Multivariate Data Analysis

An Introduction

Dr. J D Chandrapal
MBA – marketing , PGDHRM, P HD, CII (Award) – London
Development Officer - LIC of India – Ahmedabad - 9825070933
Decision Making a Primary Function
Primary function of a Manager
to make quick and right
decision (Rational or sound)

Your decisions can solve or

create problems.

Hard but possible to achieve

Managers has to avoid some

blunders that may lead a
decision to error.

Every decision requires

unique needs for information
Factors that Influence Initial Decisions

Relevance

Cost Benefit
Analysis

Time

Availability of Type & Nature

scarce of Information
Resources Sought.
 Approaches for Decision Making
• Decision making require some relevant-accurate knowledge about
problem that anticipate outcomes and logical consequences

Personal experience
and common sense

Experts and authorities

Popular and media

messages

Ideological beliefs
and values

Research

• Commonly used alternatives to acquire Information (knowledge)

 Five Errors in Everyday Decisions

Overgeneralization 1

2 Selective observation

Premature closure 3

4 Halo effect

False consensus 5
 Five Errors in Everyday Decisions

Overgeneralization Selective observation

Premature closure Halo effect False consensus

 Research Reduces Errors in Decisions

Overgeneralization Premature closure False Consensus

Fr
Sy ee
ste fro
ma m
tic Bi
I nq as es
ui r
y ti on n c
t i on ra i de
i za de E v
eral n si al
n o ri c
Ge l C pi
efu Em
ar
C

Selective observation Halo effect

 Research Supports Decision Making

Research
Research supports
supports decision
decision making
making through
through collecting,
collecting, analysing
analysing and
and
interpreting
interpreting information
information to
to identify
identify and
and solve
solve business
business problems.
problems.

• Thus the business research is the specific management function

relied upon to provide information for business decisions.

• Well planned and well-executed research can provide accurate &

relevant information needed to help organization to make its business
decision.

• Use of information & data is a function of the direct & indirect effects
of environmental, informational, organizational, and individual factors

• Successful Manager always try to seek information and identify newer

ways to create, communicate and deliver superior value.
 Framework for Research

Beliefs &
Philosophy
Assumptions

Ontological
Assumption Positivism

Epistemological Realism
Assumption
Interpretivism
Axiological
Assumption Design & Pragmatism
Methods

Qualitative, Quantitative and Mixed

Questions, Data collection, Data Analysis, Interpretation, Validation
Fit with the ‘bigger picture’ of the world

Methods
and
Techniques
Which precise procedure to use?
Methodolo
Which data can we collect?
gy
How can we go about acquiring that knowledge?
Epistemolo
gy
What & how can we know about it?

Logical discourse of existence. What’s out there to know? Deals

Ontolog
y with the nature of reality. It is the Science or study of being
 Research Research
Ontology Axiology
approach strategy

Positivism Deductive Objective Value-free Quantitative

Interpretiv
Inductive Subjective Biased Qualitative
ism

Qualitative
Deductive/ Objective or Value-
Pragmatism and/or
Inductive subjective free/biased
quantitative
Five Errors in Everyday Decisions

n Se
atio lec
aliz ti v
eo
er
bs
g en er
er va
v ti o
O n

Pre
Fal

m
se

ature
con
sen

cl o s
su

ure
s

Halo effect