Today, it’s all about converting data into actionable insights. How much data an organization collects from a plethora of sources is all companies cares of. To understand the intricacies of the business operations and helps team identify future trends, data is the power.
Interestingly, there’s more than one way to analyze data. Depending on your requirement and types of data you need to have, the perfect tool for data analytics will fluctuate. Here, we’ve 5 methods of data analysis that will help you develop more relevant and actionable insights.
Difference between Quantitative and Qualitative Data:
What type of data do you have? Quantitative or qualitative? From the name itself you can guess quantitative deal is all about numbers and quantities. The data includes sales numbers, marketing data, including payroll data, revenues and click-through rates, and any form of data that can be counted objectively.
Qualitative data is relatively difficult to pin down; they tend to be more subjective and explanatory. Customer surveys, interview results of employees and data that are more inclined towards quality than quantity are some of the best examples of qualitative data. As a result, the method of analysis is less structured and simple as compared to quantitative techniques.
Measuring Techniques for Quantitative Data:
When it comes to making forecasts and predictions and future trend analysis, regression studies are the best bet. The tool of regression measures the relationship between a dependent variable and an independent variable.
Widely known as ‘T Testing’, this type of analytics method boosts easy comparison of data against the hypothesis and assumptions you’ve made regarding a set of operations. It also allows you to forecast future decisions that might affect your organization.
Monte Carlo Simulation
Touted as one of the most popular techniques to determine the impact of unpredictable variables on a particular factor, Monte Carlo simulations implement probability modeling for smooth prediction of risk and uncertainty. This type of simulation uses random numbers and data to exhibit a series of possible outcomes for any circumstance based on any results. Finance, engineering, logistics and project management are a few industries where this incredible tool is widely used.
Measuring Techniques for Qualitative Data:
Unlike quantitative data, qualitative data analysis calls for more subjective approaches, away from pure statistical analysis and methodologies. Though, you still will be able to extract meaningful information from data by employing different data analysis techniques, subject to your demands.
Here, we’ve two such techniques that focus on qualitative data:
It works best when working with data, like interview data, user feedback, survey results and more – content analysis is all about deciphering overall themes emerging out of a qualitative data. It helps in parsing textual data to discover common threads focusing on improvement.
Narrative analysis help you understand organizational culture by the way ideas and narratives are communicated within an organization. It works best when planning new marketing campaigns and mulling over changes within corporate culture – it includes what customers think about an organization, how employees feel about their job remuneration and how business operations are perceived.
Agreed or not, there’s no gold standard for data analysis or the best way to perform it. You have to select the method, which you deem fit for your data and requirements, and unravel improved insights and optimize organizational goals.
The blog has been sourced from — www.sisense.com/blog/5-techniques-take-data-analysis-another-level
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