From the course: Tips to Boost Your Analytical Thinking
Unlock this course with a free trial
Join today to access over 24,200 courses taught by industry experts.
Move beyond absolute numbers
From the course: Tips to Boost Your Analytical Thinking
Move beyond absolute numbers
- When working with numbers, there are two different ways to interpret values. Absolute versus relative. Absolute numbers are raw, independent values without comparison to anything else, like a distance of 150 kilometers or an account balance of $5,000. While relative numbers show how values relate to something else, like a new route to work being 50 kilometers less than the previous, or an account balance increasing by 20% over the last month. Absolute numbers alone are useless without context or comparison. So upgrade your analytical thinking by moving beyond their limitations. Sticking to relative numbers has many benefits, like contextual understanding. Relative numbers give clues into trends over time. Knowing that sales increased by 100 units last week doesn't tell me much. 100 additional units is very different for a company that sells 1,000 versus 10,000 units a week. A 10% increase in sales is more informative, because it shows a growth rate relative to previous performance…
Contents
-
-
Flex analytical thinking to make better decisions1m 47s
-
(Locked)
Tap into higher-order thinking2m 16s
-
(Locked)
Uncover the right problem2m 2s
-
(Locked)
Add data to your thinking process1m 41s
-
(Locked)
Focus on the right data for the problem at hand1m 46s
-
(Locked)
Check the size of your samples2m 24s
-
(Locked)
Move beyond absolute numbers2m 57s
-
(Locked)
Identify the risk of averages3m 11s
-
(Locked)
Remember correlation doesn't imply causation2m 45s
-
(Locked)
Keep it simple to tap into an analytical mindset2m 38s
-
(Locked)
Make large numbers relatable with social math2m 33s
-
(Locked)
Teach others to boost your analytical thinking1m 58s
-
(Locked)
Sharpen your analytical thinking with brain games1m 28s
-