BIRLA INSTITUTE OF TECHNOLOGY & SCIENCE, PILANI

WORK INTEGRATED LEARNING PROGRAMMES

COURSE HANDOUT

Part A: Content Design

Course Title Advanced Statistical Techniques for Analytics
Course No(s) SS ZG536
Credit Units 4
Course Author
Version No
Date

Course Description
This course will cover the statistical techniques which are very important in Data analytics. It
covers the models related to descriptive statistics, inferential statistics, predictive analytics and
applied multivariate analytics. And also this course introduces the important tools used in Data
Analytics in Particular R language.

Course Objectives
CO1 Understanding the data representation and analysis which is very important in Data Analytics

CO2 Understanding the predictive & inferential statistical models used in Data Analytics

CO3 Understanding the tools used in data analytics

Text Books
T1 Mathematical Statistics and Data Analysis,John A Rice,3rd Edition, Cengage Learning
T2 Applied Logistic Regression, Hosmer and Lemeshow,3rd Edition,Wiley
T3 Regression Analysis by Example, Samprit Chatterjee, Ali S. Hadi 5th Edition,Wiley

Reference Books
R1 Business Analytics: Methods, Models, and Decisions, 1st edition,James R. Evans,Pearson/PH

R2 Statistics for Business and Economics by Anderson, Sweeney and Wiliams, CENAGE learning
R2 R programming for Data Science, Roger D Peng,
Modular Content Structure

1. Descriptive Statistics
1.1 Data representation & Visualisation
1.2 Measures of Central Tendency
1.2.1. Mean, Median, Mode
1.2.2. Skewness and Kurtosis
1.3 Measures of Variability
1.4 Probability
1.5 Conditional probability
1.5.1. Bayes theorem
1.6 Probability Distributions
1.6.1. Binomial distribution
1.6.2. Poisson distribution
1.6.3. Normal distribution
2. Inferential Statistics
2.1 Sampling
2.2 Central Limit Theorem
2.3 Estimation
2.4 Type I, Type II errors
2.5 Testing of Hypothesis – Mean & Proportions
3. Predictive Analytics – 1(Linear Regression)
3.1 Covariance
3.2 Correlation
3.3 Sum of Least Squares of Errors of parameters
3.4 Simple linear regression
3.5 Maximum likelihood
3.6 Ridge Models &Lasso Model
3.7 Assumptions of linear regression and implications
3.7.1 Heteroscedasticity
3.7.2 Multicollinearity
3.7.3 Serial correlation
3.8 Model validation
3.9 Multiple linear regression
4. Predictive Analytics – 2 (Logistic Regression)
4.1 Introduction
4.2 Logistic regression function
 4.3 Training the model
4.4 Polynomial Logistic Regression
4.5 Fitness of the model
4.6 Dependent variable prediction
5. Predictive Analytics – 3 (Forecasting Models)
5.1 Principles of Forecasting
5.2 Time series Analysis
5.2.1. Smoothing & decomposition methods
5.2.2. ARIMA Model
5.2.3 GARCH models
5.2.4 Holt – Winter method
5.2.4 Multivariate time series models
5.3 Casual methods
5.4 Moving Averages
5.5 Exponential smoothing
5.6 Forecast Data patterns – level, seasonality ,cyclical
6. Applied Multivariate Analytics
6.1 Introduction
6.2 Multivariate Normal distribution
6.3 Principal Component Analysis
6.4 Factor Analysis
6.5 Discriminant Analysis
6.6 MANOVA

Learning Outcomes:

No Learning Outcomes

LO1 Clear understanding of the difference between Business Intelligence and data
analytics

LO2 Various statistical models & tools used in Data Analytics

LO3 Understanding the use of R language in Data Analytics

 Part B: Contact Session Plan

Academic Term First Semester 2018-2019

Course Title Advanced Statistical Techniques for Analytics

Course No SS ZG536

Lead Instructor YVK RAVI KUMAR

Course Contents

Contact List of Topic Title Topic # Text/Ref

Session (from content structure in Part A) (from content Book/extern
(2Hrs) structure in Part al resource
A)

1 Descriptive Statistics
 Data representation & Visualisation
 Measures of Central Tendency
 Mean, Median, Mode
 Skewness and Kurtosis
 Measures of Variability
 Probability

2  Conditional probability
 Bayes theorem

3  Probability Distributions
 Binomial distribution
 Poisson distribution
 Normal distribution

4 Inferential Statistics
 Sampling
 Central Limit Theorem
 Estimation
 Type I, Type II errors

5  Testing of Hypothesis – Mean &

Proportions

6 Predictive Analytics – 1(Linear Regression)

 Covariance
 Correlation
 Sum of Least Squares of Errors of
parameters
 Simple linear regression

7  Maximum likelihood
  Ridge Models &Lasso Model

8 Revision

9  Assumptions of linear
regression and implications
 Heteroscedasticity
 Multicollinearity
 Serial correlation
 Model validation
Multiple linear regression

10 PredictiveAnalytics–2(Logistic
Regression)
 Introduction
 Logistic regression function
 Training the model

11  Polynomial Logistic Regression

 Fitness of the model
 Dependent variable prediction

12 Predictive Analytics–3(Forecasting
Models)
 Principles of Forecasting
 Time series Analysis
 Smoothing & decomposition
methods
 ARIMA Model
 GARCH models
 Holt – Winter method

13  Multivariate time series models

 Casual methods
 Moving Averages
 Exponential smoothing
 Forecast Data patterns – level, seasonality
,cyclical

14 Applied Multivariate Analytics

 Introduction
 Multivariate Normal distribution
 Principal Component Analysis

15 o Factor Analysis
o Discriminant Analysis
o MANOVA

16 REVISION
Evaluation Scheme

Legend: EC = Evaluation Component; AN = After Noon Session; FN = Fore Noon Session

No Name Type Duration Weight Day, Date, Session, Time
EC-1 Quiz-1/Assignment-I Online 5% September 10 to 20, 2018
Quiz-2 Online 5% October 20 to 30, 2018
Quiz – 3 / November 10 to 20, 2018
Online 10%
Assignment-II
EC-2 Mid-Semester Test Closed Book 2 hours 30% 29/09/2018 (AN)
2 PM – 4 PM
EC-3 Comprehensive Exam Open Book 3 hours 50% 24/11/2018 (AN)
2 PM – 5 PM
Note - Evaluation components can be tailored depending on the proposed model.

Important Information

Syllabus for Mid-Semester Test (Closed Book): Topics in Weeks 1-7

Syllabus for Comprehensive Exam (Open Book): All topics given in plan of study

Evaluation Guidelines:
1. EC-1 consists of either two Assignments or three Quizzes. Announcements regarding the
same will be made in a timely manner.
2. For Closed Book tests: No books or reference material of any kind will be permitted.
Laptops/Mobiles of any kind are not allowed. Exchange of any material is not allowed.
3. For Open Book exams: Use of prescribed and reference text books, in original (not
photocopies) is permitted. Class notes/slides as reference material in filed or bound form is
permitted. However, loose sheets of paper will not be allowed. Use of calculators is permitted
in all exams. Laptops/Mobiles of any kind are not allowed. Exchange of any material is not
allowed.
4. If a student is unable to appear for the Regular Test/Exam due to genuine exigencies, the
student should follow the procedure to apply for the Make-Up Test/Exam. The genuineness of
the reason for absence in the Regular Exam shall be assessed prior to giving permission to
appear for the Make-up Exam. Make-Up Test/Exam will be conducted only at selected exam
centres on the dates to be announced later.
It shall be the responsibility of the individual student to be regular in maintaining the self-study
schedule as given in the course handout, attend the lectures, and take all the prescribed evaluation
components such as Assignment/Quiz, Mid-Semester Test and Comprehensive Exam according to the
evaluation scheme provided in the handout.