Business Analytics Fundamentals

Study Notes

Rudra Pradhan is instructing a Business Analytics course for management decision.
The course consists of twelve weeks with topics covering descriptive, inferential, predictive, prescriptive analytics, and decision models.
Business Analytics is defined as the discovery and communication of meaningful patterns of data related to business problems.
It involves using data, statistical tools, quantitative models, and fact-based management to make better decisions.
Business Analytics can be applied to various management areas including pricing, financial and marketing activities, supply chain management, and customer relationship management.
The importance of Business Analytics lies in its ability to optimize revenue, minimize cost, and provide insights into business problems.
Business Analytics has a long history, starting with time study and operation research, and has grown significantly with the availability of software and data.
Business Analytics is classified into three divisions: Descriptive Analytics (understanding past and present patterns), Predictive Analytics (predicting future trends based on past data), and Prescriptive Analytics (using optimization techniques to address business problems).
Descriptive Analytics involves analyzing data to understand the past and present trends.
Predictive Analytics involves analyzing past performance to predict future trends and understanding the relationships between variables.
Prescriptive Analytics involves using optimization techniques to address business problems and make decisions based on possible values.
Companies such as McDonald's, Walmart, Procter & Gamble, Coca-Cola, Southwest Airlines, Amazon, Zions Bank, and Aurora Health Care use Business Analytics to predict certain things and enhance their sales and profit.- Companies in the corporate environment, such as McDonald's, have access to vast amounts of data on consumer behaviors and preferences.
McDonald's uses data analytics to understand customer behavior and improve marketing efforts, with data available hourly, daily, weekly, monthly, and annually.
Walmart is another company that uses business analytics in the retail sector to assess customer data from multiple sources, including social media and transaction history.
Procter & Gamble applies business analytics tools in household retail sectors to optimize product selections, pricing strategies, and customer attraction.
Coca-Cola uses a toolbox or algorithm to predict crop yields, consumer preference, and flavor details, allowing them to create products that meet customer requirements.
Business analytics helps companies make better decisions by connecting data, techniques, and business problems.
Understanding business problems, business analytics, and business data are essential to effectively analyze, predict, and optimize as per business requirements.
Business analytics can increase profits by increasing sales, reducing costs, and attracting customers.
Other industries, such as healthcare, can use business analytics to understand health environments and predict business structures.
Companies like Amazon use business analytics for security threats prediction and fraud detection.
Business analytics is an emerging field with the help of software and ICT technology, enabling the prediction and optimization of business problems and objectives.

Description

Test your knowledge on Business Analytics fundamentals including descriptive, inferential, predictive, prescriptive analytics, and decision models. Learn about the importance, history, and applications of Business Analytics in various management areas.