Review on Data Analytics

I. What is Data Analytics?

- It is the science of analyzing raw data in order to make conclusions about that
information.
- Data analytics techniques can reveal trends and metrics that would otherwise be lost in
the mass of information. This information can then be used to optimize processes to
increase the overall efficiency of a business or system.
- It is a broad term that encompasses many diverse types of data analysis. Any type of
information can be subjected to data analytics techniques to get insight that can be used
to improved things.

II. Types of Data Analytics

1. Descriptive Analytics – it describes what has happened over a given period of time.
2. Diagnostic analytics – focuses more on why something happened. This involves more
diverse data inputs and a bit of hypothesizing.
3. Predictive Analytics – moves to what is likely going to happen in the near term. Example:
What happened to sales the last time we had a hot summer?
4. Prescriptive Analytics – suggests a course of action.

III. Big Data

 It is a term that describes the larger volume of data –both structured and unstructured data- that
inundates a business on a day to day basis. Big Data can be analyzed for insights that lead to
better decisions and strategic business moves.
Structured data is comprised of clearly defined data types whose pattern makes them easily
searchable. Examples: dates, customer names, phone numbers, SSS numbers, addresses
Unstructured data is comprised of data that is usually not as easily searchable, including formats
like audio, video, and social media postings.
IV. Attributes of Big Data
1. Huge volume of data: Rather than thousands or millions of rows, Big Data can be billions
of rows and millions of columns.
2. Complexity of data types and structures: Big Data reflects the variety of new data sources,
formats, and structures, including digital traces being left on the web and other digital
repositories for subsequent analysis.
3. Speed of new data creation and growth: Big Data can describe high velocity data, with
rapid data ingestion and near real time analysis.
 V. Building Strategic Analytic Culture
COMPONENTS OF SAC
1. Executive management Commitment
2. Use Analytics to Set Business Strategies
- the fact-based pathway toward the strategy, which is based on market conditions,
customer characteristics, and the company’s operating circumstances.
3. Commitment to Data Management
It includes:
 Data governance to provide data definitions and guidelines for storing and accessing information
 Data integration to ensure that data from disparate systems is matched and consolidated
 Data quality programs to ensure data is cleansed before being used in analytics
 Data storage infrastructure that facilitates access for analytics and reporting
4. Enterprise Use of Analytics
- brings these different departments together, ensuring that decision making is not done in
isolation.
5. Culture of fact-based decision making
- When the entire enterprise is aligned around analytics.

VI. Stages of Analytic Evolution

1. Descriptive. At the first stage of analytic evolution, it is the best that organizations can
do to develop and interpret historical reports.
2. Predictive. In the next state of analytical evolution, organizations begin to deploy
advanced analytic techniques that allow them to anticipate trends and take advantage of
opportunities.
3. Prescriptive. The final stage of analytic evolution is all about “what are we going to do
about it?” In this phase, organizations are heavily supported by techniques like optimization,
which provides the best possible answer given all business constraints, or simulation.

VII. Focus Areas for a Strategic Analytic Culture

1. Business analytics skills and resources

2. Data environment and infrastructure
3. Internal analytic processes
Formative Assessment:
1-3. Executive management commitment involves investment on three things. What are those?
4. It is to provide data definitions and guidelines for storing and accessing information. Data
Governance
5-7. Stages of Analytic Evolution
8. It is a term that describes the larger volume of data –both structured and unstructured data-
that inundates a business on a day to day basis. Big Data
9. It allows people to anticipate trends and take advantage of opportunities. Predictive
10. This type of analytics suggests a course of action. Prescriptive
11-14. Types of Data Analytics
15. It is the science of analyzing raw data in order to make conclusions about that information.
Data Analytics
16-20. Components of SAC

Formative Assessment: