BBA 202 BA ENOTES UNIT-1
BBA 202 BA ENOTES UNIT-1
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
E-NOTES
UNIT – I
Business analytics is the practice of using data to make better decisions. It involves examining
data, identifying patterns, and drawing conclusions to improve business performance. Companies
use analytics to solve problems, predict trends, and find opportunities for growth.
Key Features:
1. Data-Driven Decision-Making: Analytics uses data as the foundation for decision-
making instead of assumptions or intuition.
2. Improves Efficiency: It identifies bottlenecks, inefficiencies, and areas of improvement
in operations.
3. Customer Insights: BA provides valuable insights into customer preferences and
behavior.
4. Competitive Advantage: By using analytics, businesses can stay ahead of competitors by
predicting trends and adapting quickly.
• Data Collection: In ancient times, governments and businesses recorded data manually,
such as trade records, tax collections, and inventory counts.
1
Chanderprabhu Jain College of Higher Studies
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School of Law
An ISO 9001:2015 Certified Quality Institute
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• Tools Used:
• Tools:
o Simple calculators.
• Example: Banks used early computers to process transactions and generate statements.
2
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
• Applications:
o Generating financial reports.
• Example: Retailers used BI tools to track sales trends and inventory levels.
• Tools:
o Statistical software like SAS and R.
• Applications:
o Predicting customer behavior.
• Example: E-commerce platforms like Amazon used predictive analytics for personalized
recommendations.
3
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
• Tools:
o Machine learning libraries (TensorFlow, Scikit-learn).
Gather relevant data from various sources to support the analysis. The data should be
comprehensive, accurate, and directly related to the defined problem.
4
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
Prepare the data by removing errors, handling missing values, and formatting it for analysis.
This ensures the data is accurate, consistent, and reliable for the subsequent steps.
4. Analyze Data
Apply various analytical techniques, such as statistical methods, machine learning, or data
visualization, to uncover patterns, relationships, or trends within the data.
5. Interpret Results
Translate the analysis into actionable insights. This step involves understanding the
implications of the findings and linking them to the business problem to guide decision-
making.
6. Make Decisions
Use the insights derived from the analysis to inform business decisions. These decisions should
aim to address the problem, improve performance, or take advantage of opportunities.
7. Monitor and Evaluate Outcomes
Track and assess the results of the decisions to determine their effectiveness. This involves
measuring key metrics and gathering feedback to evaluate if the desired outcomes are
achieved. Continuous monitoring may lead to further adjustments or refinements in the
strategy.
Data Analytics
Data Analytics is the process of examining and interpreting data to extract meaningful
insights, identify trends, and support decision-making. It involves various techniques and
methods to transform raw data into valuable information that can drive business strategies,
operational improvements, and problem-solving.
Key Components of Data Analytics:
1. Data Collection: Gathering data from diverse sources such as customer interactions, sales
transactions, sensors, surveys, social media, and more. Ensuring the data is relevant,
accurate, and comprehensive is crucial.
2. Data Cleaning: Before analysis, raw data needs to be cleaned by removing inconsistencies,
correcting errors, and dealing with missing values. This ensures data quality and integrity.
3. Data Transformation: Data is often transformed into a format suitable for analysis, which
may involve normalizing, aggregating, or reshaping it for easier interpretation.
5
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
4. Exploratory Data Analysis (EDA): In this phase, analysts examine the data using statistical
methods and visualization techniques to understand patterns, distributions, and
relationships between variables. This step helps in formulating hypotheses.
5. Statistical Analysis and Modeling: Data analytics involves applying statistical techniques
or machine learning models to identify trends, make predictions, or uncover correlations
in the data. It may include regression analysis, clustering, classification, and time-series
forecasting.
6. Data Visualization: Visual tools such as charts, graphs, and dashboards are used to present
the results of data analysis in a more accessible and understandable format. Visualization
helps in conveying insights effectively to decision-makers.
7. Insight Generation: The ultimate goal of data analytics is to generate actionable insights.
These insights can drive strategic decisions, improve efficiency, optimize processes, and
help in achieving business goals.
8. Reporting and Decision Making: The insights derived from data analysis are used to make
informed decisions. These decisions could relate to marketing, operations, finance, or
customer service. Reporting tools often support this by providing clear, concise findings.
6
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
A Business Analyst (BA) bridges the gap between business needs and technical solutions. Key
roles include:
7
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
4. Testing and Validation: Support User Acceptance Testing (UAT) and ensure solutions
meet requirements.
5. Communication: Act as a liaison between business and technical teams, ensuring
alignment.
6. Strategic Planning: Develop business cases and align solutions with organizational goals.
7. Change Management: Assess impacts, support training, and facilitate smooth transitions.
A Business Analyst gathers and documents stakeholder needs to ensure clear understanding. For
example, when a retail company plans to develop an online shopping app, the Business Analyst
might use interviews, workshops, and surveys to capture requirements such as product search
functionality, payment options, and user experience expectations.
2. Stakeholder Engagement
Building relationships with stakeholders and aligning their priorities is crucial. For instance, when
launching a new product delivery system, the Business Analyst engages marketing, sales, and
logistics teams to ensure their goals are considered and integrated into the project.
Analyzing and improving existing workflows is a key responsibility. In a banking scenario, if loan
processing takes too long due to manual approvals, the Business Analyst may recommend
automating the process, reducing processing time and improving efficiency.
The Business Analyst collaborates with technical teams to design and validate solutions. For
example, while developing a healthcare patient portal, they ensure features like appointment
scheduling and medical record access align with user needs. They validate these solutions through
testing to confirm functionality.
Acting as a liaison between technical and business teams, the Business Analyst ensures smooth
communication. They translate business requirements into actionable tasks for developers and
keep stakeholders updated with progress reports and project documentation.
A Business Analyst aligns projects with organizational goals and prepares business cases to justify
investments. For example, they might develop a business case for a logistics company investing
8
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
in AI-based route optimization, highlighting cost savings and return on investment to secure
approval.
Managing change and ensuring smooth adoption of new systems is part of their role. After
implementing a new system, the Business Analyst creates user manuals and conducts training
sessions to help employees adapt, minimizing resistance to change.
Analyzing data to provide actionable insights is another critical responsibility. For instance, they
might analyze sales trends in a retail chain to recommend stocking high-demand products in
specific locations, helping improve inventory management and sales performance.
The Business Analyst identifies and mitigates risks during projects. For example, while
implementing a payment gateway, they might recognize compliance risks and propose alternative
solutions to address them, ensuring the project proceeds smoothly and within regulations.
Business analytics in practice involves the use of data analysis techniques and tools to help
organizations make informed decisions, optimize operations, and improve performance. It is a
multidisciplinary field that combines statistical analysis, data mining, predictive modeling, and
other analytical methods to solve real-world business problems. Below are some key areas where
business analytics is applied in practice:
Leveraging data to inform strategic decisions is a key aspect of business analytics. For
example, a retail company might use sales data to determine which products to stock more of
based on customer preferences and seasonal trends. This ensures that the company makes data-
backed decisions that align with consumer demand.
9
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
2. Customer Analytics
3. Predictive Analytics
Predictive analytics involves using historical data to predict future trends and outcomes. A
manufacturing company might use predictive analytics to forecast equipment failures,
allowing them to schedule maintenance proactively and avoid costly downtime. This helps
companies stay ahead of potential issues and make more accurate forecasts.
Supply chain optimization uses analytics to improve the efficiency and cost-effectiveness of
the supply chain. A logistics company, for example, might analyze delivery routes and traffic
patterns to reduce fuel costs and delivery times. This leads to more efficient operations and
improved customer satisfaction.
5. Financial Analytics
Financial analytics is the process of analyzing financial data to assess the financial health of a
business and support investment decisions. For example, an investment firm could use
financial analytics to identify undervalued stocks or predict market trends, helping them make
smarter investment choices and achieve higher returns.
6. Operational Efficiency
7. Risk Management
Risk management in business analytics involves identifying, assessing, and mitigating risks
across various areas of the business. An insurance company, for example, might use data to
assess the risk level of different policyholders and adjust premiums accordingly. This helps
companies minimize potential losses and maintain profitability.
10
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
Human resources analytics involves using data to manage talent, improve employee
satisfaction, and reduce turnover. A company might analyze employee performance data to
identify factors contributing to high turnover and develop strategies to improve employee
retention. This ensures a more stable and productive workforce.
Business analytics relies on various tools and techniques to analyze data effectively. Statistical
software like R, SAS, and SPSS are commonly used for data analysis, while business
intelligence (BI) tools such as Tableau, Power BI, and Qlik are used for data visualization and
reporting. Predictive modeling techniques, including machine learning algorithms like
regression analysis, decision trees, and neural networks, help businesses forecast future
outcomes. Big data technologies such as Hadoop and Spark are also utilized to handle and
analyze large datasets.
11
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
Distributions
, sampling &
✓ ✓ ✓ ✓ ✓ ✓ ✓
statistical
inference
Linear
✓ ✓ ✓ ✓ ✓ ✓ ✓
regression
Logistic
✓ ✓ ✓ ✓ ✓ ✓ ✓
regression
Advanced
data mining ✓ ✓ ✓ ✓ ✓ ✓
techniques
Text analysis ✓ ✓ ✓ ✓
Data
storage/extra
ction
Relational
databases & ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
SQL
Data
✓ ✓ ✓ ✓ ✓ ✓
warehousing
NOSQL
✓ ✓
databases
Hadoop ✓ ✓
Python ✓ ✓
Analytical
software
Excel ✓ ✓ ✓ ✓ ✓ ✓
SAS ✓ ✓
R ✓
Tableau ✓ ✓ ✓ ✓ ✓ ✓ ✓
Qlikview ✓ ✓ ✓
Soft skills
Communicati
on & ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Presentation
Teamwork ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
1. Data Analyst
Role: A data analyst is responsible for collecting, processing, and analyzing data to provide insights that
help businesses make informed decisions. They often work with large datasets to identify trends and
patterns.
Skills:
12
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
Skills:
3. Data Scientist
Role: Data scientists use advanced statistical, machine learning, and programming techniques to analyze
large datasets. They build predictive models, identify patterns, and create algorithms that support data-
driven decision-making.
Skills:
4. Business Analyst
Role: Business analysts focus on understanding business needs and processes. They use data analytics to
identify areas for improvement and recommend solutions that align with business goals. They often bridge
the gap between business and technical teams.
Skills:
5. Operations Analyst
Role: Operations analysts use data to optimize business processes, improve operational efficiency, and
reduce costs. They often focus on areas like supply chain management, logistics, and production.
Skills:
13
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
6. Financial Analyst
Role: Financial analysts use data to assess the financial health of a business, evaluate investment
opportunities, and guide financial planning. They help organizations make data-driven financial decisions.
Skills:
7. Marketing Analyst
Role: Marketing analysts analyze customer data, market trends, and campaign performance to help
organizations optimize their marketing strategies. They provide insights into customer behavior and help
businesses target the right audience.
Skills:
Skills:
9. Risk Analyst
Role: Risk analysts use data to identify and mitigate potential risks in various areas of the business, such
as finance, operations, or compliance. They help organizations manage risk and make informed decisions
to minimize losses.
Skills:
14
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
Skills:
To progress in their careers, individuals may need to gain specialized skills in areas such as machine
learning, artificial intelligence, or big data technologies. They may also pursue leadership roles that involve
managing teams and shaping data strategies at the organizational level.
The R Language stands out as a powerful tool in the modern era of statistical computing and data
analysis. Widely embraced by statisticians, data scientists, and researchers, the R Language offers
an extensive suite of packages and libraries tailored for data manipulation, statistical modeling,
and visualization. In this article, we explore the features, benefits, and applications of the R
Programming Language, shedding light on why it has become an indispensable asset for data-
driven professionals across various industries.
15
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
R Programming Language
16
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
5. Platform Independence:
The R Language is platform-independent, meaning it can run on various operating systems,
including Windows, macOS, and Linux, providing flexibility in development environments.
17
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
5. Platform Independence:
R is platform-independent, running on various operating systems, including Windows, macOS,
and Linux, which ensures flexibility and ease of use across different environments.
Advantages of R language
1. R is the most comprehensive statistical analysis package. As new technology and
concepts often appear first in R.
2. As R programming language is an open source. Thus, you can run R anywhere and at any
time.
3. R programming language is suitable for GNU/Linux and Windows operating systems.
4. R programming is cross-platform and runs on any operating system.
5. In R, everyone is welcome to provide new packages, bug fixes, and code enhancements.
Disadvantages of R language
1. In the R programming language, the standard of some packages is less than perfect.
2. Although, R commands give little pressure on memory management. So R programming
language may consume all available memory.
3. In R basically, nobody to complain if something doesn’t work.
4. R programming language is much slower than other programming languages such as
Python and MATLAB.
5. Applications of R language
6. We use R for Data Science. It gives us a broad variety of libraries related to statistics. It
also provides the environment for statistical computing and design.
18
Chanderprabhu Jain College of Higher Studies
&
School of Law
An ISO 9001:2015 Certified Quality Institute
(Recognized by Govt. of NCT of Delhi, Affiliated to GGS Indraprastha University, Delhi & Approved by AICTE | Bar Council of India)
7. R is used by many quantitative analysts as its programming tool. Thus, it helps in data
importing and cleaning.
8. R is the most prevalent language. So many data analysts and research programmers use
it. Hence, it is used as a fundamental tool for finance.
9. Tech giants like Google, Facebook, Bing, Twitter, Accenture, Wipro, and many more
using R nowadays.
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