Industry Spotlight: Hospitals

Hospitals are a major employer of statisticians and analytics professionals, both in support of clinical research like the retinopathy study described earlier, and to improve hospital operations (outcomes, cost management, etc.). Here are a few quick facts about the hospital industry: US hospital revenue totals…

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Matching Algorithms

Some applications of machine learning and artificial intelligence are recognizably impressive - predicting future hospital readmission of discharged patients, for example, or diagnosing retinopathy. Others - self-driving cars, for example - seem almost magical. The matching problem, though, is one where your first reaction might…

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Instructor Spotlight: Cliff Ragsdale

Cliff T. Ragsdale teaches several courses for the Institute in the area of operations research, based on his best selling text “Spreadsheet Modeling and Decision Analysis.”  One of Cliff’s special talents is making his subject, which can be quite challenging technically, widely accessible. His courses do…

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Industry Spotlight: Consulting

When a new technology arrives, consulting companies can quickly add staff and expertise to build institutional capacity centered around the technology in ways companies focused on delivering their own products and services cannot.  Large consulting companies like Booz Allen and McKinsey, as well as smaller…

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Industry Spotlight: Agriculture

Weeds are big business - the global herbicide market is over $35 billion annually.  Weeds are also big government (think “invasive species”). California’s listing of weeds is called Encycloweedia, and the state publishes a quarterly newsletter called Noxious Times. Colorado publishes a similar periodical, Invader.…

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Industry Spotlight: Precision Agriculture

The application of analytics to agriculture has given rise to what is called “precision agriculture,” a science that seeks to take advantage of and use detailed information that is local in time and place.  Tractors and farm equipment are being equipped with sensors and software…

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Job Spotlight: Risk Analyst

Many jobs are centered around risk management.  If you’re looking through job postings, of course, you’ll see lots of jobs whose purpose is to make sure that nothing bad happens - the equivalent of locking the doors and closing the windows.  More interesting from a…

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Course Spotlight: Survival Analysis

Convinced that he, like his father, would die in his 40’s, Winston Churchill lived his early life in a frenetic hurry.  He had participated in four wars on three continents by his mid-20’s, served in multiple ministerial positions by his 30’s, and published 12 books…

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"When I started teaching mandatory biostatistics classes in 1970 at UNC, I realized early on that a lot of kids didn't want to take a course they perceived as boring, so I kept things relaxed and fun."
Instructor Spotlight: David Kleinbaum

Industry Spotlight: Military Operations

Abraham Wald, a persecuted Jewish mathematician who fled Austria just before World War II, led an analysis of allied bombers returning from missions.  Hitherto, the Air Force had focused on reinforcing areas that showed the most damage on return. Wald convinced them instead to focus…

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Job Spotlight: Data Scientist

Data science is one of a host of similar terms.  “Artificial intelligence” has been around since the 1960’s and “data mining” for at least a couple of decades.  “Machine learning” came out of the computer science community, and “analytics,” “data analytics,” and “predictive analytics” came…

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Likert scale assessment surveys

Do you work with multiple choice tests, or Likert scale assessment surveys?  Rasch methods help you construct linear measures from these forms of scored observations and analyze the results from such surveys and tests.  "Practical Rasch Measurement - Core Topics" In this course, you will learn practical…

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Historical Spotlight: Jacob Wolfowitz

World War II was a crucible of technological innovation, including advances in statistics. Jacob Wolfowitz, born a century ago (1920), looked at the problem of noisy radio transmissions. Coded radio transmissions were critical elements of military command and control, and they were plagued by the…

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Certificate Graduate: Cristobal Bazan, United Nations Agency

Certificate Student Profile of Cristobal Bazan My courses help me look at more complex problems using different approaches to show more interesting aspects of conditions, beyond just tables and charts, more than just sampling or descriptive statistics. Cristobal Bazan United Nations Agency How do you…

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Problem of the Week: The Value of Bedrooms

Question: You work for an internet real-estate company, building statistical models to predict home price on the basis of square footage, number of bedrooms, number of bathrooms, property type (single family home, townhouse, multiplex), and age. Surprisingly, you find the coefficient for bedrooms is negative,…

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Statistically Significant – But Not True

If you are looking for the Feature Engineering blog post, you can find it here: https://www.statistics.com/blog/1/1558369154-feature-engineering-data-prep-still-needed/ In 2015, at an Alzheimer's conference, Biogen researchers presented dramatic brain scans showing that the antibody aducanumab effectively cleared out plaque in the brain, plaque that was associated with…

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Book Review: Everyone Lies: Big Data, New Data, and What the Internet Can Tell Us About Who We REALLY Are

This week's book review is of Everybody Lies: Big Data, New Data, and What the Internet Can Tell Us About Who We Really Are, Seth Stephens-Davidowitz's fascinating book about how social media data reveals all sorts of things about us that we barely know ourselves. …

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Historical Spotlight: Ronald A. Fisher

In 1919, Ronald A. Fisher was appointed as chief statistician at the agricultural research station in Rothamsted, a post created for him. His work there resulted, in 1925, in the publication of his classic Statistical Methods for Research Workers. An important message of his book…

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Instructor Spotlight: Prof. David Unwin

Prof. David Unwin has guided, developed and taught the spatial analysis curriculum at Statistics.com since 2005. David lives in central England, about an hour north of the storied Rothamsted agricultural research center. Until his retirement in 2002, he was Professor of Geography at Birkbeck College,…

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Statistics in Agriculture: Encycloweedia

Weeds are big business - the global herbicide market is over $35 billion annually. Weeds are also big government (think "invasive species"). California's listing of weeds is called Encycloweedia, and the state publishes a quarterly newsletter called Noxious Times. Colorado publishes a similar periodical, Invader.…

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Problem of the Week: Missing Data

Question: You have a supervised learning task with 30 predictors, in which 5% of the observations are missing.  The missing data are randomly distributed across variables and records. If your strategy for coping with missing data is to drop records with missing data, what proportion…

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Student Spotlight: Barry Eggleston

Barry Eggleston is a health research statistician who has worked on both clinical trials and observational studies, and is currently with RTI in North Carolina. In his early career, his work was solely designing and analyzing clinical trials using typical biostatistics methods ranging from t-test…

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A Deep Dive into Deep Learning

On Wednesday, March 27, the 2018 Turing Award in computing was given to Yoshua Bengio, Geoffrey Hinton and Yann LeCun for their work on deep learning. Deep learning by complex neural networks lies behind the applications that are finally bringing artificial intelligence out of the…

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Industry Spotlight: Credit Scoring

In the U.S., credit scoring is dominated by three companies - Experian, TransUnion and Equifax, employing roughly 30,000 people. An important player in the scoring methodology is FICO, previously Fair Isaac Corporation, and the scores are typically called "FICO scores." Credit scoring is the oldest…

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Book Review: Weapons of Math Destruction

Cathy O'Neil's Weapons of Math Destruction, when it was first published in 2016, sounded an early alarm about the big data algorithms and their potential for social evil. The cover is adorned with a robotic death's head and the subtitle reads "How Big Data Increases…

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Historical Spotlight: Alan Turing

80 years ago, in 1939, Alan Turing began work on the code-breaking system that would eventually prove key in helping Britain survive the German submarine threat in the Atlantic. Last month, the Turing Award in computer science prize (sometimes referred to as the "Nobel Prize…

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Confusing Terms in Data Science – A Look at Synonyms, Homonyms and more

To a statistician, a sample is a collection of observations (cases). To a machine learner, it's a single observation. Modern data science has its origin in several different fields, which leads to potentially confusing homonyms and synonyms, like these: Homonyms (words with multiple meanings): Bias: To…

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Industry Spotlight: Package Delivery

Nothing better illustrates the encroachment of data science and analytics on the older "economy of tangible things" than the business of delivering packages. The use of analytics in package delivery is not new. Companies like UPS and Fedex are longtime users of operations research methods…

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Job Spotlight: Sports Statistician

The field of sports statistician is not exactly new; the American Statistical Association's section on Sports Statistics was formed in 1992. Three of Statistics.com's instructors have professional experience in sports statistics - Ben Baumer (SQL) served as statistician for the NY Mets, Stephanie Kovalchik (Meta…

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Industry Spotlight: Baseball – Opening Day & Statistics in Sports

The U.S. baseball season opens Thursday, March 28, and celebrates the 48th season of analytics in baseball, beginning with the founding of the Sabermetric Society in 1971 (the same year that Satchel Paige entered the Hall of Fame). Analytics has come a long way in…

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Darwin’s Legacy in Statistics

Charles Darwin, the most famous grandson of the Enlightenment thinker Erasmus Darwin, published his ground-breaking theory of evolution, “The Origin of Species,”160 years ago. Another grandson of Erasmus, Francis Galton, became one of the founding fathers of statistics (correlation, the “wisdom of the crowd,” regression…

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Industry Spotlight: Customer Segmentation

Are you "young and rustic?" Or perhaps a "toolbelt traditionalist?" These are nicknames given to customer segments identified by market research firm Claritas, with its statistical clustering tool. Long before the advent of individualized product recommendations, business sought to segment customers into distinct groups on…

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Industry Spotlight: CROs

CRO's, or contract research organizations, are a $40 billion industry, growing at close to 12% per year. They provide contract services to the pharmaceutical industry, including statistical design and analysis, laboratory services, administration of clinical trials, and monitoring of drugs once they are on the…

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Handling the Noise – Boost It or Ignore It?

In most statistical modeling or machine learning prediction tasks, there will be cases that can be easily predicted based on their predictor values (signal), as well as cases where predictions are unclear (noise). Two statistical learning methods, boosting and ProfWeight, use those difficult cases in…

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Industry Spotlight: Consulting

When a new technology arrives, consulting companies can quickly add staff and expertise to build institutional capacity centered around the technology in ways companies focused on delivering their own products and services cannot. Large consulting companies like Booz Allen and McKinsey, as well as smaller…

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Good to Great

In 1994, Jim Collins and Jerry Porras, former and current Stanford professors, published the best-seller Built to Last that described how "long-term sustained performance can be engineered into the DNA of an enterprise."  It sold over a million copies. Buoyed by that success, Collins and a…

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Instructor Spotlight: Cliff Ragsdale

Cliff T. Ragsdale teaches several courses for the Institute in the area of operations research, based on his best selling text "Spreadsheet Modeling and Decision Analysis." One of Cliff's special talents is making his subject, which can be quite challenging technically, widely accessible. His courses…

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Space Shuttle Explosion

In 1986, the U.S. space shuttle Challenger exploded several minutes after launch. A later investigation found that the cause of the disaster was O-ring failure, due to cold temperatures. The temperature at launch was 39 degrees, colder than any prior launch. The cold caused the…

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Alaskan Generosity

People in Alaska are extraordinarily generous - that's what a predictive model showed, when applied to a charitable organization's donor list. A closer examination revealed a flaw - while the original data was for all 50 states, the model's training data for Alaska included donors,…

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Why Analytics Projects Fail – 5 Reasons

With the news full of so many successes in the fields of analytics, machine learning and artificial intelligence, it is easy to lose sight of the high failure rate of analytics projects. McKinsey just came out with a report that only 8% of big companies…

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Historical Spotlight – ISOQOL

25 years ago the International Society of Quality of Life Research was founded with a mission to advance the science of quality of life and related patient-centered outcomes in health research, care and policy. While focusing on quality of life (QOL) in healthcare may seem…

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Football Analytics

Preparing for the Superbowl Your team is at midfield, you have the ball, it's 4th down with 2 yards to go. Should you go for it? (Apologies in advance to our many readers, especially those outside the U.S., who are not aficionados of American football,…

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Job Spotlight: Digital Marketer

A digital marketer handles a variety of tasks in online marketing - managing online advertising and search engine optimization (SEO), implementing tracking systems (e.g. to identify how a person came to a retailer), web development, preparing creatives, implementing tests, and, of course, analytics. There are…

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Things are Getting Better

In the visualization below, which line do you think represents the UN's forecast for the number of children in the world in the year 2100? Hans Rosling, in his book Factfulness, presents this chart and notes that in a sample of Norwegian teachers, only 9%…

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Artificial Lawyers

Can statistical and machine learning methods replace lawyers? A host of entrepreneurs think so, and do the folks who run www.artificiallawyer.com. Text mining and predictive model products are available now to predict case staffing requirements and perform automated document discovery, and natural language algorithms conduct…

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Entity Resolution and Identifying Bad Guys

Earlier, we described how Jen Golbeck (who teaches Network Analysis at Statistics.com) analyzed Facebook connections to identify fake accounts (the account holders friends all had the same number of friends, which is highly improbable statistically). Network analysis and studying connections lie at the heart of…

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Work and Heat

If you are working on New Year's Eve or New Year's Day, odds are it is from home, where you can (usually) control the temperature in the home. Which, from the standpoint of productivity, is a good thing. According to a study from Cornell, raising…

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The False Alarm Conundrum

False alarms are one of the most poorly understood problems in applied statistics and biostatistics. The fundamental problem is the wide application of a statistical or diagnostic test in search of something that is relatively rare. Consider the Apple Watch's new feature that detects atrial…

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Instructor Spotlight – David Kleinbaum

David Kleinbaum developed several courses for Statistics.com, including Survival Analysis, Epidemiologic Statistics, and Designing Valid Statistical Studies. David retired a little over a year ago from Emory University, where he was a popular and effective teacher with the ability to distill and explain difficult statistical…

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Book Review: Active-Epi

ActivEpi Web, by David Kleinbaum, is the text used in two Statistics.com courses (Epidemiology Statistics and Designing Valid Studies), but it is really a rich multimedia web-based presentation of epidemiological statistics, serving the role of a unique textbook format for an introductory course in the…

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Survival Analysis

Convinced that he, like his father, would die in his 40's, Winston Churchill lived his early life in a frenetic hurry. He had participated in four wars on three continents by his mid-20's, served in multiple ministerial positions by his 30's, and published 12 books…

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How Google Determines Which Ads you See

A classic machine learning task is to predict something's class, usually binary - pictures as dogs or cats, insurance claims as fraud or not, etc. Often the goal is not a final classification, but an estimate of the probability of belonging to a class (propensity),…

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Job Spotlight: Data Scientist

Data science is one of a host of similar terms. Artificial intelligence has been around since the 1960's and data mining for at least a couple of decades. Machine learning came out of the computer science community, and analytics, data analytics, and predictive analytics came…

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Deming’s Funnel Problem

W. Edwards Deming's funnel problem is one of statistics' greatest hits. Deming was a noted statistician who took the statistical process control methods of Shewhart and expanded them into a holistic approach to manufacturing quality. Initially, his ideas were cooly received in the US and…

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Industry Spotlight: the Auto Industry

The auto industry serves as a perfect exemplar of three key eras of statistics and data science in service of industry: Total Quality Management (TQM) First in Japan, and later in the U.S., the auto industry became an enthusiastic adherent to the Total Quality Management…

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Analytics Professionals – Must They Be Good Communicators?

Most job ads in the technical arena list communication among the sought-after skills; it consistently outranks many programming and analytical skills. Is it for real, or is it just thrown in there by the HR Department on general principle? The founder of a leading analytics…

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The Evolution of Clinical Trials

Boiling oil versus egg yolks One early clinical trial was accidental. In the 16th century, a common treatment for wounded soldiers was to pour boiling oil on their wounds. In 1537, the surgeon Ambroise Pare, attending French soldiers, ran out of oil one evening. He…

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GE Regresses to the Mean

Thirty years ago, GE became the brightest star in the firmament of statistical ideas in business when it adopted Six Sigma methods of quality improvement. Those methods had been introduced by Motorola, but Jack Welch's embrace of the same methods at GE, a diverse manufacturing…

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Examples of Bad Forecasting

In a couple of days, theWall Street Journalwill come out with its November survey of economists' forecasts. It's a particularly sensitive time, with elections in a few days and President Trump attacking the Federal Reserve for for raising interest rates. It's a good time to…

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Historical Spotlight: Risk Simulation – Since 1946

Simulation - a Venerable History One of the most consequential and valuable analytical tools in business is simulation, which helps us make decisions in the face of uncertainty, such as these:   An airline knows on average, what proportion of ticketed passengers show up for a…

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100 years of variance

It is 100 years since R A Fischer introduced the concept of "variance" (in his 1918 paper "The Correlation Between Relatives on the Supposition of Mendelian Inheritance"). There is much that statistics has given us in the century that followed. Randomized clinical trials, and the means…

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Early Data Scientists

Casting back long before the advent of Deep Learning for the "founding fathers" of data science, at first glance you would rule out antecedents who long predate the computer and data revolutions of the last quarter century. But some consider John Tukey (right), the Princeton statistician…

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Python for Analytics

Python started out as a general purpose language when it was created in 1991 by Guido van Rossum. It was embraced early on by Google founders Sergei Brin and Larry Page ("Python where we can, C++ where we must" was reputedly their mantra). In 2006,…

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Course Spotlight: Deep Learning

Deep learning is essentially "neural networks on steroids" and it lies at the core of the most intriguing and powerful applications of artificial intelligence. Facial recognition (which you encounter daily in Facebook and other social media) harnesses many levels of data science tools, including algorithms…

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Course Spotlight: Structural Equation Modelling (SEM)

SEM stands for "structural equation modeling," and we are fortunate to have Prof. Randall Schumacker teaching this subject at Statistics.com. Randy created the Structural Equation Modeling (SEM) journal in 1994 and the Structural Equation Modeling Special Interest Group (SIG) at the American Educational Research Association…

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Benford’s Law Applies to Online Social Networks

Fake social media accounts and Russian meddling in US elections have been in the news lately, with Mark Zuckerberg (Facebook founder) testifying this week before the US Congress. Dr. Jen Golbeck, who teaches Network Analysis at Statistics.com, published an ingenious way to determine whether a…

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The Real Facebook Controversy

Cambridge Analytica's wholesale scraping of Facebook user data is big news now, and people are shocked that personal data is being shared and traded on a massive scale on the internet. But the real issue with social media is not harming to individual users whose…

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Masters Programs versus an Online Certificate in Data Science from Statistics.com

We just attended the analytics conference of INFORMS' (The Institute for Operations Research and the Management Sciences) this week in Baltimore, and they held a special meeting for directors of academic analytics programs to better align what universities are producing with what industry is seeking.…

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Course Spotlight: Likert scale assessment surveys

Do you work with multiple choice tests, or Likert scale assessment surveys? Rasch methods help you construct linear measures from these forms of scored observations and analyze the results from such surveys and tests. "Practical Rasch Measurement - Core Topics" In this course, you will…

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Course Spotlight: Customer Analytics in R

"The customer is always right" was the motto Selfridge's department store coined in 1909. "We'll tell the customer what they want" was Madison Avenue's mantra starting in the 1950's. Now data scientists like Karolis Urbonas help companies like Amazon (where he works in Europe as…

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Course Spotlight: Spatial Statistics Using R

Have you ever needed to analyze data with a spatial component? Geographic clusters of disease, crimes, animals, plants, events?Or describing the spatial variation of something, and perhaps correlating it with some other predictor? Assessing whether the geographic distribution of something departs from randomness? Location data…

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“Money and Brains” and “Furs and Station Wagons”

"Money and Brains" and "Furs and Station Wagons" were evocative customer shorthands that the marketing company Claritas came up with over a half century ago. These names, which facilitated the work of marketers and sales people, were shorthand descriptions of segments of customers identified through…

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Course Spotlight: Text Mining

The term text mining is sometimes used in two different meanings in computational statistics: Using predictive modeling to label many documents (e.g. legal docs might be "relevant" or "not relevant") - this is what we call text mining. Using grammar and syntax to parse the…

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Historical Spotlight: Eugenics – journey to the dark side at the dawn of statistics

April 27 marks the 80th anniversary of the death of Karl Pearson, who contributed to statistics the correlation coefficient, principal components, the (increasingly-maligned) p-value, and much more. Pearson was one of a trio of founding fathers of modern statistics, the others being Francis Galton and…

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Be Smarter Than Your Devices: Learn About Big Data

When Apple CEO Tim Cook finally unveiled his company's new Apple Watch in a widely-publicizedrolloutearlier this month, most of the press coverage centered on its cost ($349 to start) and whether it would be as popular among consumers as the iPod or iMac. Nitin Indurkhyasaw…

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Course Spotlight: The Text Analytics Sequence

Text analytics or text mining is the natural extension of predictive analytics, and Statistics.com's text analytics program starts Feb. 6. Text analytics is now ubiquitous and yields insight in: Marketing: Voice of the customer, social media analysis, churn analysis, market research, survey analysis Business: Competitive…

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Course Spotlight: Constrained Optimization

Say you operate a tank farm (to store and sell fuel). How much of each fuel grade should you buy? You have specified flow and storage capacities, constraints on what types of fuels can be stored in which tanks, prior contractual obligations about minimum monthly…

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College Credit Recommendation

Statistics.com Receives College Recommendation from the American Council on Education (ACE) College Credit Recommendation for Online Data Science Courses from The Institute for Statistics Education at Statistics.com LLC The American Council on Education's College Credit Recommendation Service (ACE CREDIT) has evaluated and recommended college credit…

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