---
title: "Data analysis"
chunk: 1/5
source: "https://en.wikipedia.org/wiki/Data_analysis"
category: "reference"
tags: "science, encyclopedia"
date_saved: "2026-05-05T03:43:31.459045+00:00"
instance: "kb-cron"
---

Data analysis is the process of inspecting, cleansing, transforming, and modeling data with the goal of discovering useful information, informing conclusions, and supporting decision-making. Data analysis has multiple facets and approaches, encompassing diverse techniques under a variety of names, and is used in different business, science, and social science domains. In today's business world, data analysis plays an important role in making decisions more scientific and helping businesses operate more effectively. It is widely used in fields such as business analytics, healthcare, and artificial intelligence to extract meaningful insights from data.
Data mining is a particular data analysis technique that focuses on statistical modeling and knowledge discovery for predictive rather than purely descriptive purposes, while business intelligence covers data analysis that relies heavily on aggregation, focusing mainly on business information. In statistical applications, data analysis can be divided into descriptive statistics, exploratory data analysis (EDA), and confirmatory data analysis (CDA). EDA focuses on discovering new features in the data, while CDA focuses on confirming or falsifying existing hypotheses. Predictive analytics focuses on the application of statistical models for predictive forecasting or classification, while text analytics applies statistical, linguistic, and structural techniques to extract and classify information from textual sources, a variety of unstructured data. All of the above are varieties of data analysis.

== Data analysis process ==

Data analysis is a process for obtaining raw data, and subsequently converting it into information useful for decision-making by users. Statistician John Tukey, defined data analysis in 1961, as:"Procedures for analyzing data, techniques for interpreting the results of such procedures, ways of planning the gathering of data to make its analysis easier, more precise or more accurate, and all the machinery and results of (mathematical) statistics which apply to analyzing data."
There are several phases, and they are iterative, in that feedback from later phases may result in additional work in earlier phases.

=== Data requirements ===
The data is necessary as inputs to the analysis, which is specified based upon the requirements of those directing the analytics (or customers, who will use the finished product of the analysis). The general type of entity upon which the data will be collected is referred to as an experimental unit (e.g., a person or population of people). Specific variables regarding a population (e.g., age and income) may be specified and obtained. Data may be numerical or categorical (i.e., a text label for numbers).

=== Data collection ===
Data may be collected from a variety of sources. A list of data sources are available for study & research. The requirements may be communicated by analysts to custodians of the data; such as, Information Technology personnel within an organization. Data collection or data gathering is the process of gathering and measuring information on targeted variables in an established system, which then enables one to answer relevant questions and evaluate outcomes. The data may also be collected from sensors in the environment, including traffic cameras, satellites, recording devices, etc. It may also be obtained through interviews, downloads from online sources, or reading documentation.

=== Data processing ===

Data integration is a precursor to data analysis: Data, when initially obtained, must be processed or organized for analysis. For instance, this may involve placing data into rows and columns in a table format (known as structured data) for further analysis, often through the use of spreadsheet (e.g. Excel) or statistical software.

=== Data cleaning ===

Once processed and organized, the data may be incomplete, contain duplicates, or contain errors. The need for data cleaning will arise from problems in the way that the data is entered and stored. Data cleaning is the process of preventing and correcting these errors. Common tasks include record matching, identifying inaccuracy of data, overall quality of existing data, deduplication, and column segmentation.
Such data problems can also be identified through a variety of analytical techniques. For example; with financial information, the totals for particular variables may be compared against separately published numbers that are believed to be reliable. Unusual amounts, above or below predetermined thresholds, may also be reviewed. There are several types of data cleaning that are dependent upon the type of data in the set; this could be phone numbers, email addresses, employers, or other values. Quantitative data methods for outlier detection can be used to get rid of data that appears to have a higher likelihood of being input incorrectly. Text data spell checkers can be used to lessen the amount of mistyped words. However, it is harder to tell if the words are contextually (i.e., semantically and idiomatically) correct.

=== Exploratory data analysis ===
Once the datasets are cleaned, they can then begin to be analyzed using exploratory data analysis. The process of data exploration may result in additional data cleaning or additional requests for data; thus, the initialization of the iterative phases mentioned above. Descriptive statistics, such as the average, median, and standard deviation, are often used to broadly characterize the data. Data visualization is also used, in which the analyst is able to examine the data in a graphical format in order to obtain additional insights about messages within the data.

=== Modeling and algorithms ===