Category
>Statistics

7 Types of Statistical Analysis: Definition and Explanation

Neelam Tyagi
Jan 19, 2021
Updated on: Jul 19, 2022

Statistics is the branch of science that renders various tools and analytical techniques in order to deal with the huge extent of data, in simple terms, it is the science of assembling, classifying, analyzing and interpreting & manifesting the numeric form of data for making inferences about the population, from the picked out sample data that can be used by business experts to solve their problems.

Therefore, in the efforts to organize data and anticipates future trends, depending upon the information, many organizations heavily rely on statistical analysis.

More precisely, statistical data analysis concerns data collection, interpretation and presentation. It can be approached while handling data to solve complex problems. More precisely, the statistical analysis delivers significance to insignificant/irrelevant data or numbers.

The Key types of Statistical Analysis are

In particular, statistical analysis is the process of consolidating and analyzing distinct samples of data to divulge patterns or trends and anticipating future events/situations to make appropriate decisions.

The statistical analysis has the following types that considerably depends upon data types.

7 types of statistical analysis

1. Descriptive Statistical Analysis

Fundamentally, it deals with organizing and summarizing data using numbers and graphs. It makes easy the massive quantities of data for intelligible interpretation even without forming conclusions beyond the analysis or responding to any hypotheses.

Instead of processing data in its raw form, descriptive statistical analysis enables us to represent and interpret data more efficiently through numerical calculation, graphs or tables.

From all necessary preparatory steps to concluding analysis and interpretation, descriptive statistical analysis involves various processes such as tabulation, a measure of central tendency (mean, median, mode), a measure of dispersion or variance (range, variation, standard deviation), skewness measurements and time-series analysis.

Formula chart, source

Under descriptive analysis, the data is summarized in tabular form and managed & presented in the forms of charts and graphs for summing up data, assuming it for the whole population.

Also Read | Descriptive statistics in R

Moreover, it helps in extracting distinct characteristics of data and in summarizing and explaining the essential features of data. What’s more, no insights are drawn regarding the groups which are not observed/sampled.

2. Inferential Statistical Analysis

The inferential statistical analysis basically is used when the inspection of each unit from the population is not achievable, hence, it extrapolates, the information obtained, to the complete population.

In simple words, inferential statistical analysis lets us test a hypothesis depending on a sample data from which we can extract inferences by applying probabilities and make generalizations about the whole data, and also can make conclusions with respect to future outcomes beyond the data available.

By this way, it is highly preferable while drawing conclusions and making decisions about the whole population on the basis of sample data. As such, this method involves the sampling theory, various tests of significance, statistical control etc.

Descriptive vs Inferential Statistical Analysis

3. Predictive Analysis

Predictive analysis is implemented to make a prediction of future events, or what is likely to take place next, based on current and past facts and figures.

In simple terms, predictive analytics uses statistical techniques and machine learning algorithms to describe the possibility of future outcomes, behaviour, and trends depending on recent and previous data. Widely used techniques under predictive analysis include data mining, data modelling, artificial intelligence, machine learning and etc. to make imperative predictions.

In the current business system, this analysis is approached by marketing companies, insurance organizations, online service providers, data-driven marketing, and financial corporations, however, any business can take advantage of it by planning for an unpredictable future, such as to gain the competitive advantage and narrow down the risk connected with an unpredictable future event.

The predictive analysis converges on forecasting upcoming events using data and ascertaining the likelihood of several trends in data behaviour. Therefore, businesses use this approach to get the answer “what might happen?” where the basis of making predictions is a probability measure.

4. Prescriptive Analysis

The prescriptive analysis examines the data In order to find out what should be done, it is widely used in business analysis for identifying the best possible action for a situation.

While other statistical analysis might be deployed for driving exclusions, it provides the actual answer. Basically, it focuses on discovering the optimal suggestion for a process of decision making.

Several techniques, implemented under prescriptive analysis are simulation, graph analysis, algorithms, complex event processing, machine learning, recommendation engine, business rules, etc.

However, it is nearly related to descriptive and predictive analysis, where descriptive analysis explains data in terms of what has happened, predictive analysis anticipates what could happen, and here prescriptive analysis deals in providing appropriate suggestions among the available preferences.

5. Exploratory Data Analysis (EDA)

Exploratory data analysis, or EDA as it is known, is a counterpart of inferential statistics, and greatly implemented by data experts. It is generally the first step of the data analysis process that is conducted prior to any other statistical analysis techniques.

EDA is not deployed alone for predicting or generalizing, it renders a preview of data and assists in getting some key insights into it.

This method fully focuses on analyzing patterns in the data to recognize potential relationships. EDA can be approached for discovering unknown associations within data, inspecting missing data from collected data and obtaining maximum insights, examining assumptions and hypotheses.

6. Causal Analysis

In general, causal analysis assists in understanding and determining the reasons behind “why” things occur, or why things are as such, as they appear.

For example, in the present business environment, many ideas, or businesses are there that get failed due to some events’ happening, in that condition, the causal analysis identifies the root cause of failures, or simply the basic reason why something could happen.

In the IT industry, this is used to check the quality assurance of particular software, like why that software failed, if there was a bug, a data breach, etc, and prevents companies from major setbacks.

We can consider the causal analysis when;

Identifying significant problem-areas inside the data,
Examining and identifying the root causes of the problem, or failure,
Understanding what will be happening to a provided variable if one another variable changes.

7. Mechanistic Analysis

Among the above statistical analysis, mechanistic is the least common type, however, it is worthy in the process of big data analytics and biological science. It is deployed to understand and explain how things happen rather than how specific things will take place ulteriorly.

It uses the clear concept of understanding individual changes in variables that cause changes in other variables correspondingly while excluding external influences and considering the assumption that the entire system gets influenced via its own internal elements’ interaction.

The fundamental objectives of mechanistic analysis involve;

Understanding the definite changes in that could make changes in other variables
A clear explanation of the happening of a past event in the context of data, especially when the particular subject/concern deals with specific activities.

For example, in biological science, when studying and inspecting how various parts of the virus are affected by making changes in medicine.

Besides the above statistical analysis types, it is worth discussing here that these statistical treatments, or statistical data analysis techniques, profoundly rely on the way, the data is being used. While counting on the function and requirement of a particular study, data and statistical analysis can be employed for many purposes, for example, medical scientists can use a variety of statistical analysis for testing the drug effectiveness, or potency.

What’s more, plenty of available data can inform numerous things, data professionalists want to explore, therefore statistical analysis is able to get some informative outcomes and make some inferences. Also, in some cases, statistical analysis can be approached to accumulate information regarding the preference of people and their habits.

For example, user data, at sites like Facebook and Instagram, can be used by analysts for understanding user perception, like what uses are doing and what motivates them. This information can benefit commercial ads where a particular group of users are targeted to sell them things. It is also helpful for the application developers to understand users’ response and habits and make changes in products accordingly.

Conclusion

A deeper understanding of data can widen the numerous opportunities for a business, with the implementation of business analytics, an organization can achieve while scrutinizing data, for driving, for example, predictions, insights, or conclusions from data and this is what statistical analysis can do, for example;

Compiling and manifesting data in the form of graphs or charts to show key findings,
Exploring significant elements/ measurements from data, like mean, variance, skewness, etc,
Testing a hypothesis from multiple experiments,
Anticipating coming foresight on the basis of past data behaviour, and many more.

And hence, a business can take advantages of statistical analysis in various ways, for example, to determine the down performance of sales, to uncover trends from customer data, conducting financial audits, etc.

Also Read | Bayesian Statistics

We have seen, preferably, two main types “descriptive and inferential statistical analysis” is to choose while applying statistical analysis to a business problem, however, other types of statistical analysis will become a priority while addressing some other business needs, organizations are looking for, depending on the complete intent or queries.

Latest Comments

Lerynne

Mar 17, 2023

I’m so excited to get my husband back after Dr Ayoola help me out my husband broke up with me and told me is over between us I cry all out nothing was working i decided to seek for help by reading all the books about bring back your ex back nothing happened then I go online to look for solutions to get my husband back myself I saw so many testimonies online about Dr Ayoola on how he has helped so many people to restore their broken marriage and relationships and also saw some people testifying about how this same man help them to win lottery I was interested and I contact him to help me got my husband back. today I’m happy to tell the whole world that my husband is back to me and we are living happily together all thanks to you Dr Ayoola for work well done contact him if you are interested in getting your lover back or you want to win lottery contact DR. Ayoola via email drayoolasolutionhome@gmail.com or https://www.facebook.com/Dr-Ayoola-105640401516053/ text or call and WhatsApp +14809032128

Vivian Marcus

Mar 17, 2023

Hello my name is Vivian Marcus from the United State, i'm so exciting writing this article to let people seek for help in any Break up Marriage and Relationship, Dr Kachi brought my Ex Boyfriend back to me, Thank you Sir Kachi for helped so many Relationship situation like mine to be restored, i was in pain until the day my aunt introduce me to Dr Kachi that she got her husband back with powerful love spell with help of Dr Kachi So i sent him an email telling him about my problem how my Boyfriend left me and cheating on me because of her boss lady at work i cry all day and night, but Dr Kachi told me my Boyfriend shall return back to me within 24hrs and to me everything he asked me to do the next day it was all like a dream when he text me and said please forgive me and accept me back exactly what i wanted, i am so happy now as we are back together again. because I never thought my Ex Boyfriend would be back to me so quickly with your spell. You are the best and the world greatest Dr Kachi. if you're having broke up Ex Lover or your husband left you and moved to another woman, You do want to get Pregnant do not feel sad anymore contact: drkachispellcast@gmail.com his Text Number Call: +1 (209) 893-8075 You can reach him Website: https://drkachispellcast0.wixsite.com/my-site

wernerhermann85

Mar 19, 2023

My heartfelt gratitude goes to PINNACLE CREDIT SPECIALIST. I went through divorce recently and let my wife and kids stay in our marital home for a year before we sold it. A guy named Hinds spoke well about a good credit expert that helped him remove medical bills and raised his score to 801 in less than 6 days. I emailed him on PINNACLECREDITSPECIALIST@GMAIL.COM and he responded ASAP asking me to text him on his personal number +1 (323) 406 1225 for further discussion. Well I did and eventually got started with the project with him. I was amazed after a few days he pulled through for me and removed all my late payments and derogatory items raising my score to 808. I got the mortgage and all thanks to him and his team for helping me. Contact him with the above emails and phone number for your credit repair.

cindybyrd547

Mar 19, 2023

Get your ex Love back with the help of a real spell caster who saved my marriage. I'm Josie Wilson from USA. I was at the verge of losing my marriage when Dr.Excellent stepped in and rescued me. My husband had filed for divorce after an unending dispute and emotional abuses we both suffered due to misunderstandings. He left the house and refused to come back. I sought for Dr.Excellent knowing I don’t wish to suffer another penury due to divorce cases and losing my man. I complied with his work procedures which was very easy and he worked for me. The love and connection between me and my partner was restored and he came back and got the divorce case canceled. It’s all for a fact that Dr.Excellent is honest and transparent in helping people and you too reading this can get the solution you seek in restoring joy and happiness in your marriage or relationship. contact Dr.Excellent for help now..Here his contact. WhatsApp: +2348084273514 ,Email: Excellentspellcaster@gmail.com Website:https://drexcellentspellcaster.godaddysites.com

Clara James

Mar 19, 2023

REAL LOVE SPELL CASTER PRIEST WISDOM THAT HELP ME SAVE MY RELATIONSHIP.TEXT OR ADD HIM UP ON WHATSAPP: +2348124644470 My name is CLARA JAMES .I want to give thanks to PRIEST WISDOM for bringing back my ex husband.No one could have ever made me believe that the letter I’m about to write would actually one day be written. I was the world’s biggest skeptic. I never believed in magic spells or anything like this, but I was told by a reliable source (a very close co-worker) that Trust is a very dedicated, gifted, and talented person,It was one of the best things I have ever done. My love life was in shambles; I had been through two divorces and was on the brink of a third. I just couldn't face another divorce, and I wanted to try harder to make our relationship work, but my husband didn’t seem to care. and he broke up with me again . I was confused and did not know what to do again, rather they got in contact with PRIEST WISDOM.He did a love spell that made my husband come back to me. We are now very much happy with ourselves. PRIEST WISDOM makes him realize how much we love and need each other .This man is for REAL and for good . He can also help you to fix your broken relationship. I had my husband back! It was like a miracle! He suddenly wanted to go to marriage counseling, and we’re doing very, very well , in our love life . contact email Supernaturalspell@yahoo.com or text or add him up on whatsApp at: +2348124644470 his web page https://supernaturalspell21.blogspot.com/ or go to his page https://web.facebook.com/PRIESTWISDOM11

Clara James

Mar 19, 2023

cindybyrd547

Mar 20, 2023

elenabranko42

Mar 20, 2023

DR ISIKOLO IS A LIFE SAVER AND I CAN ASSURE YOU ABOUT THAT. read more about him via website (https://isikolotemple.com) My name is Arlene Brown and I am here to join the numerous people out here to thank Dr Isikolo for his help and kind gestures towards me. I had a horrible experience going through heartbreak with my man. He left me and I was devastated and couldn't find any sought of help to get him back. At some point I was depressed until I ran into pages where people testified about how Dr Isikolo helped them. I contacted him and he never hesitated to help me as well. Not only did I get my man back after 48 hours, the love and happiness has also been restored better than ever. Dr Isikolo is an amazing personality and I can't thank him enough for his selfless services towards humanity. contact him now via email: isikolosolutionhome@gmail.com or text him via WhatsApp: +234-8133261196.

Juliana Davis

Mar 20, 2023

i want to share to the whole world how Dr Kachi the Great of all the Spell Caster, that helped me reunite my marriage back, my Ex Husband broke up with me 3months ago, I have been trying to get him back ever since then, i was worried and so confused because i love him so much. I was really going too much depressed, he left me with my kids and just ignored me constantly. I have begged him for forgiveness through text messages for him to come back home and the kids crying and miss their dad but he wont reply, I wanted him back desperately. we were in a very good couple and yet he just ignores me and get on with his life just like that, so i was looking for help after reading a post of Dr Kachi on the internet when i saw a lady name SHARRON testified that Dr Kachi cast a Pure love spell to stop divorce. and i also met with other, it was about how he brought back her Ex lover in less than 24 hours at the end of her testimony she dropped his email, I contacted Dr Kachi via email and explained my problem to Dr Kachi and he told me what went wrong with my husband and how it happen, that he will restored my marriage back, and to my greatest surprise my Ex husband came back to me, and he apologized for his mistake, and for the pain he caused me and my children. Then from that day our marriage is now stronger than how it was before, Dr Kachi you're a real spell caster, you can also get your Ex back and live with him happily: Contact Email drkachispellcast@gmail.com his Text Number and Call: +1 (209) 893-8075 OR Contact his Website: https://drkachispellcast0.wixsite.com/my-site

baileybaker660

Mar 23, 2023

Hi all I’m Bailey. I had a lot of debt before now. Credit card debt, collectors have been blowing up my phone nonstop. I’m so stressed out that my depression and anxiety multiplied tenfold. I’m just completely overwhelmed ever since I came in contact with PINNACLE CREDIT SPECIALIST private company who cleared my debts, removed all negative items from my credit report including hard inquiries and increased my credit score to 811 excellent score in less than 6 days. I must confess PINNACLE CREDIT SPECIALIST are the best. I know so many other persons are in this situation, you can contact him via: PINNACLECREDITSPECIALIST@GMAIL.COM or Text: + (323) 406 1225 and please don’t forget to mention my name to them. THANKS

7 Types of Statistical Analysis: Definition and Explanation

The Key types of Statistical Analysis are

1. Descriptive Statistical Analysis

2. Inferential Statistical Analysis

3. Predictive Analysis

4. Prescriptive Analysis

5. Exploratory Data Analysis (EDA)

6. Causal Analysis

7. Mechanistic Analysis

Conclusion

Share Blog :

Trending blogs

Latest Comments

Lerynne

Vivian Marcus

wernerhermann85

cindybyrd547

Clara James

Clara James

cindybyrd547

elenabranko42

Juliana Davis

baileybaker660