Business managers make decisions on a daily basis that affect the efficiency and success of their companies. To monitor progress and stay competitive, most organizations collect and store large amounts of data. While the data collected can be used to make important business decisions, data storage itself does not equate to improved decision making. Rather, it is critical that you correctly analyze and interpret the data before applying it to improve business performance.
One important way of analyzing a set of data is through hypothesis testing. Hypothesis testing uses sample statistics to test a claim about a data parameter. For example, your company wants to increase sales by funding a new marketing campaign. It uses the campaign in one region of the country to test the effects and begins collecting data to see whether the campaign has had its desired effect. Your company will only continue the new campaign nationally if it believes sales will rise by more than 25%.
To test the claim, you can perform hypothesis testing on the sample data collected from the test region. You can then analyze and present your results to help determine whether to use the campaign nationally. Correctly interpreting the results will affect your company’s ability to make the optimal business decision and have a profound impact on its future operations.
To correctly complete the analysis and make an appropriate recommendation, you must be able to:
Define the elements of hypothesis testing.
Develop null and alternative hypotheses to analyze validity of claim in decision making.
Identify the steps of hypothesis testing.
Recognize common errors and pitfalls in hypothesis testing.
Apply hypothesis testing to common business problems.
If your company asked you to analyze the validity of a claim such as whether a new marketing campaign would increase sales by more than 25%, would you have the necessary skills to evaluate it? The Accenture Academy courses The Elements of Hypothesis Testing, Null and Alternative Hypotheses in Hypothesis Testing, The Steps of Hypothesis Testing, Potential Issues in Hypothesis Testing, and Business Applications of Hypothesis Testing are designed to provide the skills you need to apply hypothesis testing to make optimal business decisions. These courses will bolster your analytical skills while also offering key insights into conducting proper analyses and accurately interpreting results to inform good business choices. Ultimately, you will gain an understanding of making analytical decisions that will inevitably impact future business performance and your professional success.
Accenture Academy offers proven, cost-effective learning solutions for a more versatile workforce and a more agile organization. We provide a flexible learning approach that helps your people be more versatile and your entire organization be more agile in the marketplace. Curriculum includes Supply Chain Management, Finance, Procurement, Analytics, Leadership & Management and Specialty Skills.