Applied statistics is an increasingly important way for businesses to maximize efficiency. We live in a data-centric world, and most businesses have significantly more information than they even know what to do with. Mastering this flood of facts is a skill that is as complicated as it is lucrative.
An applied statistician can help you make the most of your information. When done right, applied stats can be used to boost sales and other revenue-centric metrics and improve day-to-day functions. In this article, we look at what applied statistics is and how it can help your business.
What are Applied Statistics?
In this case, the name is pretty descriptive. Applied statistics simply describes the art of processing information that a business can use actively.
The application of statistics involves linking facts with actions. For example, a doctor might look at lung cancer statistics in smokers and advise their patients to avoid tobacco products. This simple, straightforward application of statistics benefits the proprietor (doctor) and the customer (patient).
In traditional commerce, stats can be applied to most decisions.
Applied Statistics in Marketing
While marketing appears to be the art of telling a good story, this is only true to the extent that said story generates sales or revenue. Applied statistics can give businesses a very granular look at how their advertising efforts are going.
Let’s say you are running an ad campaign on social media. Your stats tell you that your ads are gaining the most traction with middle-aged women who are logged on to social media between the hours of 7 PM and 9 PM.
A campaign that wishes to apply statistics towards the greater good of more sales can take this information and use it to tweak its strategy in a way that generates the most engagements. Not only should you make sure that your ads are most visible at 7 PM, but you should make sure that they hold a distinct appeal towards middle-aged women.
Financial Data Implementation
Statistics can also monitor past financial activity, and create projects that give businesses an accurate guess at how future decisions unfold. This statistical interpretation and application level is vital to making accurate, healthy budgets.
It can also be an essential element in making future decisions. For example, applied statistics may help businesses make projections on future product launches or other such activities.
Maximizing Production Efficiency
For businesses that make physical products, many ways applied statistics can have a large impact on operational efficiency.
On a very elementary level, businesses use stats to describe their losses and expenses. For example, what percent of products are damaged on the factory line?
Applied statistics can also be used to make specific processes more efficient. When it comes time to test a product, will you inspect all ten thousand of your latest items?
Probably not. Instead, applied statistics allow businesses to take a smaller size and test only these units, and the business can then use stats to apply its findings to the entire batch.
Employee Output
Applied statistics can also be used as a vehicle towards employee output. Statistics indicated that people were very productive working from home during the pandemic. Not only do they accomplish as much or more as they do in a traditional office, but often they are happier doing it.
Using this statistic, some companies may decide to implement more remote days or allow their employees to work from home if they wish.
The actual decisions themselves will be based on internal statistics. Some might find that their employees work better in the office or that their staff prefers face-to-face collaboration.
The actual decision itself is less important than the results it produces. The goal is to establish an environment that allows employees to be as productive as possible while maintaining a high level of workplace satisfaction.
Diagnostics
You have a product that has consistently produced dependable, predictable revenue. For the last several months, however, sales have been lagging. Could Applied statistics help answer that question?
An applied statistics professional may look at sales records, employee stats, marketing efforts and use this data to tell the story of why sales are different than they have been in the past. Using this information, the business can change its marketing techniques or create an incentive program for its sales staff.
Getting The Skills You Need
Interested in a career in applied statistics? Of course, you are. Now that you know you applied statistics, it’s natural to want to benefit from rewarding work and a high salary.
While there are many good ways to pursue this career path, one of the most convenient and effective is to consider getting a master’s in applied statistics online.
Online colleges are particularly beneficial to people who have already joined the workforce. In taking your classes online, you can easily manage your work responsibilities during the day while still doing a full course load at night.
Getting a master’s degree makes you better at your job and makes you more marketable. People with a master’s in applied statistics tend to command higher salaries than their counterparts who only have an undergraduate degree, and they are also more sought after. Who doesn’t want a statistician with more knowledge and experience?
If you are already working within the field of stats, talk to your employers about potential financing options. Many businesses provide their employees with grants for furthering their education. Otherwise, there are loans and other financing options available for people who want to get their master’s.
