Statistics Is: Understanding the Definition, Functions, Methodology and Application Examples

Data is one component that can be found anywhere, data is usually used to make a decision and contains validated facts. One way to get data is to use statistics

To find out more about the meaning of statistics and how to obtain data, the following is an explanation below.

Definition of Statistics

Statistics is a set of numbers that have been compiled or have not been arranged in a list or graph of numbers. Statistics is also defined as a collection of ways and rules for collecting, processing, analyzing and interpreting data consisting of numbers.

Numbers in statistics are explained as a collection of numbers that explain the nature of the data or the results of observations that have been made. According to J. Supranto, statistics in a broad sense is the science that studies the collection, presentation, analysis of data and how to make conclusions through the results of research as a whole.

In essence, statistics is a science that will study data in the form of numbers to be collected, processed, analyzed, interpreted and provide conclusions.

Statistical Function

Statistics requires an arrangement of numbers to be processed and become data, therefore there are various functions of statistics. Here are some statistical functions:

• Databank

Statistics can function as a data bank, the purpose of the data bank here is as a place where information is collected and can be used if needed. Data obtained through statistics can be used as information to provide optimal research results and increase efficiency.

• Quality Control

quality control is one of the statistical functions, because with statistical data someone will see the quality related to a thing. Through statistical data a person can ensure that the preparation and design of something that is being done can meet the applicable terms and conditions.

• Analysis tools

Another function of statistics is as analysis tools. Because through statistics a person, group, organization or even a company will be helped to carry out an analysis of a particular topic. Statistical data processing can be valid evidence and facts that can be considered in an analysis process.

• Decision makers

Statistics functions as decision-making, because through the results of research on statistical data someone will consider what to do next.

Statistical methodology

To be able to process numbers into data, a certain way or method is needed as a solution to the problem, so that the set of numbers becomes data. The following are the stages of the statistical method:

1. Identification of problems

Problem identification is the first stage used in statistics. At this stage someone will try to understand and define what problem is going on clearly. This problem definition is used to help someone regarding what one wants to know and what one wants to measure and how.

2. Data collection

Data collection is a statistical method that is used to obtain numbers that will later be processed and analyzed. This data collection is divided into two, namely, internal data and external data. 

Internal data is data related to the problem directly, while external data is data that aims to support statements or research results of the main data.

3. Data classification

The next statistical method is data classification, at this stage the previously obtained data will be grouped based on their purpose and identification. This identification is usually determined based on consideration of the level of similarity or similarity of each data.

4. Data presentation

The next statistical method is data presentation, this stage will discuss data that has been successfully classified and will be displayed in graphical or tabular form. This is to compile the data that has been obtained so that it will be easier to read and understand.

5. Data analysis

Data analysis is the stage of the statistical method used to interpret or define the results of the data to be drawn as a conclusion.

Examples of statistical applications

To be able to get numerical data is needed tools or a tool that can be used as a data retrieval tool. The following are examples of statistical applications that you can use:

• SPSS (Statistical Package for the Social Sciences)

SPSS is one of the most frequently used statistical applications, especially in quantitative research in universities. SPSS is a statistical application program that is used because it has quite high statistical analysis capabilities through various descriptive menus that are easy to understand. 

The use of the SPSS application is usually often used to find out data related to quality improvement, marketing research, research on the influence of x and y variables and so on.

• SAS (Statistical Analysis System)

SAS is an application that can be used to analyze statistical data. This software application works by providing data through compiling tables, importing data, calculating averages to depicting graphs of data. SAS is more often used to meet the needs of related statistical data, business management, IT or data management.

• Reviews

Reviews is a statistical application that can be used, this software is usually used for academic research purposes or processing company-owned financial data. Not only can it be used as a statistical analysis tool, but eviews can also be used in econometrics for time-series data.

Through the understanding and explanation that has been presented above, it can be seen that statistics are used to obtain data from a collection of numbers and used as a basis for decision making. We hope that this information will help you understand the statistics and tools that can be used to assist your analysis.