Statistics and spreadsheets are not exactly the sexiest subjects in the world. In fact, far from it. My eyes glaze over when I have to do anything like admin on spreadsheets! But unfortunately, statistics are what many companies rely on to make decisions and the truth is that they are a completely necessary evil. In fact, ignoring the boring stuff is something that business both large and small should do at their own peril. Data has its own place in business. It is not the be all and end all of every decision made, but can be the basis behind good decisions.
Expanding Your Business
This can be an incredibly stressful time in the life of a business. It often means stretching resources very close to the limit (if not over the limit) and risking a lot of what you have worked hard to establish in order to grow further. This is when running ‘the numbers’ is one of the most important steps when preparing for expansion. What targets need to be hit to ensure a successful expansion? What processes need to be put in place so that the structure of the company remains intact? Expansion does not necessarily have to mean increasing headcount or moving into a bigger office. It could also mean pushing into other industries or areas of a market not previously explored. Making sure that adequate research has been completed and this data analysed to make sure that the numbers add up and that there is demand in whatever market you are entering. Companies can give you up to date market analytics remotely – which will save you having to ask people on the streets yourself!
Gambling
Statistics and data can help with gambling – although please bear in mind that in the end it is still gambling. You can still lose. But knowing what the chances are that your desired card will be dealt next will help you make a more educated decision. Or if the horse you want to bet on has raced over jumps in the last 3 months. Again, let me reiterate that although data can give you a more educated view of your chances, it will most definitely not guarantee a win. in fact, it probably won’t.
Trading
Many cities around the world owe much of their wealth to the world of finance. Currencies such as bitcoin and commodities are bought and sold electronically 24 hours a day across the globe. Nearly three quarters of this flow of money and goods is automated and run by computers. Scary stuff. Obviously, these computers need to make some form of informed decision on when to buy and when to sell. You guessed it – in comes statistics and data. Previous habits, rate of sale, global demand, these are all factors that these computers will be garnering from complicated data harvested around the world in a few milliseconds. Boring stuff, but incredibly important to the running of our financial world.
