All you need to know about Math and Statistics

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By Inversa Technosoft

What is Statistics?

Statistics is the science of collecting, organising, describing, analyzing, and interpreting numerical data, for the purpose of making effective decisions.

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What is the use and role of Statistics?

When someone hands us a report, sends us a spreadsheet in an email, gives us a boardroom presentation, or when they text us this morning’s sales numbers, they may be trying to convince us of something, or it’s possible that they might be trying to deceive us. In today’s world, we’re being bombarded by numbers all day long at our desk, in meetings, in our cars, on the train, on our phones. The problem is trying to figure out which numbers are correct, which ones are incorrect.

Statistics can help us in this situation. They quantify uncertainty, help us judge whether results that are being provided to us are true illustration of the situation, or if results are being presenting to us with a biased view. By understanding data sets, the center of these data sets, the spread of the numbers in these data sets, by knowing how to read some basic statistical charts, and by having an understanding of basic probability, we will be taking our first steps toward having a correct picture of the data. We can then towards making more informed decisions for our organization, by knowing which numbers are helpful in each situation.

Whether the subject is political races, sports rankings, shopping trends, or healthcare advancements, statistics is the instrument for understanding our topic at a deeper level. It enables companies to come out with key insights into their data, thereby enabling them to take effective decisions.

What is the use and role of Statistics in Data Science?

Data Science uses statistical calculations, like average, median, mode, and standard deviation, to interpret the database. Statistics shows how to use probability and distribution curves to take business decisions, how to detect false positives and misleading data in the word of business, sports, education, entertainment, and more. Statistical techniques help us understand our data, prove theories, save time, money, and other valuable resources—all by understanding the numbers. Statistics analyzes data to determine if two events are dependent or independent. It predicts possible outcomes for a given situation.

Statistics forms the core logic that is used in all the three aspects of analytics – descriptive, predictive & prescriptive. Descriptive analytics use statistical coefficients that summarize a given dataset, and present the current situation of the company. Prescriptive analytics use statistical algorithms and machine learning techniques to identify the likelihood of future outcomes, based on historical data. The goal is to go beyond knowing what has happened, and provide a best assessment of what will happen in the future. Prescriptive analytics use the application of mathematical and statistical computations to suggest decision options that are available to the company, after analyzing the reports generated by descriptive and predictive analytics. These decisions relate to maximization of revenue or minimization of cost or both.