Christ Institute of Management Lavasa

Managerial Statistics (Course code)

MANAGERIAL STATISTICS (COURSE CODE)

NUMBER OF CREDITS = 2 (30 HOURS)
Course Description
The course will discuss from both conceptual and application perspective, basic statistical methods widely used
in business applications. The course introduces statistical methods needed in data analysis work related to
applications in Economics, Finance, Marketing, Operations, and Human Resources. Further, it enables to
conceptualize business problems in statistical terms and enhances understanding and application of fact and
evidence based decision-making process.
Course Learning Outcomes
At the end of the course, the student should be able to:
Knowledge
1. Know practical application of selected statistical tools
2. Prepare data for statistical analysis leading to business decisions
Skills
1. Work efficiently with statistical functions in MS Excel
2. Statistically analyse basic economic indicators
Attitude
1. Appreciate the use of statistical thinking in taking effective business decisions.

Required Material (Text Book):

1. Anderson, D. R., Sweeny, D. J., & Williams, T. A. (2012). Statistics for Business and Economics (11 ed.).
New Delhi: Cengage India.
Recommended Reading
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Christ Institute of Management Lavasa

Managerial Statistics (Course code)

1. Levin, I. R., Rastogi, S., Siddiqui, M. S., & Rubin, D. S. (2012). Stastics for Management (7 ed.). New
Delhi: Pearosn Education.

SESSION CONTENT AND MEETING SCHEDULE

Topic

Sessi
Method
on
Unit I : Probability, Random variables & Probability distributions (5 hours)
Probability -Event algebra Conditions of
1
Discussion
statistical dependence and independence
Bayes theorem and its applications
1
Problem solving
Probability Distributions
Random variable Discrete and continuous 1
Problem solving
random variables Expected value
Variance of a random variable Binomial,
1
Lecture
Poisson
Normal and Exponential distributions and
1
Problem solving
their properties and applications
Unit II : Sampling Methods & Estimation (4 hours)
Sampling Need benefits and limitations
1
Lecture &
Probability sampling methods
Discussion
Non probability sampling Estimation
1
Problem solving
Point and Interval estimators of mean and
proportion
1
Problem solving
Confidence intervals for mean and

Assignment

Chap. 4 (4.1 to 4.3)

Home work problems

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Chap. 4 (4.4 to 4.5)

Chap. 5 (5.1 to 5.2)
Chap. 5 (5.2)

Home work problems

Case Study [Reading]

Chap. 5 (5.4) Chap.

6 (6.1 -6.3)
Chap. 7 (7.1 to 7.2)
Chap. 7 (7.4)

proportion
Determining sample size using confidence
1
Problem solving &
interval approach
Excel
CIA I Exam [Units 1, 2]
1
Unit III : Testing of Hypothesis , Chi-Square test & ANOVA (7 hours)
Testing of Hypothesis types of errors
1
Lecture &

Reading

Home work problems

Chap. 7 (7.5 to 7.6)

Chap. 8 (8.1 to 8.2)
Chap. 8 (8.3 to 8.4)

Chap. 9 (9.1 to 9.2)

Christ Institute of Management Lavasa

Managerial Statistics (Course code)

Discussion
Problems solving &
Excel

Null and alternate hypothesis level of

2
significance. Testing of means and
proportions for small and large samples
Testing of difference between means and
1
Problem solving
proportions for small and large samples
Mid Term Examination : July 18 -22 [Units 1, 2, &3]
Chi-Square test of goodness of fit & test of
1
Problem solving
independence
ANOVA One way and two way
2
Problems & Case
classifications
study
Unit IV: Correlation and Simple Linear Regression (5 hours)
Correlation - Concept, computation,
2
Problems solving
interpretation
Simple linear Regression Form, fitting,
3
Problems & Case
prediction, hypothesis testing in linear
Study
regression, Residual analysis for validation
of assumptions - normality,
homoscedasticity, influential observations
Unit V: Decision Analysis (4 hours)
Decision making under uncertainty and risk. 2
Problems & Case
EMV and EOL approach. Perfect information
Study
and EVPI.
Decision tree analysis -one stage and two
2
Case Study
stage decision making using Baye's
theorem
Unit VI: Business Forecasting (5 hours)
Business forecasting Time series analysis 2
Lecture, discussion
components of time series Decomposition
and problem solving
TrendSeasonality and Cyclical
fluctuations
Smoothing models - moving average,
3
Discussion, problem
weighted moving average and exponential
solving and case
smoothing models Forecasting
study
performance measures - MSE, RMSE, MFE,
MAPE measures

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Home work problems

Chap.9 (9.2 to 9.5)

Chap. 10 (10.1 to
10.3)

Home work problems

Case Study [Reading]

Chap.12 (12.1 to
12.2)
Chap. 13 (13.1 to
13.2)

Home work problems

Chap. 14 (14.1to
14.3)
Chap. 14 (114.5 to
14.6)

Case study
[ Solution]

Chap. 21 (21.1 to
21.3
Home work problems

Chap. 21 (21.4)

Chap. 18 (18.1)

Home work problems

Chap. 18 (18.2 to
18.5)

Christ Institute of Management Lavasa

Managerial Statistics (Course code)
1

Davenport, T. H. (2006). Competing on Analytics. Harvard Business Review , 01 - 10.

CIA 1 evaluation
Component
Weight
Case Study Analysis
50% (10 Marks)
Exam
50% (10 Marks)
Preparation & Participation is also an important criterion for awarding marks.
Case study is a data based exercise based on topics covered in Units 1 to 3. This is based on a well-defined
business problem for a company. The data set related to the problem will be provided. Using the topics covered
in the class, you will have to apply them appropriately to answer some management questions. Grading will be
based on appropriate summary and presentation of data and computation and interpretation of appropriate
summary measures.
Exam is completely problem based. The objective of this exam is to test your understanding and application of
statistical methods in a problem-solving scenario. This will be an open book exam typically of 50 marks for two
hours duration based on a set of five problems on Unit1, Unit 2 and Unit 3 topics. You have to produce the
solution and report your work on the spot. The evaluation of your solution is based on three parameters
Appropriate use of statistical measure(s), Accuracy of measures reported and Interpretation / inference drawn.
CIA 2 evaluation
Component
Exam
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Weight
50% (10 Marks)

Christ Institute of Management Lavasa

Managerial Statistics (Course code)

Business Report

50% (10 Marks)

Exam is completely problem based. The objective of this exam is to test your understanding and application of
statistical methods in a problem-solving scenario. This will be an open book exam typically of 50 marks for two
hours duration based on a set of five problems on Unit 5 and Unit 6 topics. You have to produce the solution and
report your work on the spot. The evaluation of your solution is based on three parameters Appropriate use of
statistical measure(s), Accuracy of measures reported and Interpretation / inference drawn.
The main objective of the business report is to test your understanding and application of statistical methods
and also interpretation and reporting of your statistical analysis work as per the client requirement. It is
important to note that you take up this course not to become core statistician but to use statistical methods in
business application(s). Therefore it is important you adhere to client requirement in terms of reporting
standards also.
You will be given a well defined problem situation and a relevant data set. You need to use Excel to compute all
statistical measures and develop a report based on client requirement. These two business reports will be
based on Unit 5 Testing of hypothesis and Unit 6 Correlation & Regression topics.
Grading criteria of Business Report
Professionalism Visual appearance, grammatical correctness, overall formatting plus graphs &
tables, APA formatting for statistical results, readability, and other factors that convey your
skill and care.
Accuracy
- How accurate are your statistics in terms of numbers as well as the recommendations you
make based of them?
Completeness - How well did you see the relationships between the data? Did you include all the
relevant information so that someone else can critically review your analyses (i.e. N, t, F, r,
R, p, & effect size values; descriptive, etc.)
Did you have an introduction that states the purpose and conclude with
recommendations?
Note: A sample business report for your reference will be provided in advance.
Mid Term Examination Topics
Unit 1
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Christ Institute of Management Lavasa

Managerial Statistics (Course code)

Unit 2
Unit 3
LEARNING METHODOLOGY & EXPECTATION FROM STUDENTS
Class sessions will be more discussion based sessions, not pure lectures. A class session will typically consist
of, exposition of principle & concept, question & answer rounds, classroom workout and discussion of problems
& its solutions, and invited case presentations. You are supposed to work with me during this workout.
Remember that statistical techniques cannot be mastered by textual reading, but by actual problem solving.
You must complete reading the chapter/topic, in advance of/before that class session, and thus come fairly, if
not fully, prepared. Suppose Ch 2 is to be covered in three sessions, then for the first session, at the least, you
are supposed to have read the first third (Sections 2.1 to 2.3) of the chapter, including the worked examples,
and tried out the discussion questions & problems corresponding to those sections of the chapter. You must
maintain a notebook of the work being done in this course, including the work done in the
classroom and all the home work problems suggested by me in each chapter . Because it is a good
way to remember the course, at least during the course! It helps you to remember/recollect what was and what
was not covered in the class, assisting exam preparation. Another important way to learn is through teamwork.
You may work in groups of 2, 3 or 4. First try the problems yourself, then, discuss your solutions with study
group members. Such assignments reinforce learning and promote preparedness.
Harvard Business Review (HBR) Reading
A HBR article will be given in the first session. The objective is to understand the big picture of taking up this
course and how over a period of time, content, and techniques you lean in this course have become an integral
part of several applications and back bone of an emerging industry in itself!! .
You are required to read this
article and develop a write up reviewing the contents of the paper. Article info is given as follows:
Davenport, T. H. (2006). Competing on Analytics. Harvard Business Review, 01 -10
Useful Web links
You may use the following web links for resources like Electronic books, examples, real time case studies,
applications, topic explanation, java applets etc.
1. http://www.statsoft.com/textbook/
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Christ Institute of Management Lavasa

Managerial Statistics (Course code)

[On line text book]

2. http://davidmlane.com/hyperstat/
[On line book providing tutorial on different topics]
3. http://stattrek.com/AP-Statistics-1/AP-Statistics-Intro.aspx?Tutorial=AP
[Teach yourself statistics Online free tutorial on statistical topics]

Instructor Info
Binu P Paul PhD
Christ Institute of Management, Lavasa
Mail: b.p.paul@cimlavasa.in

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