Business 90: Business Statistics

Professor David Mease

Sec 03, T R 7:30-8:45AM BBC 204

Lecture 1 = Course Overview and Start Chapter

Introduction and Data
Collection (IADC)
Agenda:
1) Add policy (I am not adding anyone at all)
2) Course web page
3) Greensheet
4) A few more organizational questions
5) Assign Homework #1 (due Tuesday 2/2)

Business 90: Business Statistics

Professor David Mease

Add Policy:
I am not going to add any students.
Do not ask me for an add code, no matter
how sad your story is.

Business 90: Business

Statistics
Professor David Mease
Course web page:
http://www.cob.sjsu.edu/mease_d/bus90.ht
ml
It is linked from my SJSU web page
http://www.cob.sjsu.edu/mease_d/
This web page is linked from the COB web
page and the marketing department web
page

Business 90: Business Statistics

Professor David Mease

Greensheet:
You should have a hard copy of the
greensheet.
It can also be found on the course web page:
http://www.cob.sjsu.edu/mease_d/bus90.html
4

Business 90: Business Statistics

A few more organizational questions
Q: Do I need a calculator? What kind?
A: Yes.
You should bring it with you every class session
(for quizzes and class exercises)
Any calculator with which you are comfortable
and enables you to successfully solve all
homework problems
You will need addition, subtraction,
multiplication, division and square roots

Business 90: Business Statistics

A few more organizational questions
Q: Where can I go for help with this class?
A: In addition to my office hours and study
groups with your fellow students, there is the
Business Tutorial Center
http://www.cob.sjsu.edu/studserv/tutorial
The tutorial center has a book with solutions to
all textbook homework problems
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Business 90: Business Statistics

A few more organizational questions
Q: What if I can not get the book?
If the bookstore runs out you can order one
from them by going to
http://www.spartanbookstore.com
and clicking on Textbooks
If you are not able to get the book in time for
the first homework, you can use the one I keep
outside my office door. Just dont take it
anywhere for

Business 90: Business Statistics

A few more organizational questions
Q: If I need to miss class how can I avoid
getting a zero for a quiz?
A: If you let me know ahead of time you will be
absent and turn in your homework to me before
the class period during which it is due, I may be
willing to use your homework grade for that
quiz grade
(If you have a valid reason (e.g., health, work))
(If you do not abuse this privilege)
(Homework grading will be more harsh than

Business 90: Business Statistics

A few more organizational questions
Q: Is my version of Excel sufficient for this
class?
A: If you have Excel 2002 or 2003 you will be
fine. There may be some small differences, but
it is unlikely you will be lacking any necessary
features.
If you have Excel 2007 it will be much more
difficult because I will be using Excel 2002. It
would be much easier to follow the examples
and do the homework if you can get an older
version.

Statistics for Managers

Using Microsoft Excel
4th Edition

Introduction and Data

Collection

10

Homework Assignment

Homework #1: Due Tuesday, February 2

1) Read the chapter entitled Introduction and Data
Collection
2) In that chapter do textbook questions 2, 3, 8(b),
14 (skip a), 16 (skip a), 18
(Note: Answers to textbook questions with even
numbers are given in the chapter. Also, you will
need to use Table 1 in the back of the book.)

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Chapter Goals
After completing this chapter, you should be able to:

Explain key definitions:

Population vs. Sample
Primary vs. Secondary Data
Parameter vs. Statistic
Descriptive vs. Inferential Statistics

Describe key data collection methods

Construct a simple random sample and a

systematic sample

Identify types of data and levels of measurement

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Why a Manager Needs to

Know about Statistics
To know how to:

properly present information

draw conclusions about populations

based on sample information

improve processes

obtain reliable forecasts

13

Key Definitions

A population (universe) is the collection of

all items or things under consideration

A sample is a portion of the population

selected for analysis

A parameter is a summary measure that

describes a characteristic of the population

A statistic is a summary measure computed

from a sample to describe a characteristic
of the population

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Population vs. Sample

Population
a b

Sample

cd

ef ghi jkl m n
o pq rs t uv w
x y

Measures used to describe

the population are called
parameters

gi
o

n
r

y
Measures computed from
sample data are called
statistics

15

Two Branches of Statistics

Descriptive statistics

Collecting, summarizing, and describing

data

Inferential statistics

Drawing conclusions and/or making

decisions concerning a population based
only on sample data

16

Descriptive Statistics

Collect data

Present data

e.g., Survey

e.g., Tables and graphs

Characterize data

e.g., Sample mean = X i

n

17

Inferential Statistics

Estimation

e.g., Estimate the population

mean weight using the
sample mean weight

Hypothesis testing

e.g., Test the claim that the

population mean weight is
120 pounds

Drawing conclusions and/or making decisions

concerning a population based on sample results.

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Why We Need Data ?

To provide input to survey

To provide input to study

To measure performance of service or

production process

To evaluate conformance to standards

To assist in formulating alternative courses

of action

To satisfy curiosity

19

Data Sources
Primary

Secondary

Data Collection

Data Compilation

Observation

Print or Electronic

Survey
Experimentation

20

Reasons for Drawing a Sample

Less time consuming than a census

Less costly to administer than a census

Less cumbersome and more practical to

administer than a census of the
targeted population

21

Types of Samples Used

Nonprobability Sample
Items included are chosen without regard
to their probability of occurrence

Probability Sample
Items in the sample are chosen on the
basis of known probabilities

22

Types of Samples Used

(continued)

Non-Probability Samples
Judgement

Probability Samples
Simple Random

Chunk

Systematic

Quota

Stratified

Convenience

Cluster

23

Probability Sampling

Items in the sample are chosen based on

known probabilities
Probability Samples

Simple
Random

Systematic

Stratified

Cluster

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Simple Random Samples

Every individual or item from the frame has an

equal chance of being selected

Every sample of a fixed size has the same chance of

selection as every other sample of that size

Selection may be with replacement or without

replacement

Samples obtained from table of random numbers or

computer random number generators

25

In Class Exercise #1:

Explain how to draw a simple random sample of
n=10 students with replacement from the
population of all N=800 students taking Bus 90.
Use the random number Table 1 (in the back of
your textbook) beginning in row 6 and column
5.

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