New Enroll for RBI, SEBI & NABARD Intro Class! April 18 at 9:15 PM

    Question

    When identifying business problems for data analysis,

    what is a critical first step?
    A Collecting all available data without a specific goal Correct Answer Incorrect Answer
    B Creating a dashboard to track real-time data Correct Answer Incorrect Answer
    C Setting measurable Key Performance Indicators (KPIs) aligned with business goals Correct Answer Incorrect Answer
    D Building predictive models to preemptively solve problems Correct Answer Incorrect Answer
    E Performing a random sample analysis Correct Answer Incorrect Answer

    Solution

    Setting KPIs aligned with business goals is essential when defining business problems for data analysis. KPIs provide measurable values that demonstrate how effectively the company is achieving key business objectives, and they guide the analysis in a structured way. Clear KPIs ensure that any data insights generated are relevant and actionable, driving business success. Option A is incorrect because data collection should be purpose-driven. Option B is incorrect as dashboards are for monitoring but don’t define problems. Option D is incorrect because building predictive models comes after identifying the problem. Option E is incorrect as random sampling is an analysis method, not a step in defining business objectives.

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