Statistic first came into existence many centuries ago. It was first used in public administration by rulers as well as statesmen who wanted to know the estimates about population, wealth taxes, and revenue among other things. Currently, the discipline has actually become one of the key parts of any fields such as psychology, economics, banking and even marketing. This is because just a simple understanding of mean, correlation and also probability can help us in understanding the deluge of data that we come across in our daily life. Quite a number of people think statistics is just a branch of mathematics, but it is not. It is a separate discipline, but it is extremely closer to mathematics.
There are two branches
There are actually two branches of statistics; that is the inferential statistic and descriptive statistic. Descriptive statistics actually deals with the ways of collection as well a presentation of data. On the other hand inferential statistic normally gives the tools that are used to analyze and interpret data. In short, it makes a generalization from a sample.
Statistics provide Baking Judgment
Quite a number of people may be very skeptical about venturing on certain activities. However statistical data can back up assertion. This is because leaders in the business world such as in the banking sector may find it is extremely difficult to persuade people to move in a certain direction because of unsubstantiated opinions. However, statistics for sure, can provide some of the best objective goals with figures as evidence. This will in the long run persuade people to take on that direction because of high levels of certainty.
It is without any question that statistics can point out any relationship connections. This is because a review of data can truly provide a link between two variables such sales and changes in revenue. In other case it can estimated the number of customers who are not satisfied with products that were purchased. This will provide a more detailed explanation and help a firm to have control over customer satisfaction
Statistics are way far more than testing and description
When it comes learning of statistics, you first learn about samples, probability, and distribution. However, in the long run this knowledge will actually help you in describing the properties of population and to even test the population difference from any other populations.
All in all statistics ensures there is equality in the industrial sector. It actually provides the means to control and measure the production process. This helps in reducing extreme variation cases. Ideally, with statistical data, any company will reduce the materials used or retaken
It focuses on the Bigger Picture
With statistical analysis from a group that is representing the consumers, the data can actually provide one of the most reasonable snapshots of the market. Additionally, such data can also be very helpful for it will provide unbiased outlook of the overall market. It will prevent business people from building strategies basing largely on uncorroborated presuppositions.
With massive volumes of data in quite a number of fields such as the banking industry, the demand for statisticians in the current world is increasing each and every day. Banking sector actually want to predict so many things such as credit worthiness basing largely on the past data that they have.
It may sound surprising, but statistics helps save lives as Terry Speed talks about here.