Analytics is a broad term that refers to a variety of tools that inform managerial decisions. Which term can be used to describe managerial
... [Show More] decisions?
Predictive
What are two reasons for the increasing use of analytics in organizational decision making?
Relatively lower cost of computer storage
Higher computer processing power
In what way does probability theory inform decision-making for managers?
quantifying risk
Which type of data are the Olympic medals of gold, silver and bronze examples of?
Ordinal data
What are some aspects of data quality management?
Choose 2 answers
it cleans data
it reduces the amount of incomplete data
which two attributes indicate potential data quality issues when evaluating a set of nominal data?
missing data
misspelled data
When conducting a study that measures an individuals weight, all scales are calibrated prior to use in measurement. Which type of error should this procedure significantly reduce?
Systematic Error
An advertising manager creates a research study by presenting low, medium, or high frequency of the same ad in matched markets. The manager then reports on sales in each market location.
What is the term for the different sales in this study?
The response variable
A healthcare study follows a particular sample over time to identify how the health habits of teenagers impact their likelihood of acquiring various diseases later in their life in the hope that the healthcare organization will be able to create early prevention programs.
Which type of research design does this study describe
cohort study
Several missing values in a particular field in a dataset were observed. The likelihood of a record having a missing value is correlated to another variable in the dataset.
Which two types of error might be introduced into the dataset if the removed record included missing values?
Choose 2 answers.
Omission error
typographical error
A company is trying to increase its online sales revenue by improving its e-mail campaign for repeat customers as well as new customers.
Which two variables would be used in determining a campaign to maximize revenue gain?
Choose 2 answers
spending per purchase
number of purchases per email
A company that raises turkeys is hoping to increase the rate of growth of the birds while controlling the cost of feeding the birds. It has been determined that feeds containing both nutrients and protein can be used.
What decision making technique is most appropriate for this company to minimize the cost of feeding the birds.
Linear programming
Match each action with the appropriate statistical procedure
Answer options may be used more than one or not at all.
Understand effective marketing to spend advertising dollars efficiently = Correlation
Monitor production process= Control Charts
Compare outcomes of different drug testing results= ANOVA
A researcher concludes that bananas create healthy children because the researcher's notes indicate that children who eat a banana every day are healthy
What misuse of statistics would this study be an example of if these children also eat a balanced diet and exercise daily?
confusion of association and casualty
In the month of December, there is a strong positive correlation between airline tickets and retail sales.
Which question should the researcher consider before concluding that the correlation statistic implies that the airline sales drive retail sales?
Does a casual relationship truly exist
A medical care provider determines the probability that a patient needs treatment for a broken bone, the probability that a patient needs treatment for a concussion, and the probability that a patient needs treatment for both a broken bone and a concussion.
Which two rules should be used to find the probability that a patient needs treatment for a broken bone and a concussion?
Choose 2 answers
multiplication
intersection
A hardware store has found that there is a 0.25 probability that a customer buys an electrical product, a 0.45 probability that a customer buys a plumbing product, and a 0.10 probability that a customer buys an electrical part if they purchase a plumbing part.
Given this information, which statistical rule can be used to determine the probability that a customer buys a plumbing product given that this customer has purchased an electrical product?
Bayes' Theorem*
Given the following data set
9 12 14 10 8 11 12
What is the mode
12
which graphical tool is used to illustrate a possible relationship or correlation between two variables?
scatter diagram
what does it mean when an individual data point has a z-score of -2
the data point is two standard deviations less than the mean of the data set
A research study examined the impact of product advertisement exposure on that product's brand awareness. The appropriate statistical test indicates that the null hypothesis should be rejected with 95% confidence.
What can be concluded from this study?
The advertisement was effective in building brand awareness
A manager is analyzing a dataset that includes information on individual incomes. The manager knows that the dataset is fairly representative of the general population and includes several millionaires.
Based on this dataset, which measure of central tendency best represents the middle of the distribution?
median
After evaluating manufacturing times for a particular product, a manager determines that the times are spread out across the distribution. The manager has been asked to determine how far, on average, the time is from the mean.
Which statistic roughly measures the average distance of a data point from the mean of the distribution?
standard deviation
The number of customers that an automobile service shop receives on any given day is normally distributed with a mean of 75 and a standard deviation of 25. On a given day, 125 oil changes are performed.
What is the probability on a given day of 125 or fewer oil changes performed?
97.5
A nonprofit organization ran an e-mail campaign with three different messages to solicit additional donations.
What should the nonprofit organization use to determine if the average donation differs for the different messages.
ANOVA
A manager of a call center is in charge of creating a staffing plan. The number of calls received per day is normally distributed. Which two statistics would be needed in order to estimate the number of calls that would be received 95% of the time? Choose 2 answers
Mean
Standard deviation
A normal distributed data set has a mean of 10 and a standard deviation of 2
What is the probability that a randomly selected event from the data set will be between 8 and 12?
68.2%
A manager uses a linear regression to examine how the store's retail sales are predicted by advertising expenditures.
What will retail sales represent in this regression?
The dependent variable
An analyst used multiple linear regression to explore how Store A's sales (y) are predicted by Store A's advertising expenditure dollars (variable x1) and the advertising expenditure dollars of Store A's competitor (variable x2). The estimated regression is y = 532 + 80.5x1 — 35.6x2. Which scenario would be predicted if x1 is $1,000 and x2 is also $1,000?
sales of $45,432
A company decides to auction excess inventory on an auction website. They have performed a regression analysis to identify how the length of the auction impacts the final price.
Which statistic indicates the strength of the relationship between the length of auctions and final price?
r-squared
A researcher looks at moving average data on store sales and wishes to perform a multiple regression of interest rates and disposable income.
What is a particular concern when performing time series multiple regression?
autocorrelation
A retail store notices a spike in turkey sales every November.
Which time series pattern are turkey likely to exhibit.
seasonality
a researcher wants to predict test scores based upon hours studying.
What type of regression would be more appropriate.
logistic regression
A doctoral student is surveying chief executive officers (CEOs) to understand their relationships with their governing boards. The student receives responses to a survey with ten questions that rates the respective relationships.
Why would the student measure the standard deviation of responses?
to measure the spread of the data
A doctoral student is surveying chief executive officers (CEOs) to understand their relationships with their governing boards. The student determines the years of business experience for each CEO as well as their rating, on a 10-point scale, of satisfaction with the governing board.
Which statistical approach should be used to display the data for analysis?
scatter plot
Which two decision considerations describe fact-based decision making, according to the quality management principles?
Choose 2 answers
Decisions foster trust in plans.
Decisions reduce external bias.
Which two statements describe how the dedication of leadership and a focus on process enhance quality?
choose 2 answers
it ensures a systems approach
it enhances customer loyalty
An organization is concerned about whether quality control standards are being met and develops a strategy to test quality control metrics.
Which step does this represent in the Plan-Do-Check-Act cycle?
check
Which phrase is a description of quality assurance
focuses on training
A joint venture is established between two firms to use their core competencies to increase their market share.
How would a SIPOC (suppliers, inputs, process, outputs, and customers) diagram benefit the joint venture?
it provides a holistic view of the entire operation
In a statistical process control analysis, sample data are collected from an assembly line and measured to see if they fall within a tolerated measurement range. If an observation does fall within the range, a "yes" is recorded, and if it falls outside the range, a "no" is recorded.
Which kind of data do the "yes" and "no" represent?
attribute data
A soft-drink manufacturer performs a control chart analysis and the results indicate that the soft-drink bottles are consistently under-filled by a large amount according to specifications. The system was evaluated three months prior and was determined to be stable and filling bottles within accepted limits.
What is this consistent under-filling an example of?
special cause variation
Which of Ishikawa's Seven Basic Tools of Quality is used to illustrate performance measurements over time?
run chart
What does this scatter diagram of a organizations retails sails and advertising expenditures indicate?
increases in advertising expenditures are associated with increases in retail sales
A college is reviewing statistics concerning student retention. The college would like to determine the most important factors that cause students to leave and asks the researcher to display this information using one of the Seven Basic Tools of Quality.
Which tool should be used in this case?
Pareto chart
A check sheet indicates that of 100 returned items, 50 were damaged upon delivery, 30 were the wrong size, 10 were of poor quality, 5 were a mistaken order, and 5 were returned due to the customer no longer wanting the item.
What is the appropriate way to represent these data?
construct a pareto chart
A hotel chain is interested in improving its customer service by reducing the amount of time it takes customers to check in.
Which analysis technique should they use?
Flowchart
Which approach focuses on eliminating activities that do not add value or satisfy customers?
lean operations
An organization develops a new strategic plan and seeks ways to measure its performance over a specific period of time.
Which system enables the organization to measure performance based upon established global standards?
Balanced scorecard
Which approach uses financial, customer, internal business processes, and innovation/learning measures?
key performance indicators
which two items represent steps of results-based management?
Choose two answers
define resources
study the long-term effects or the output
What is a description of data mining
it discovers patterns or trends in large data sets
Which common analytic measure is used to improve business performance
consumer price index
A national manufacturer is building an overseas factory to be closer to one of its largest markets.
Which analysis technique would be appropriate when evaluating location options under risk in order to strengthen the firm's competitiveness in the new market?
developing a decision tree
What is the most important analytic to determine the success or failure of a particular year's flu vaccine?
Incidence accounting for all new cases
The management for Hospital A conducted a survey of its patients' opinions including gathering demographic data to determine which programs should be pursued during the upcoming fiscal year. Upon analyzing the response on the need for a cosmetic surgery program for the hospital, it was found that there was an r score of 0.75, and a p of 0.03 between a patient's income level and support for the creation of a cosmetic surgery department.
Which statement provides an effective strategic decision based on an analysis of the given information?
There is a strong positive relationship for a cosmetic surgery program as a function of income, and this program should not be developed in high income areas.
What does True Score Theory state about a test without systematic error?
The observed score is the true score plus random error
The average test score of students taking an exam was 70% with a standard deviation of 8.5%.
Which tool should be used to compare a student's score to the group average?
z-score
What is true of cost-effective analysis
it analyzes the cost of achieving a quantifiable goal
A county government must reduce spending. It wishes to eliminate incremental budgeting and align budget allocations with each of its units' strategic business objectives.
How can the county apply data analytic approaches to attain this goal?
By benchmarking like strategies of successful counties
A county government wishes to convert government vehicles from gasoline to natural gas.
How can the county evaluate the effectiveness of the conversion?
by estimating the payback period
How can organizations implement an effective performance management evaluation system
by establishing a balanced scorecard
Which key performance indicator can a hotel chain use to measure its ability to meet client tastes and preferences?
Surveying customer satisfaction upon checkout
how do balanced scorecards differ from KPI dashboards?
KPI dashboards provide visual representations, such as charts and graphs of KPIs
What is a significant disadvantage of KPI's?
They require significant ongoing maintenance
What is a disadvantage of a balanced scorecard?
it requires significant time and effort to establish a meaningful scorecard
In what two ways are KPI dashboards useful in performance assessment?
Choose 2 answers
They show trends that represent organizational results over time
They are visual representations of key areas of focus
A professional services firm is undergoing a business process improvement exercise to improve productivity, staff morale, and client satisfaction.
Which technique might the firm use to evaluate the strength of customer service relations?
Net promoter score
A professional services firm wants to track and monitor important financial performance measures of the company (e.g., year-over-year change in revenues and profits).
Which performance approach would best meet the company's objective
Results-based management [Show Less]