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Data Analytics
INTRODUCTION TO DATA ANALYTICS
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What do companies have in common

 E-commerce
 Entertainment
 Healthcare
 Manufacturing
 Marketing
 Finance
 Tech
 and all other
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What exactly is Data

 A collection of facts.
 This collection can include numbers, pictures, videos, words,
measurements, observations, and more.
 Once you have the data, analytics put it to work for analysis.
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Why do companies need data
analyst

 to help improve processes

 identify opportunities and trends
 launch new products
 provide great customer services
 make thoughtful decisions
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What is Data Analysis

 The collection, transformation, and organization of data in order to draw

conclusions, make predictions, and drive informed decision-making.
 Data evolves over time which means this analysis can give us new
information throughout data's entire life cycle.
 We use data every day e.g. have you ever read the reviews of a product
whether or not to buy it? Or maybe you wear a fitness tracker to count your
steps so you can stay active throughout the day that’s data analysis.
 You don’t only use data, you also create data throughout the day e.g.
anytime you use your phone, lookup something online, stream music, shop
with the credit card, post on social media etc.
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Scope of Data Analytics

 Google processes more than 40 thousand searches every second which

is 3.5 billion searches a day and 1.2 trillion searches every year.
 YouTube has about 2 billion users, if YouTube users make up a country
it will be the largest in the world
 All of this data is transforming the world around us.
 The economist called data the most valuable resource, so data analysts
are valued by their organizations.
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Data Ecosystem

 The various elements interact with one another to produce, manage,

store, organize, analyze, and share data. These elements include:
 Data that is available in different formats, structures, and sources.
 Software and hardware in which raw data is staged so it can be
organized, cleaned, and optimized for use by end-users.
 End-users such as business stakeholders, analysts, and programmers
who consume data for various purposes.
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Data Analyst Job in Ecosystem

 To use the power of the data ecosystem, find the right information, and
provide the team with analysis that helps them make smart decisions.
 For example, tap into the retail store data system which is an
ecosystem filled with customer names, addresses, previous purchases,
and reviews. As a data analyst, you can use this information to predict
what these customers will buy in the future and make sure the store
has products and stock when they needed.
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Emerging Technologies

 Cloud technologies: every enterprise today has access to limitless

storage, high-performance computing, open-source
technologies, machine learning technologies, and the latest tools and
libraries.
 Data scientists are creating predictive models by training machine
learning algorithms on past data.
 Big data: Today, we're dealing with datasets that are so massive and
so varied that traditional tools and analysis methods are no longer
adequate, paving the way for new tools and techniques and also new
knowledge and insights.
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Key Players in the Data Ecosystem

 Data engineers
 Data analysts
 Data scientists
 Business analysts
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Data Engineers

 Develop and maintain data and make data available for business
operations and analysis.
 Work within the data ecosystem to extract and organize data
from disparate sources.
 Clean transform and prepare data, store and manage data.
 They enabled data to be accessible in formats and systems that the
various business applications as well as stakeholders like data analysts
and data scientists can utilize.
 A data engineer must have good knowledge of programming, in depth
understanding of relational databases and non-relational data stores.
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Data Analysts

 Translates data and numbers into plain language, so organizations can

make decisions.
 Inspect and clean data to derive insights, identify correlations, find
patterns, and apply statistical methods to analyze data and visualize
data to interpret and present the findings of data analysis.
 Data analysts require good knowledge of spreadsheets, writing queries,
and using statistical tools to create charts and dashboards.
 Modern data analysts also need to have some programming skills.
 They also need strong analytical and storytelling skills.
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Data Scientists

 Analyze data for actionable insights and build machine learning or

deep learning models that train on past data to create predictive
models.
 Data scientists are people who answer questions such as, How many
new social media followers am I likely to get next month, or what
percentage of my customers am I likely to lose to competition in the
next quarter, or is this financial transaction unusual for this customer?
 Data scientists require knowledge of mathematics, statistics, and a fair
understanding of programming languages, databases, and building
data models.
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Business Analysts

 Business analysts leverage the work of data analysts and data

scientists to look at possible implications for their business and the
actions they need to take or recommend.
 Their focus is on the market forces and external influences that shape
their business.
 They provide business intelligent solutions by organizing and
monitoring data on different business functions and exploring that data
to extract insights that improve business performance.
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To Summarize

 Data engineering converts raw data into usable data.

 Data analytics uses this data to generate insights.
 Data scientists use data analytics and data engineering to predict the
future using data from the past.
 Business analysts use these insights and predictions to drive decisions
that benefit and grow their business.
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Categories of Data

Structured Data Unstructured Data

 Typically categorized as Quantitative  Typically categorized as Qualitative
Data Data
 consists of numbers and values  text files, audio and video files
 Stored in tabular formats (for  Stored as media files or NoSQL
example, excel sheets or SQL databases
databases)  Require more space.
 Require less storage space.  Hadoop, MongoDB, Azure, etc.
 SQL, C, C++, python, etc.
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Types of Data Analysis

 Descriptive Analytics
 Diagnostic Analytics
 Predictive Analytics
 Prescriptive Analytics
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Descriptive Data Analysis

 Helps decode “What happened.”

 Helps answer questions about what happened over a given period
of time by summarizing past data and presenting the findings to
stakeholders.
 For example, tracking past performance based on the organization's
key performance indicators or cash flow analysis.
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Diagnostic Analysis

 Helps us understand “Why it happened.”

 It takes the insights from descriptive analytics to dig deeper to find the
cause of the outcome.
 For example, a sudden change in traffic to a website without an obvious
cause or an increase in sales in a region where there has been no
change in marketing.
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Predictive Analysis

 Which analyzes historical data and trends to suggest “What will happen
next.”
 Some of the areas in which businesses apply predictive analysis are risk
assessment and sales forecasts.
 It's important to note that the purpose of predictive analytics is not to
say what will happen in the future, it's objective is to forecast what
might happen in the future.
 All predictions are probabilistic in nature.
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Prescriptive Analysis

 Prescribes “What should be done next.”

 By analyzing past decisions and events, the likelihood of different
outcomes, a course of action is decided.
 Self-driving cars are a good example of Prescriptive Analytics. They
analyze the environment to make decisions regarding speed, changing
lanes, which route to take, etc.
 Or airlines automatically adjusting ticket prices based on customer
demand.
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Data Analysis Process

 Ask
 Prepare
 Process
 Analyze
 Share
 Act
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Understanding the problem and
desired result

 Data analysis begins with understanding the problem that needs to be

solved and the desired outcome that needs to be achieved.
 Where you are and where you want to be needs to be clearly defined
before the analysis process can begin.
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Prepare Data

 This stage of the process includes deciding what will be measured.

 For example, number of product X sold in a region and how it will be
measured, for example In a quarter or during Eid.
 Gathering data once you know what you're going to measure and how
you're going to measure it, you identify the data you require, the data
sources you need to pull this data from, and the best tools for the job.
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Process Data

 Having gathered the data, the next step is to fix quality issues in the
data that could affect the accuracy of the analysis.
 This is a critical step because the accuracy of the analysis can only be
ensured if the data is clean.
 You will clean the data for missing or incomplete values and outliers.
For example, customer demographics data in which the age field has a
value of 150 is an outlier.
 You will also standardize the data coming in from multiple sources.
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Analyze

 Once the data is clean, you will extract and analyze the data from
different perspectives.
 You may need to manipulate your data in several different ways to
understand the trends, identify correlations, and find patterns and
variations.
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Share Reports

 After analyzing your data and possibly conducting further research, which
can be an iterative loop, it's time to interpret your results.
 As you interpret your results, you need to evaluate if your analysis is
defendable against objections, and if there are any limitations or
circumstances under which your analysis may not hold.
 Ultimately, the goal of any analysis is to impact decision-making.
 The ability to communicate and present your findings in clear and
impactful ways is as important a part of the data analysis process as is
the analysis itself.
 Reports, dashboards, charts, graphs, maps, case studies are just some of
the ways in which you can present your data.