Business Performance Management Data Analytics and Business Intelligence 2

Question 1

Predictive analytics in business performance management is primarily used to:

Accepted Answer

Forecast future outcomes based on historical data and statistical models

Answer

Predictive analytics uses historical data patterns and statistical models to forecast future trends and performance outcomes.

Question 2

What is the role of a 'drill-down' feature in a BI dashboard?

Accepted Answer

To navigate from summary-level data to more detailed underlying information

Answer

Drill-down allows users to explore progressively more detailed data levels, moving from high-level summaries to granular details.

Question 3

In data analytics, the purpose of data normalization is to:

Accepted Answer

Organize data to reduce redundancy and improve data integrity

Answer

Data normalization organizes database tables to minimize redundancy and dependency, improving data integrity and consistency.

Question 4

A company notices declining customer satisfaction scores. Which analytics approach best identifies the root cause?

Accepted Answer

Diagnostic analytics

Answer

Diagnostic analytics investigates why something happened by examining data relationships and patterns to pinpoint root causes.

Question 5

What distinguishes structured data from unstructured data?

Accepted Answer

Structured data is organized in a predefined format with rows and columns

Answer

Structured data follows a predefined schema organized in rows and columns, like relational databases, making it easily searchable and analyzable.

Business Performance Management Practice Test