Rational Decisions with Statistics

Rational Decisions with Statistics  

The researchers are today investigating each area of Arts, Humanities, Sciences to find out the inter-relationships among variables and cause-effect of various variables. Statistics is the only subject with introduce techniques to collect data, analyse it as per the needs, and summarize it to present for further analysis with something which can be used for making rational decisions. There are tools for estimation and testing by framing hypotheses on the basis of calculations. The logical information with scientific approach realized the bases to take strong decisions and achieve success. Even the decisions already taken by Managers, Administrators, Politicians, and others are tested by looking at various aspects of each decision keeping in view their context.

Statistics for Decision Making:

It is fact that the best decisions came on logical grounds which can be achieved only through best applications of Statistics. Due to inherent strengths of Statistics, the Systematic Application Products (SAPs) are used to operate the businesses more effectively. The use of technology and statistics based framework reduce the uncertainty or fix the level of uncertainty in each decision; which make the process of solving practical problems easier. The guesswork is restricted strictly as per the demand of the decision makers.

Possibility of Making Sound Decisions:

The subject of Statistics is a stream of Science which use only numbers and methods of measurement of numbers to arrive at decisions on the basis of opinions, beliefs, logics, priorities, and more. The decisions affected with more deviations are avoided on the basis of variances.

Everything is realistic in Statistics:

There are logics in each operation of the Statistics, unfortunately most of the students doing research adopt the Statistical methods without knowledge of the logical basis of the Statistics. For example, why mean is taken more seriously than median and mode? Why deviations are computed on the basis of mean in each series? Why the squared deviations are computed and why to divide with n-1? How software like SPSS can be used for more accurate results from the analysis of data?

Using Probability for Approaching Logical Decisions:

The Statistics is empowered with use of probability theory; however, in most of the research papers, the decisions are arrived without using the probability theory. Definitely, it is not mandatory to use probability theory for arriving the aims of a research but in case, the arrived findings are analysed on the basis of probability theory then the results became more authenticated.

Statistical Models for Containing Uncertainties:

The Descriptive and Exploratory analyses are used to arrive at possible alternatives of a decision and the application of statistical models suggest the best alternative which can be opted provided the conditions or context under consideration. The conditional techniques including ‘What-If’ analysis with Correlation and Regression, Time Series Analysis to study the dependent and independent variables; made the research interesting.

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