Page 21 - DMGT209_QUANTITATIVE_TECHNIQUES_II

Quantitative Techniques-II

Notes Natural Science

 Diagnosing the disease based on data like temperature, pulse rate, blood pressure etc.
 Judging the efficacy of a particular drug for curing a certain disease
 Study of plant life

Task Think of any major decision you made recently. Recall the steps taken by you to
arrive at the final decision. Prepare a list of those steps.

Self Assessment

State whether true or false:

10. Statements of facts conveyed numerically are more precise and convincing than those
stated qualitatively.
11. Statistical methods are useful in formulating and testing hypothesis or assumption or
statement and to develop new theories.
12. Statistical methods are not useful for forecasting future events.

1.8 Summary

 Quantitative techniques refer to the group of statistical, and operations research (or
programming) techniques.
 The word statistics can be uses, in a number of ways. Commonly it is described in two
senses namely: Plural Sense (Statistical Data) and Singular Sense (Statistical Methods).

 The field of statistics provides the methods for collecting, presenting and meaningfully
interpreting the given data.

 Depending upon the purpose, models can be classified into four categories: Descriptive
model, Explanatory model, Predictive model and Prescriptive (or normative) model.
 The main three types of averages commonly used are: Mean, Median, Mode.

 Quantitative techniques provide the executive with scientific basis for decision-making
and enhance his ability to matte long-range plans and to solve every day problems of
running a business and industry with greater efficiency and confidence.
1.9 Keywords

Descriptive Models: Models which are used to describe the behaviour of a system based on data.
Descriptive Statistics: It is concerned with the analysis and synthesis of data so that better
description of the’ situation can be made.
Explanatory Models: Models which are used to explain behaviour of a system by establishing
relationships between its various components.

Inductive Statistics: It is concerned with the developments of scientific criteria which can be
used to derive information about the group of data by examining only a small portion (sample)
of that group.

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