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DEPARTMENT OF TECHNICAL EDUCATION

ANDHRA PRADESH
Name : K. Srinivas
Designation : Senior Lecturer
Branch : DCCP
Institute : SGM Govt. Polytechnic,
Abdullapurmet
Year/Semester : II Yr / III Semester
Subject : Quantitative Techniques - I
Sub.Code : CCP303
Topic : Dispersion, Range & Co-
Efficient of Range
Duration : 50 Mts
Sub-Topic : Importance, Objectives &
Applications of Measures
of Dispersion
Teaching Aids : PPT & Animations
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Objectives :

On Completion of this period, you would be


able to understand:

 Objectives of Dispersion
 Importance of Measures of Dispersion
 Applications of Measures of Dispersion

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Recap :

 Measures of Central Value (Arithmetic Mean,


Median, Mode, etc.,) are insufficient
 Measures of Variability or scattered or
dispersion needed

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MEASURES OF DISPERSION

ALGEBRAIC GRAPHIC
(ABSOLUTE AND RELATIVE) (LORENZ CURVE

RANGE

QUARTILE
DEVIATION

MEAN
DEVIATION

STANDARD
DEVIATION

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Introduction :
Need for Measures of Dispersion
 Interested in the amount of the variation
from Mean
 Its degree
 But not in the direction
 In other words
 It determines uniformity or consistency

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Measures of Dispersion :

Example 1:
 A measure of ‘6’ inches below the mean is
same as measuring dispersion of ‘6’ inches
above the mean

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Objectives:

 To determine the reliability of Average


 To serve as a basis for the control of the
Variability
 To compare two or more series for variability
 To facilitate the use of other Statistical
Measures like Analysis of Variance, Statistical
Quality Control (SQC) etc.

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First Objective:

To Determine the reliability of average


 Points out as to how far an average is
representative of the mass

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First Objective Contd:

What if dispersion is
 Small
 Large

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If Dispersion is Small :

 Average closely represents the individual


value
 Reliable as it is a good estimate of the
average

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If Dispersion is Large :

 Average not so typical


 Average may be quite unreliable unless the
sample is very large

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Second Objective:

 To serve as a basis for the control of the


Variability
 Determine nature & cause of Variation
 To control the variation itself

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Example 2:

 Regarding Health, for example


 Variation in
 Body temperature
 Pulse beat
 Blood pressure

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Example Contd:

 The parameters are considered as Basic


guides to diagnosis
 By which variation can be controlled

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Example Contd :

 What we can observe from Example?


 Measurement of Dispersion is basic to
the control of causes of variation

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Third Objective :

 To compare two or more series with regard


to their variability
 Points out how far the average is uniform
and consistent

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Example 3 :

 How to compare consistency?


 High degree of variation
 Low degree of variation

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Example 3 Contd:

 High degree of variation means little


uniformity or consistency
 Low degree of variation means greater
uniformity or consistency

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Importance :

 Central values give one single figure that


represents entire data
 Averages alone cannot describe set of
observation
 Study the variations between the sets of
observation, Dispersion is essential

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Applications (Uses):

 In Engineering problems
 Measures of Dispersion are often
specially used

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Applications (Uses) Contd:

 In Social Sciences Problems


 Special problems like measurement of
“Inequality”
 Of distribution of income or wealth etc.,

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Properties of a Good Measure
of Dispersion :

 Should be Simple to understand


 Should be easy to compute
 Should be rigidly defined
 Should be based on each and every item of the
distribution
 Should be used for further statistical analysis
 Should not be affected by extreme items

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Summary :

Measures of dispersion helps


 determine the reliability of average
 compare two or more series regarding their
variability
 further statistical analysis

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Quiz

1. How many basic objectives of Measures of


dispersion are there?

a) One

b) Two

c) Three

d) Four

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Quiz

2. Two or more series compared for their

a) Variability

b) Uniformity

c) Consistency

d) All of the above

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Frequently Asked Questions:

1. Explain the objectives of Measures of


Dispersion.

2. List out any two applications of Measures


of Dispersion.

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Assignment:

1. Explain the need for Measures of Variation.

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