Module 1

Fundamentals of
Data-Driven
Decision Making
 Module 1
• Section 1 – Introduction
– Define data-driven decision making
– Describe the benefits of using this approach
– Define the process for collecting and analyzing data

• Section 2 – Data collection

– Define data
– Identify data sources
– Determine methods of collecting data

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 End of Module Objective
• Recognize the advantages of data-driven
decision making and prioritization
• Identify data analysis needs
• Decide about the appropriate way of
collecting data in order to apply statistical
techniques

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Section 1

Introduction
 Data-driven Decision Making
• Effective and informed decisions are based on the
analysis of data and information.
• Using valid and relevant data helps place the
“problem” in the right context.
• It allows us to identify risks and opportunities.
 Data-driven Decision Making (cont’d)
• It mitigates human error.
• Relying on data also helps us determine a best-fit
solution.
• Data-driven decision making provides credible
evidence to stakeholders and management
regarding strengths, weaknesses, opportunities,
limitations and risks.
 Data-driven Decision Making (cont’d)
• Managers and experts in all fields must base their
decisions on the right quantity and quality of
information.
• They must also use information that is relevant to
their needs.
 Benefits of Data-driven Decision Making
Decision making based on the right data and information
enables managers to focus on strategy and policy issues such
as:
• changes that can be expected in statutory and regulatory
requirements, emerging technologies, markets or resources
which may affect the organization;
• risks that need to be identified, managed or minimized;
• various priorities that need to be established and managed,
e.g. strategic, operational, resources;
 Benefits of Data-driven Decision Making
(cont’d)
• potential changes in the needs and expectations of
interested parties in the long term;
• existing services, products and processes that currently
provide the most value for interested parties;
• new services, products and processes needed to meet the
changing needs and expectations of interested parties;
 Benefits of Data-driven Decision Making
(cont’d)
• the evolving demands for the organization’s
services and products in the long term;
• the impact of emerging technologies on the
organization; and
• new competencies that may be needed.
Other Benefits of Data-driven Decision Making

• By using data and facts, we can determine the

effectiveness of our past decisions. We can do so
by referencing factual records.
• We also become more able to review, evaluate,
challenge and change opinions and decisions.
Requirements of Data-driven Decision Making
• Managers and experts who adopt a factual
approach to decision making need to:
• ensure that data and information are accurate and
reliable;
• make data accessible to those who need it;
• analyze data and information using valid methods;
and
• balance their decisions with experience and
intuition.
The Process for Collecting and Analyzing Data

• The diagram below shows the process for

collecting and analyzing data.
The Process for Collecting and Analyzing Data

• The first step is to define the problem that needs to be

solved by collecting and analyzing data.
• The organization also needs to set clear and relevant
objectives.
 Defining the Problem
• The first step in planning and establishing a data-
driven decision making process is to define what
the problem statement is:

• What is the question that needs to be answered?

• What decision does management need to make?
• What is the objective of collecting and analyzing
data?
 Defining the Problem (cont’d)
• In the process of defining the problem, management
need to also answer the following questions:

• Does the collection and analysis of data support and

relate to the organization’s objectives?
• Is it practical and feasible to collect and analyze the
data?
• Are the required data available? Or can they be
obtained in a reasonable manner?
• Are the required resources (people, equipment,
software, funds) available?
 Developing Objectives
• In the planning phase, the organization also needs
to define a clear set of objectives, showing:
• Why the organization needs to address the
identified problem.
• How and where management will use the results of
data collection and analysis.
The Process for Collecting and Analyzing Data

• The next steps involve determining the analyses

that would achieve the defined objectives and
the data that would be required.
 Data Analysis
• Data Analysis is the process of applying
statistical or other analytical techniques to
check, describe, transform, condense,
evaluate and visualize data.
• The goal of data analysis is to discover useful
information, suggest conclusions and support
decision making.
 Data Analysis
Analysis of data shows:
• whether the organization, system or process
is improving;
• factors that cause change;
• connections or “correlations” between or
among various factors.
 Determining the Analyses
• Analyzing data involves examining it in ways that
reveal the relationships, patterns and trends that
can be found within it.
• Statistical techniques can show what kinds of
relationships and connections may exist among
variables.
• They can also tell you how much you can trust the
answers you’re getting.
 Determining the Analyses (cont’d)
• Through statistical techniques, you can compare
your information to other groups (i.e. a control or
comparison group) to help draw conclusions from
the data.
• The point is to get an accurate understanding of the
overall situation.
The Process for Collecting and Analyzing Data

• In section 2 of this module, we will discuss data

collection.
The Process for Collecting and Analyzing Data

• We will discuss examples of data analyses and

reporting in modules 3 and 4.
 Section 2

Data Collection
 What is Data?
• Data is a variable piece of information in raw or
unorganized form (such as alphabets, numbers,
or symbols) that refers to, or represents, a
condition, idea or object.
• Data is limitless and present everywhere in the
universe.
• Each piece of data conveys an individual piece of
information.
 What is Data?
• Raw or unprocessed data needs to be “processed”.
• Therefore it needs to be collected, measured,
analyzed and reported.
• “Processed data” from one stage of a process may
be considered “raw data” for the next.
 Types of Data
• There are two kinds of data:
• 1) Quantitative data – information that is collected
as, or can be translated into, numbers and which can
be displayed and analyzed mathematically.
• 2) Qualitative data – collected as descriptions,
anecdotes, opinions, interpretations, etc. and
generally cannot be reduced to numbers and left as
narratives.
• This workshop mainly focuses on quantitative data.
 Collecting Data for Decision Making
• Our need for information and the quantity of
information available to us are expanding rapidly.
• Managers and experts need to collect the right
quantity and quality of information as a basis for
sound decision making.
 Collecting Data for Decision Making
• A sound method for collecting and managing data
needs to be:
• objective;
• logical; and
• a well-planned system.
 Collection Process

Form

Capture Transform Load

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 Where Does Data Come from?
• Much of the information that is the basis of
decision making for an organization comes from its
routine, everyday operations.
• However, routinely available information is not
always enough for important decisions.
• In that case, the organization needs to get the
information from other sources or through
additional research and observation.
 Where Does Data Come from?
• To determine the source of data, we need to
identify the “object of interest”: what is it that we
are interested in?
• In the world of aviation, the object of interest is
related to an “aviation entity” or where aviation
activities are conducted.
 Aviation Entities
• Organizations: airlines, maintenance organizations,
training organizations
• People: licensed personnel, qualified inspectors
• Physical entities: airports, aircrafts
• Virtual entities: airspace
 Digitization

Event
Database

Airport Collect
characteristics
about entities

Entity records
Airline

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 Collection Methods
• Proactive
Audits and
– Surveys inspections

– Audits
Surveys
– Inspections
Cost

• Reactive
– Reports Reporting
Data
feeds

• Automated
– Data feeds Quality

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 Data Feeds
• Data feed is a mechanism for users to receive
updated data from data sources.
• It is commonly used by real-time applications in
point-to-point settings (from a source to a
destination), as well as on the World Wide Web.
The latter is also called web feed. News feed is a
popular form of web feed.
 Audits and Inspections
• An audit or inspection needs a checklist with
questions.
• Each question must be either
“Yes/Satisfactory/Good”, “No/Unsatisfactory/Bad” or
“Not Applicable/Not asked”.
• There can only be one finding per question.
• A score can be calculated for each audit or inspections
and expressed as a percentage (from 0% to 100%):
∑ 𝒀𝒀𝒀
Score= ∑ 𝒀𝒀𝒀+ ∑ 𝑵𝑵

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 Examples
• USOAP Protocol Questions
• SSP Gap Analysis Questions

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 Data Feed Sources
• Accidents and incidents • Airport Information
Aviation Safety Network
– – iSTARS Airports
Aviation Herald
– – iSTARS PBN
ASCEND
– • Fleet Information
iSTARS ADREP
– – iSTARS Fleet
• Traffic – ASCEND / FlightGlobal
– FlightStats • Terrain Data
– iSTARS State Traffic – NOAA GLOBE
• ADS-B Positions • METARS
– FlightStats – NOAA
• Flight Schedules
– FlightStats
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 Electronic Forms

=
Form

Online DB
Building Difficulty

HTML Form InfoPath

Sharepoint

EXCEL
PDF WORD

Exploiting Difficulty

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 Form Design Principles
• Only ask for data you really need to generate
information.
• Avoid multiple value fields (e.g. occurrence
category).
• Allow multiple ways to submit (print, email,
online).
• Support multiple IT systems (Mac, MS, iPad,
etc.).
• Do not ask for subjective information.
• Keep the value lists limited (less than 8).
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 The Right Quantity of Data
• How much data is the right amount?
• The quantity of data can be determined based on
“width” and “depth”.
• These depend on the object of interest and the
needs of the organization.
 Data Width
• The width of the data is the number of information
fields in it.
• For example, a person’s data may include: name,
age, gender, place of birth.
• The same person’s data collected for another
purpose may include: name, age, gender, place of
birth, education, profession, contact information.
 Data Depth
• The depth of the data is the amount of the
information being collected.
• For example, do we need data for 100 people or for
a 1,000 or for 10,000?
• Or do we need data for the last 6 months, 5 years or
20 years ?