: 6912 - Pages: 28

Free Essay

Verbal Fallacy Analysis

...An Analysis on the Speech Contestants’ Arguments in English Celebration Week Octaviyani Raharja 1213009001 Abstract Nowadays, many universities hold speech contest to facilitate their students in improving their communicative skills. Widya Mandala Catholic University, through English Department, holds a speech contest during the English Celebration Week event. As speech contest in common, students are required to conduct a good speech that deals with the topic given. Unfortunately, there are still some mistakes found that deal with the argument components and verbal fallacies. In figuring out a good speech, the contestants’ speeches are recorded and transcribed to be analyzed whether they have met the quality of a good speech which are: (1) includes all of the main components of argument and (2) fallacies free. Since the speech contestants are still in the first semester, they have limited knowledge on argument components and verbal fallacies. Therefore, the contestants sometimes miss the argument components and make no verbal fallacies in their speech. |Keywords: Argument, Fallacy, Verbal Fallacy, Speech, ECW Speech Contest | Introduction There are four language skills and two language components that are needed in learning foreign language, especially English. Among the four language skills, speaking has big roles in both language teaching and learning activity since it requires both......

Words: 5672 - Pages: 23