Sunday, December 30, 2012

Business Analytics for Managers - Review

Wolfgang Jank's text  "Business Analytics for Managers" is part of the Use R! series published in 2011 by Springer.


It stand out as easy introduction for using R for exploratory data analytic and data modeling at an introductory level. While R and statistics are skill not easily acquired  working with the book makes for an easy learning curve by focusing on the business side of the work while omitting much of the platform specific implementation details. This makes some sense if the manager will want to ask someone else to work with R to get him the results.

The text explains how to work with different type of data and how a manager would  analyse the different data-sets. It explains the benefits of using a large cross section of R's visualization techniques for assessing unfamiliar data for global or cross sectional patterns.

It then goes on to explain the essentials of of data handling techniques such as creation of dummy variable interaction variables, variable transformation as well as both linear and non-linear regression models. The reader will quickly grasp what the output of R's regression models mean, how to compare different model's quality and if significant data is also of practical for business application.

Wolfgang Jank kindly furnished me with the data-sets he uses in the book. In this and the following posts I'll be adding my notes and R code I used to follow along the text and reproduce the results and their graphical visualization.