Scientific decision making is decision making backed by statistics. The use of statistics is increasingly important to business with the mind-boggling volume of data we have generated to date, the amazing pace at which technology is advancing, and the diverse areas of all aspects of life that technology touches.
An article by John T. Williams which appears on Small Business Chron addresses this relevant matter, especially in light of the complexity involved in operating any business. Businesses function on everyday responsibilities, long-term planning, the development of new products and/or services, and several other business operations. It is therefore important to have the backing of statistics to make better decisions in relation to these processes. The use of statistics allows management a greater level of confidence in an uncertain business environment.
When statistics are used to analyze a small group of customers taken from a larger group, this small group of customers can be used to reasonably estimate what the behavior of the larger group will be. This is an economical way to view the wider market. Statistics provide support for management decisions and give evidence to the fact that managers are acting judiciously rather than on their own whims and fancies. The data also show the link between variables, such as the relationship between an advertising campaign and increased revenue. This can help managers to determine whether the campaign is working or whether it should be continued. The production process can be assisted with the use of statistics which act as a method of measurement and control to safeguard product consistency and quality. In this respect, managers can make informed decisions regarding the process, which results in reduced errors and waste.
eCornell’s Data Analytics program can certainly help you to become a better decision maker using the power of statistics.
eCornell courses are approved by SkillsFuture Singapore for SkillsFuture Credit as well as by HRDF Malaysia under its SBL Scheme.