IBS Hyderabad

Academic Year 2015-16

Course Handout
Course Name: Quantitative Methods

Semester: I

Faculty Name: Dr. Jighyasu Gaur

Room No: E - 107
Mobile No: 9010722557

Email: jgaur@ibsindia.org

Course Objective: A Manager is called for to take decisions in organizations. Hence, analytical
ability and analytical thinking is important for managerial decision making. This course aims at
equipping you with analytical concepts, tools and techniques which will enhance your capabilities
for objective decision making. The course will also build your foundations for receiving courses like
Managerial Economics, Operations Management, Business Research Methods, Marketing Research,
Portfolio Management, Financial Econometrics etc. during the MBA program at IBS. This course is
designed to meet the above agenda.
Learning Outcomes: At the end of the course a student is expected to be equipped with statistical thinking ability
and application of basic statistical tools in business context through this thinking.
Recommended Text Book:
TEXT BOOK

AUTHOR / PUBLICATION

Statistics for Business and

Economics

David R Anderson, Dennis J Sweeny and Thomas A Williams,

Cengage Learning, 11e, New Delhi, 2011

Suggested books:
BOOKS

AUTHOR / PUBLICATION

Business Statistics in Practice

Bruce L Brown, Richard T OConnell and Emily S Murphree,

Tata McGraw-Hill Edition, 2010

Decision Making using

Microsoft Excel

S Christian Albright, Wayne L Winston and Christopher J Zappe,

Cengage Learning, 2009

Statistics for Managers using

Microsoft Excel

David M. Levine, David Stephan, Timothy C. Krehbiel, Mark

L. Berenson, Fifth Edition, PHI Learning, 2009

Statistics for Management

Richard L. Levin & David S. Rubin, Pearson, 2010

Course Outline:
Sl.
No.

Sessi
on
No.

Topic

Key Concepts

Case & Case

No.

Chapter
Reading

Learning Outcome

Descriptive Statistics
1.

1-4

Measuring &
summarizing Data

Scales & Measurements,

Tabular & Graphical
presentation of Data, Central
Tendency and Dispersion

Data sets from

Chapters 1 to 3
from the
Prescribed Text
Book (ASW)

Chapters 1 to Measuring tools for

3
data
Quick
data
Excluding
summary through
Stem & Leaf
graphic depictions
Display, Dot
Summarizing
the
Plot,
data concentration
Simpson's
Measuring the spread
Paradox
in data.
Section 3.5
will be
covered in
Linear
Regression

Probability Concepts
2.

5-6

Basic Concepts of
Probability

1.
2.
3.
4.

Experiment
Events & Probability
Probability Rules
Conditional Probability

3.

Random Variable

Concept of Random Variables

& Distributions

Chapter 4

Probabilistic way of
thinking in general
and in managerial
contexts.

Chapter 5

To
understand
random variable as
a
prelude
to
studying
random
behavior
and
drawing inferences.

Excluding
Section 5.6

Discrete Probability Distributions

4.

8-9

Specific Discrete
Distributions

Binomial, Poisson

Chapter 5
Excluding
Section 5.6

Concepts and
simple managerial
applications

Test 1 covering syllabus from Chapter 1 to Chapter 5.

Continuous Probability Distributions
5.

1012

Specific Continuous
Distributions

1. Uniform Distribution
2. Normal Distribution

Chapter 6

Concepts and
managerial
applications
Normal probability

reading and
applications
Sampling & Sampling Distribution
6.

1314

Various Sampling
Methods, Sampling
Distributions &
associated concepts

1. Simple Random
Sampling & other
sampling methods
2. Point Estimation
3. Sampling
Distributions of
Mean & Proportion
4. Unbiased nature of
Point Estimators

Chapter 7
Excluding
Efficiency
and
Consistency
properties of
a point
estimator
from Section
7.7

Concept of sampling
and sampling
distribution as a prerequisite to hypothesis
testing

Estimation & Testing of Hypothesis 1 (One Sample Tests)

7.

1517

Estimating from
samples, Hypothesis
Testing & associated
concepts (One
Sample Tests)

1. Interval estimation
of mean &
proportion
2. Sample size
determination
3. Null & alternate
hypotheses
4. Type I & Type II
Errors
5. Testing for Mean &
Proportion

a.

Care
Hygiene
(ICMR
Case)
b. Conversys
Inc. A & B
(IBSCDC:Q
M0010 &
QM0033)
c. QQuality
Associates
(from Text
Book)

Chapters 8 & Carrying out of testing

9
of hypothesis in one
sample situation (with
Excluding
managerially relevant
Sections 9.7 cases)
& 9.8

Test 2 covering syllabus from Chapter 6 to Chapter 9.

Estimation & Testing of Hypotheses 2 (Two Sample Tests)
8.

1820

Hypothesis Testing
& associated
concepts (Two
Sample Tests)

1. Testing for equality

of Means &
Proportions for two
Populations
2. Testing for equality
of Means two
Populations with
matched samples

a. Care Hygiene Chapter 10

(ICMR Case)
b. Convers
ys Inc.
A&B
(IBSCD
C:QM0
010 &
QM003
3)
c. QQualit
y
Associat
es (from
Text
Book)

Carrying out of testing

of hypothesis in two
sample situation (with
managerially relevant
cases)

Chi-square and F Distributions

9.

2123

Tests based on Chisquare and F

Distributions

1. Goodness of Fit
a.
2. Test of Independence
3. Variance test (One
Sample)
4. Variance test (Two
Samples)

Melting
Chapters 11
Delicacies A to 12
(IBSCDC:Q
M:0011)

Application of Chisquare & F distribution

& tests in different
managerial contexts
(proportion,
independence,
goodness of fit,
variance)

Analysis of Variance
10.

2425

Analysis of
Variance

1. Testing equality of
Real Foods
Means of several
(ICMR Case)
Populations
2. Multiple Comparison
Procedures

Chapter 13.1, Testing for equality

13.2, 13.3
of several
population means
Excluding
(with managerial
Type 1 Error
applications)
Rates
Multiple comparison of
means to arrive at
meaningful managerial
conclusions

Regression Analysis
11.

26 Regression Analysis
30

1. Simple Regression
Estimation, Testing,
Prediction &
Residual Analysis

a.

CConsu Chapters 14
mer
Researc
h, Inc.
(from
Text
Book,
p.685)
-Do
--

2. Multiple Regression
Interpreting
Software output

Understanding
cause & effect
relationship
between a
dependent and an
explanatory variable
(with managerial
examples).
Understanding cause &
effect relationship
between a dependent
and several
explanatory variables
(with managerial
examples).

Test 3 covering syllabus from Chapter 10 to Chapter 14.

Time Series Analysis
12.

3133

Time Series
Analysis

1. Components (trend, The Electric Fan Chapter 18

seasonal & cyclical) Industry
2. Smoothing Methods (IBSCDC:QM00 Excluding
3. Trend Projections
Section 18.6
17)

Understanding
smoothing of time
series (with
managerial

examples).
Understanding
various components
of time series
(trend, seasonal,
cyclical) and
incorporating them
in managerial
forecasting.

Expectations from Students:

a.

b.
c.
d.

e.

f.
g.
h.

i.
j.

Students must report to the respective sessions well before the announced time. Latecomers will not be
permitted to join the class after the scheduled time. If late, the attendance for that session will be marked as
absent.
Read the Case Study / material well prior to the class discussion. He/she is also expected to read the chapter
indicated in the course plan as the faculty directs.
In the class discussion student is expected to participate actively and contribute to individual and group
learning. Evaluation is based on active participation.
The participation has to be relevant and meaningful. Speaking for speaking sake will be counterproductive. Participation by just repeating a point made or picking on what someone has said will also be
counter-productive.
Evaluation is a continuous process at IBS. Every student needs to be aware of the timelines given in the
section below. Absence from these evaluations will mean non awarding of marks in that particular
component
Wherever applicable, group assignments require each student to contribute to the group effort. This
enhances group effectiveness and leads to greater appreciation of working in groups.
Formal dressing is suggested for all students. Do not roam in the academic area/ attend classes in chappals /
shorts / informal t shirts
Students are expected to show high regard and appreciation for class discipline and desist from using
mobile phones. This disturbs the class ambience and unnecessarily diverts attention of other students as
well as the faculty member. To avoid these, mobile phones should be switched off inside the classroom.
I have given a scheduled consultation hour. Utilize this time to meet me and clarify doubts if any, seek
explanations and get mentored if needed.
Attendance is compulsory in all sessions. However refer to guidelines in your academic handbook for
exceptions.

Honour Code:
Unfair practices in tests and plagiarism in assignments / project work will straight away entail a
ZERO to all involved parties. It is not relevant for me to know the source and destination of
plagiarism.
Class Organization
Class Representative
Two among you will be elected / selected by consensus as Class Representative for the QM course.
S/he will be responsible for class room arrangements, dealing with academic office, for

communicating information from me to the class and also to collect all assignments / project works
and deliver them to me.
Class Discipline

Students must occupy their seats before I come in and must remain seated until the attendance is
completed at the end of the class.
Students must have their name plates on the desk.
Use of mobile phones is strictly prohibited in the class.
Students must bring laptop and the text book to every class. While we may work with
spreadsheet in class, only calculators are permitted in TESTS & EXAMINATIONS.
Students are free to ask questions/doubts/clarifications in the class on topics under discussion.
For other doubts, they should meet me in my office during consulting hours.

Evaluation Timelines
Keeping in line with continuous evaluation at IBS the following schedules have been drawn. Students are
expected to go through the dates / sessions mentioned and prepare accordingly.
Component
Class
Participation
Class
Participation
Class
Participation
Test - 1
Test - 2
Test - 3
End exam

Component
Number
1

Expected slot / due

date
After completion of
Session 11
2
After completion of
Session 22
3
After completion of
Session 30
1
To be announced
2
To be announced
3
To be announced
At the end of the semester
Total

Marks declaration by

Weightage

Session 12

10

Session 23

10

Session 31

10

One week later

One week later
One week later

10
10
10
40
100

Performance till Midterm will be announced by end of session No. 16 in each course which means each
student will know his / her performance in one CP and two Tests. The final result will be declared after
the end examinations. Before the student takes the end examination he / she will be aware of the progress
in each course up to an extent of 60 marks.
Students not taking the evaluation according to the timelines
mentioned above will not be given another opportunity excepting in rare circumstances of extreme illness
or hospitalization.
Notes:
1. Make up test for Test - 1 & Test - 2 are permitted only in EXCEPTIONAL cases. I must be
convinced about the reason in advance.
2. Students with less than 60% attendance on the date of any evaluation component will be
awarded F grade for that component. This applies for class participation as well.
Brief profile of the Faculty Member
Jighyasu Gaur, Ph.D.
Assistant Professor, IBS-Hyderabad
Visiting Research Scholar, University of Memphis (2011-2012)
Around 15 years of experience in teaching, and research.
Teaching experience: For MBA, BBA, B.Tech students and Executives.
Research & Consulting: In the areas of Supply chain management, and Remanufacturing
Around 15 publications international journals.