Power of the test = 1- β = P [Reject H0 / H0 is false]. Here, we take an example of Testing of Mean: This step is used to define the problem after considering the business situation and deciding the relevant hypotheses H0 and H1, after mentioning the hypotheses in the business language. There are two types of situations (H0 is true or false) which are complementary to each other and two types of complementary decisions (Reject H0 or Failing to Reject H0). The Power of the test; We look at a sample homework problem and the R commands necessary to explore the problem. (The critical regions are shown as shaded portions in the figure). The new scheme has NOT significantly raised outputs. Mr. Mehta listening to this case understood the situation and realized the reason behind the partial response given by the employees towards Franklin and Harsha. So, H0 got rejected and it can be said that the claim of average first quarterly sales being 75 (thousand) does not hold. The scheme has now been in operation for four months. Table 1 shows the outputs of the salespeople in Table 1. inferring about the population on the basis of a sample. This Human Resource Management HRM case study on Employee Relations with solution explains the problems faced by employees with high involvement. This concept is known as Statistical Inference. Here, Levene’s Test for Equality of Variances has to be applied for this purpose with the hypotheses: H 0: σ² 1 = σ² 2 and H 1: σ² 1 ≠ σ² 2.The p-value (Sig) = 0.460 >0.05, so we can’t reject (so retained) H 0.Hence, variances can be assumed to be equal. There is an alternative approach for hypothesis testing, this approach is very much used in all the software packages. Higher the power of the test, better it is considered and we look for the Most Powerful Test since power of test can be taken as the probability that the test will detect a deviation from H0 given that the deviation exists. Is there evidence that the populations mean time spent per day accessing the Internet via a mobile device is different from 144 minutes? t = {(x̄1 – x̄2) – (µ1– µ2)}/{√ (s21/n1 +s22/n2)}. So, the corresponding Test Statistics will be: Other things remaining the same as per the One Sample Tests (as explained earlier). 1-Description of Industry Analysis:-The furniture industry was highly competitive. A case study is a special type of thought leadership content that tells a story. For this purpose, F test can be employed as: Two samples of sizes n1 and n2 have been drawn from two populations respectively. If this figure is an alternative hypothesis, what is:(a) The probability of a type 1 error? value/ p-value. The client wanted to drive individual performance cohesively towards shared business objectives. Then the estimate will be 40000. R R Case Harvard Case Study Solution & Online Case Analysis. To test the validity of this statement, you select a sample of 30 friends and family. But the pattern for solving these case studies varies from university to university. Here, the claim is that urban outlets are giving lower sales as compared to rural outlets. WordPress website developed as part of a, Here are just a few examples of how Solutions for HR has helped. LinkedIn. A sample of size ‘n’ has been drawn for a normal population N (µ, σ), but population standard deviation σ is unknown, so in this case σ will be estimated by sample standard deviation(s). R & R Case Study Solution Rationale and Discussion on R&R Bob Rises is a graduate of Harvard University in 1956, he worked for a company that made stationary products. Just like any other distribution, sampling distribution may partially be described by its mean and standard deviation. Accordingly, the value of t statistic = -4.965 and the p-value (two tailed) = 0.000, so the p-value (one tailed) = 0.000/2 = 0.000 <0.05. A hotel manager looks to enhance the initial impressions that hotel guests have when they check-in. It is so known because it assumes no relationship or no difference from the hypothesized value of population parameter(s) or to be nullified. The agreement with the sales force is that if the scheme does not at least break even for the company, it will be abandoned after six months. The premise of Data Analytics is based on the philosophy of the “Data-Driven Decision Making” that univocally states that decision-making based on data has less probability of error than those based on subjective judgement and gut-feeling. A random sample of 20 deliveries on a particular day was selected each from Wing A and Wing B of the hotel. frequency distribution of sample statistic. Hence, variances can be assumed to be equal. Here, we are not interested in individual population parameters (means) but in the difference of population means (µ1– µ2). To test the effectiveness of the scheme, Titan has taken a random sample of 30 salespeople measured their output in the penultimate month before changeover and then measured it in the fourth month after the changeover (they have deliberately chosen months not too close to the changeover). Lamson Corp. (R) Case Solution, Shows a simulation game that participants can make up to 12 scheduling decisions under conditions of demand uncertainty. It has settled down after fluctuations in the first two months due to the changeover. μd = μ2 – μ1 H0: μd ≤ 5000 HA: μd > 5000, Let μ2 = Average sums assured by salesperson AFTER changeover. μ1 = Average sums assured by salesperson BEFORE changeover. So, there must be some dividing value (s) that differentiates between the two decisions: rejection (critical region) and retention (acceptance region), this boundary value is known as the critical value. You can unsubscribe at any time. If sample statistics is used to estimate the population parameter, then in that situation that is known as the Estimator; {like sample mean (x̄) to estimate population mean µ, sample proportion (p) to estimate population proportion (P) etc.}. A sample of size ‘n’ has been drawn for a normal population N (µ, σ). The standard deviation of sampling distribution of a sample statistic is better known as the Standard Error of the sample statistic. Indications are that the sales force is selling more policies, but sales always vary in an unpredictable pattern from month to month and it is not clear that the scheme has made a significant difference. C.R. So, the corresponding statistic is = (x̄1 – x̄2). having heavier tails. R&R Case Solution, Describe alternative mechanisms to enter the business. characteristics of the sample. (σ) by sample s.d. It is a measure of the extent of variation among different values of statistics from different possible samples. R & R Case Study Solution . It is assumed that you are familiar will all of the commands discussed throughout this tutorial. It's actually hard to resist the temptation to speed things up when it has to do with R R Case Case Solution. They had received concerns from employees relating to inappropriate behaviour. Case studies are often a good choice in a thesis or dissertation. Type I Error is also known as False Positive and Type II Error is also known as False Negative in the language of Business Analytics. Solutions for HR 10 St Mary’s Place Bury Lancashire BL9 0DZ. H0: µ = µ0 or µ ≤ µ0 or µ ≥ µ0 (here, the first one is Simple Hypothesis, rest two variants are composite hypotheses), (Here, all three variants are Composite Hypothesis). Facebook. – By Dr. Masood H. Siddiqui, Professor & Dean (Research) at Jaipuria Institute of Management, Lucknow. WEEKEND CHALLENGE #9 and IIFT CASE STUDY CHALLENGE. σ is not known (it is a very common situation in all the real life business situations), we estimate population s.d. One part, providing the rejection of H0, known as Critical Region. So, the effectiveness (success) of the sales promotion interventions is doubtful i.e. This approach (paired samples) enables us to compare two populations after controlling the extraneous effect on them. Indian (Anglo Saxon) Judicial System considers type I error to be critical so it will have low α for this case. A well written case study will follow a customer as they define a problem, determine a solution, implement it, and reap the benefits. This is a case study written by Hugh McElroy, which is being designed for each year's 82% of marketers use case studies in their marketing, because it’s such an effective tool to help quickly gain customers trust, and to showcase the potential of your product.. 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