Did you know that ice cream is a major cause of drowning? If we look at the relationship between these variables and only these variables, the data appears to support that belief. It ignorantly states that ice cream consumption and drowning are correlated and have a mutual relationship. As one increases, so does the other.
Visuals and data can be used to tell any story. In this particular example, the truth is easy to see. This is not always the case. It is our responsibility, as business intelligence professionals, to protect the integrity of the data. To be objective and Let the Data Speak. We know that eating ice cream does not cause drowning. There is no relationship of cause and effect. Even though the data correlates, we do not have all the data needed to determine causation. We have not considered other important variables.
Like…warmer weather. Warmer weather is a major influencer of both ice cream consumption and drowning. When it heats up outside, ice cream is eaten at a higher rate and more people go outside to swim, increasing the likelihood of drowning. Warmer weather is the influencer that loosely binds these two together.
When doing analysis, we must always look at the entire picture. We most avoid the common logical misbelief that correlation equals causation. Leave no stone unturned when deriving insights from your data.
Doing BI the right way will show your business the whole picture and not just a few variables. At ConradBI we pride ourselves on being the best at building BI platforms. We strive to push the data to causation when possible so that your business can make the best decisions. Contact us today! Hiring ConradBI is causation for gaining actionable insights for your business.
