IBS Hyderabad

Academic Year 2016-17

(Class of 2018)

Course Name: Business Analytics - 1

Semester: I

Faculty Name: Dr. P.Sashikala

Room No: 103
Wing No: E
Consultation Hours: Sec C : Wednesday 3.30p.m to 5.30 p.m
Sec L Thursday 4.45 p.m to 5.45 p.m & Friday 4.45 p.m to 5.45 p,m
Mobile No: 9160017105

Email: sashikala@ibsindia.org

Course Objective:
No business can run in vacuum. Data (big or small) provide important basis for decision making.
Thus, it is important to extract actionable insights from data so as to attain smarter decisions and
better business outcomes. How one architects business technologies and designs data analytics
process to get value and actionable insights for enhancing business performance is the essence of
Business Analytics. This data driven decision making approach is conveniently divided and depicted
as follows:

Source: This graphic is from Gartner Group, a leading information technology research and advisory company.

Modern Manager works in this framework of decision making in organizations. He / She must be
oriented to such analytical thinking ability. This course aims at equipping you with analytical
concepts, tools and techniques which will enhance your capabilities for objective and data driven
decision making. The course will also build your foundations for receiving courses like Managerial
Economics, Operations Management, Business Research Methods, Marketing Research, Portfolio
Management, Financial Econometrics etc. during the MBA program at IBS. This course is designed
to meet the above agenda. The course will be completely driven through Excel software support.
Learning Outcomes: At the end of the course a student is expected to be equipped with data based analytical
thinking, with ability to apply basic data analytic tools in business context.
Recommended Text Book:
TEXT BOOK

AUTHOR / PUBLICATION

Business Analytics

S Christian Albright and Wayne L Winston, Cengage Learning,

2015. (AW)

Course Outline:

Mapped to the above book.

Sl.
No

Topic

No.
of
Sessi
ons

Key Concepts

Text Book Material to

use

Chapter
Reading

Learning Outcome

Descriptive Analytics
1.

Introduction

Overview of Analytics

Chapter 1

Knowing about analytics

as a discipline

2.

Exploring Data

* Describing the Distribution Data sets from Chapters 2

of a Single Variable
& 3 from the Prescribed
Text Book (AW)
* Relationship among
Variables
Case 2.1: The Dow Jones
Industrial Average

Chs. 2 & 3

Populations and Samples

Data, Variables, Types
of Data
Descriptive Measures for
Categorical & Numerical
Variables
Time Series Data
Outliers & Missing
Values

Case 2.2: Home and

Condo Prices
Case 3.1: Customer
arrivals at Bank98
Case 3.3: Churn in the
Cellular Phone Market
3.

Probability and
Probability
Distributions

* Probability Essentials
* Probability Distribution of
a Variable

Problems from the chapter Ch. 4

Probabilistic way of
thinking in general and
in managerial contexts.

4.

Decision Making
under Uncertainty
(This is part of
Prescriptive
Analytics, but
convenient to
cover here in terms
of flow of topics.)

* Essentials of Decision
Analysis

Case 6.1: Jogger Shoe

Company

Ability
to
make
decisions
under
probabilistic situations

* The PrecisionTree

Case 6.2: Westhouser

Paper Company

Ch.6
(excluding
Section 6-6)

* Bayes Rule
* Multistage Decision
Problems and the Value of
Information

Test 1 covering syllabus from Chapters 1 to 4 & Chapter 6. Also CP1.

5.

Normal. Binomial, * Listed Distribution & their

Poisson and
Applications
Exponential
Distributions

Case 5.1: Euro Watch

Company

Ch. 5

To understand random
variable,
studying
random behavior and
drawing inferences.

Ch. 7

Concept of Sampling,
Sampling Distributions and
Estimation as a pre-requisite

Case 5.2: Cashing in on

the Lottery

Diagnostic Analytics
6.

Sampling &
Sampling
Distribution

* Sampling Terminologies
* Various Sampling
Methods

Case 7.1: Sampling from

DVD Movie Renters

* Concept of Estimation &

related concepts

to hypothesis testing

7.

Confidence Interval
Estimation

* Various Sampling
Distributions
* Confidence Intervals for
Mean, Total, Proportion,
Standard Deviation (One
Population)
* Confidence Intervals for
differences in Means, and
Proportions (Two
Populations)

Case 8.1: Harrington

University Admissions
Case 8.2: Employee
Retention at D & Y

Ch. 8

Knowing about estimating

various confidence intervals

8.

Hypothesis Testing
- 1

* Basic Concepts
* Testing for Mean,
Proportion, Standard
Deviation (One
Population)
* Testing for differences in
Means, and Proportions
(Two Populations)
* Testing for Normality
* Chi-square Test for
Independence, F-test

Case 9.2: Friday Effect in

the Stock Market

Ch. 9

Carrying out of testing of

hypothesis in one sample
managerial contexts

Ch. 9

Carrying out of testing of

hypothesis in two sample
managerial contexts

Ch.19

Testing for equality of

several population
means (with managerial
applications)
* Multiple comparison of
means to arrive at
meaningful managerial
conclusions

Case 9.4: Removing

Vioxx from the Market

Test 2 covering syllabus from Chapters 5, 7, 8 & 9. Also CP2.

3

9.

Hypothesis Testing
- 2

Analysis of
Variance

* Testing for differences in

Means, and Proportions
(Two Populations)
* Testing for Normality
* Chi-square Test for
Independence, F-test

1.

2.

Testing equality
of Means of
several
Populations
Multiple
Comparison
Procedures

Case 9.2: Friday Effect in

the Stock Market
Case 9.4: Removing
Vioxx from the Market

Case 19.1: Krentz

Appraisal Services

(online
chapter)

Predictive Analytics
10.

Regression
Analysis:
Estimating
Relationships

*Scatter plots & Correlations

* Simple Linear Regression
* Multiple Regression
* Modeling Possibilities (Use
of Dummy Variables,
Interaction Variables & Nonlinear Transformations)
* Regression based Time
Trend Models (Section 12-4 in

Ch.10

Estimating and
interpreting relationships
Exploring Alternate
Models and interpreting

Case 11.3: Developing

Flexible Budget at the
Gunderson Plant

Ch. 11

Case 11.4: Forecasting

Overhead at Wagner

(excluding

Ability to formulate
appropriate models and
interpret them, keeping
limitations in mind.

Case 10.2: Housing Price

Structure in Mid City
Case 10.3: Demand for
French Bread at Howies
Bakery

the text book)

* Validation of the Fit

11.

Regression
Analysis:
Statistical
Inference

* Tests, Inferences and

interpretations about
Regression Coefficients
* Multi-collinearity
* Include/Exclude Decisions
* Outliers
* Violations of Regression

Assumptions
* Prediction

Printers

Section 11-6)

Test 3 covering syllabus from Chapter 9, 10, 11& Chapter 19 (online chapter). Also CP3.
Total 30

3 Sessions for
Tests

= 33 Sessions

Note: 1. At least one case of choice will be covered under each chapter by the faculty members.
2. The course on Business Analytics-2 will complement this course in Semester-2.

Expectations from Students:

a.

b.
c.
d.

e.

f.
g.
h.

i.
j.

Students must report to the respective sessions well before the announced time. Latecomers will not be
permitted to join the class after the scheduled time. If late, the attendance for that session will be marked as
absent.
Read the relevant chapter(s) and Case Study / material well prior to the class discussion as indicated in the
course plan by the faculty.
In the class discussion student is expected to participate actively and contribute to individual and group
learning. Evaluation is based on active meaningful participation.
The participation has to be relevant and meaningful. Speaking for speakings sake will be counterproductive. Participation by just repeating a point made or picking on what someone has said will also be
counter-productive.
Evaluation is a continuous process at IBS. Every student needs to be aware of the timelines given in the
section below. Absence from these evaluations will mean non awarding of marks in that particular
component
Wherever applicable, group assignments require each student to contribute to the group effort. This
enhances group effectiveness and leads to greater appreciation of working in groups.
Formal dressing is suggested for all students. Do not roam in the academic area/ attend classes in chappals /
shorts / informal t-shirts
Students are expected to show high regard and appreciation for class discipline and desist from using
mobile phones. This disturbs the class ambience and unnecessarily diverts attention of other students as
well as the faculty member. To avoid these, mobile phones should be switched off inside the classroom.
I have given a scheduled consultation hour. Utilize this time to meet me and clarify doubts if any, seek
explanations and get mentored if needed.
Attendance is compulsory in all sessions. However refer to guidelines in your academic handbook for
exceptions.

Honour Code:
Unfair practices in tests and plagiarism in assignments / project work will straight away entail a
ZERO to all involved parties.
Class Organization
Class Representative
Two among you will be elected / selected by consensus as Class Representative for the QM course.
S/he will be responsible for class room arrangements, dealing with academic office, for
communicating information from me to the class and also to collect all assignments / project works
and deliver them to me.
Class Discipline

Students must occupy their seats before I come in and must remain seated until the attendance is
completed at the end of the class.
Students must have their name plates on the desk.
Use of mobile phones is strictly prohibited in the class.

Students MUST bring LAPTOP and the TEXT BOOK to every class as the classes will be
conducted through SPREADSHEETS only.
Students are free to ask questions/doubts/clarifications in the class on topics under discussion.
For other doubts, they should meet me in my office during consulting hours.

Evaluation Timelines
Keeping in line with continuous evaluation at IBS the following schedules have been drawn. Students are
expected to go through the dates / sessions mentioned and prepare accordingly.
Component
Component
Expected slot / due
Marks declaration by Weightage
Number
date
Class
1
After completion of
Session 13
10
Participation
Session 11
Class
2
After completion of
Session 22
10
Participation
Session 20
Class
3
After completion of
Session 32
10
Participation
Session 30
Test - 1
1
To be announced
One week later
10
Test - 2
2
To be announced
One week later
10
Test - 3
3
To be announced
One week later
10
End exam
At the end of the semester
40
Total
100
Performance till Midterm will be announced by end of session No. 16 in each course which means each
student will know his / her performance in one CP and two Tests. The final result will be declared after
the end examinations. Before the student takes the end examination he / she will be aware of the progress
in each course up to an extent of 60 marks. Students not taking the evaluation according to the timelines
mentioned above will not be given another opportunity excepting in rare circumstances of extreme illness
or hospitalization.
Note:
1. Make up test for Test - 1 & Test - 2 are permitted only in EXCEPTIONAL cases. I must be
convinced about the reason in advance. Students are warned that a Make-up test will generally
be tougher than the regular test.
2. Students with less than 75% attendance on the date of any evaluation component will be
awarded F grade for that component. This applies for class participation as well.