TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Objectives
After completing this lecture, you should be
able to :
•describe the differences between reporting and
analysis;
•describe the tools for data analysis;
•describe three types of logical reasoning
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Reporting and Analysis •Reportingis the Process of organizing data into
informational summaries in order to monitor how
different areas of a business are performing.
•Analysisis the Process of exploring data and reports in
order to extract meaningful, actionable insights, which
can be used to better understand and improve
business performance
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The difference between Reporting and
Analysis
•Purpose
•Tasks
•Outputs
•Delivery
•Value
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The difference between Reporting and
Analysis
Purpose
Reporting Analysis
‐Translates raw data into
information
‐Questions: What
happened? Or What is
happening?
‐Transforms data and
information into insights
‐Questions: Why
happened? Or Why is it
happening?How can
you act on it
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The difference between Reporting and
Analysis
Tasks
Reporting Analysis
‐Primary tasks is on
building, configuring,
consolidating,
organizing, formatting
and summarizing
information
‐Primary tasks is on
questioning, examining,
interpreting, comparing
and confirming
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The difference between Reporting and
Analysis
Output
Reporting Analysis
•Passively pushesthe
information to the user
who are then expected
to extract meaningful
insights and take
appropriate actions for
themselves.
•Examples: Canned
reports, dashboards and
alerts
•Actively pullsdata to
answer specific business
questions.
•Examples: Adhoc
responses and analysis
presentation
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The difference between Reporting and
Analysis
Output
Reporting Analysis
•Highlight key changes in
the data, but does not
explain why these
changes are important.
•Emphasizesthe
significant data points
and explains why they
are important to the
business.
•Provides specific
guidance on what
actions to take based on
the key insights found
on the data.
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The difference between Reporting and
Analysis
Delivery
Reporting Analysis
•Report can be accessed
through Excel
spreadsheet, Qlikview
dashboard etc.
•Automation is the key in
building and delivering
report. Example.
Periodic reports
(Monthly, weekly, daily)
•Human intervention
usingreasoning and
analytical skills to extract
key insights.
•Emphasizes the
importance of trust and
credibility between the
analyst and decision
maker
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The difference between Reporting and
Analysis
Value
Data
Reporting
Analysis
Decision
Action
Value
Without analysis,
you would never get
to the path to value
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The difference between Reporting and
Analysis
Question to ask to step away from the
reporting routine:
–What are you trying to achieve?
–What business question are you trying to
answer?
–How are you going to use this report ?
–What actions will you take from this report?
–Who are you taking this information to?
–What are you trying to convince them to do?
–What is your
theory or hypothesis?
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Data Analysis tools
http://www.tableau.com/gartner‐magic‐quadrant‐2015
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
How Gartner Evaluate BI Tool? Gartner lists 13 capabilities to evaluate BI tools
•Enable Business User data Mashupand Modeling. User
friendly interface
•Enable Internal Platform Integration across all platform
components
•Enable BI Platform Administration including high
availability and disaster recovery
•Enable Metadata Management
•Enable Cloud deployment
•Enable Development and Integration
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
How Gartner Evaluate BI Tool? Gartner lists 13 capabilities to evaluate BI tools
•Produce Free‐Form Interactive Exploration
•Produce Analytic Dashboards and Content
•Produce IT‐developed Reporting and dashboards
•Produce Traditional Styles of Analysis
•Develop and Deliver content to mobile devices
•Enable users to share and discuss information,
analysis, analytic content and decisions
•Embedded BI capabilities
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The Logic of Reasoning •Reasoning is the process of using existing knowledge to
draw conclusions, make predictions, or construct
explanations.
•Reasoning helps us determine how do the viewer
understand a visualisationand how do the viewer
respond to a visualisation
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
The Logic of Reasoning
•Deductive reasoning (Top‐down)
–Supports or refutes a general rule (hypothesis) with
a specific conclusion (evidence)
•Inductive reasoning (Bottom‐up)
–Uses specific observations (patterns or trends) to
create a probable, generalized conclusion
(hypothesis)
•Abductivereasoning
–Formulates the most likely explanation (cause)
based on incomplete observations of an event
(effect)
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Deductive reasoning •Deductive reasoning originates from the philosophy
and mathematics and is the most obvious form of
reasoning.
•It is a method for applying a general rule (major
premise) in specific situations (minor premise) of
which conclusions can be drawn.
Major Premise: A is equal to B
Minor Premise: C is equal to A
Conclusion: C is equal to B
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Deductive reasoning •Deductive reasoning links premises with conclusion,
top –down logic. For example:
–If an angle A>90°, then A is an obtuse angle.
–A=120°
–A is an obtuse angle
•In deductive reasoning, if the data is true then the
conclusion is definitely correct.
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Deductive reasoning •Take for example. Life Expectancy Chart.
–Logical conclusion is that life expectancy follow the line.
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Inductive reasoning •The opposite of deductive reasoning is inductive
reasoning.
•In this form of logical reasoning, specific conclusions
are generalized to general conclusions. It uses specific
cases to make an inference that has general
application. There is no empirically correct answer, it is
a reasoned judgement.
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Inductive reasoning •A famous hypothesis is ‘all swans are white’. This
conclusion was taken from a large amount of
observations without observing any black swan.
•Inductive reasoning however is a risky form of logical
reasoning since the conclusion can as easily be
incorrect when, looking at the swans example, a black
swan
is spotted.
•Inductive reasoning is a form of generalizations,
extrapolation, Interpolation and allow us to infer
missing data
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Inductive reasoning •Take for example. Life Expectancy Chart. Life expectancy continue to grow, we may eventually live up to 200
years old. (Extrapolation).
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Other Inductive reasoning •Analogy is a comparison of two things, ideas, persons,
phenomena, and so on that are said to be similar in
some way.
•When businesses price a product or a service,
comparison of the similar product is necessary
•Prediction is also considered as inductive reasoning
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Other Inductive reasoning •Causal Inference : premised upon a relationship
between two or more events such that one event leads
to another.
•Specifically, “every causal argument has at least two
events, one of which precedes the other, and both are
connected to the other.”
•For example: fossils fuels causes global warming
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Induction and Deduction Compared •Deduction is generally past or present oriented.
Presumably, its premises are already tested. It draws
from general information, then extracts a specific
conclusion which proves the past or present truth.
•Induction is generally future oriented. It gathers
specific information, then draws a general conclusion
which predicts what you will find in the future.
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Abductivereasoning
•Abductivereasoning typically begins with an
incomplete set of observations and proceeds to the
likeliest possible explanation for the set
•In abductivereasoning it is presumed that the most
plausible conclusion also the correct one is.
•Normally, a model on the data will be created.
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Abductivereasoning
•For example, there is a traffic jam in PIE right now
(event b), if there was a traffic accident 10 minutes
ago (event a), then it would not be surprised that
currently we are being jammed at PIE, so according to
abductivereasoning, the possibility of traffic accident
occurred 10 minsago
is reasonable.
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Logical reasoning and BI Technologies •BI technologies—such as query and reporting tools,
online analytical processing (OLAP), dashboards, and
scorecards—examine what happened in the past. They
are deductivein nature.
•Predictive analytics works the opposite way: it is
inductive. It doesn’t presume anything about the data.
Rather, predictive analytics lets data lead the way.
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Reference Link
•Visualization and Interactive Data Analysis ‐DataEDGE
2013 (53:52)
https://www.youtube.com/watch?v=Wr‐7Tw88dOs
•Logical Reasoning: Inductive vsDeductive (14:37)
•https://www.youtube.com/watch?v=7wtp6EuXiL0
•Inductive and Deductive Reasoning (9:47)
https://www.youtube.com/watch?v=CHhjK2qrL68
•I Like Pretty Graphs: Best Practices for Data Visualization
Assignments (52:26)
https://www.youtube.com/watch?v=pD_OvRtH0aY
TEMASEK POLYTECHNIC • SCHOOL OF INFORMATICS & IT
Additional Reading Resource
•Beyond Dashboard: Business Intelligence Tools for
Program Analysis and Reporting
http://www.idealware.org/articles/beyond ‐dashboards‐
business‐intelligence‐tools‐program‐analysis‐and‐ reporting
•Computers, visualization, and the nature of reasoning
http://kryten.mm.rpi.edu/COURSES/LOGAIS02/bar.etch.
reasoning.pdf