hypothesis in data presentation

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Present Your Data Like a Pro

• Joel Schwartzberg

Demystify the numbers. Your audience will thank you.

While a good presentation has data, data alone doesn’t guarantee a good presentation. It’s all about how that data is presented. The quickest way to confuse your audience is by sharing too many details at once. The only data points you should share are those that significantly support your point — and ideally, one point per chart. To avoid the debacle of sheepishly translating hard-to-see numbers and labels, rehearse your presentation with colleagues sitting as far away as the actual audience would. While you’ve been working with the same chart for weeks or months, your audience will be exposed to it for mere seconds. Give them the best chance of comprehending your data by using simple, clear, and complete language to identify X and Y axes, pie pieces, bars, and other diagrammatic elements. Try to avoid abbreviations that aren’t obvious, and don’t assume labeled components on one slide will be remembered on subsequent slides. Every valuable chart or pie graph has an “Aha!” zone — a number or range of data that reveals something crucial to your point. Make sure you visually highlight the “Aha!” zone, reinforcing the moment by explaining it to your audience.

With so many ways to spin and distort information these days, a presentation needs to do more than simply share great ideas — it needs to support those ideas with credible data. That’s true whether you’re an executive pitching new business clients, a vendor selling her services, or a CEO making a case for change.

• JS Joel Schwartzberg oversees executive communications for a major national nonprofit, is a professional presentation coach, and is the author of Get to the Point! Sharpen Your Message and Make Your Words Matter and The Language of Leadership: How to Engage and Inspire Your Team . You can find him on LinkedIn and X. TheJoelTruth

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Home Blog Guide to Presenting Using the Pyramid Principle

Guide to Presenting Using the Pyramid Principle

The conventional method for presenting a PowerPoint presentation entails reflecting upon the facts and fine details to draw the audience towards a conclusion. This can result in a lengthy Q&A session at the end of the presentation, where the audience might appear confused, unsatisfied, and at times, feel manipulated into being led towards a conclusion of the presenter’s choosing. A better alternative can be to use the Pyramid Principle .

Present using the Pyramid Principle: An Excellent Tool to Communicate Logical Information

The Pyramid Principle can be used for structuring communication to have a meaningful impact. Whether you’re making reports, delivering a presentation, or preparing an analysis, the Pyramid Principle can be an excellent tool to communicate logical information . The structured format in which the communication relays the answer prior to facts and data can help create an environment where critical thinking can be stimulated at the very start, instead of the end.

What is the Pyramid Principle?

Developed by an ex-McKinsey consultant, Barbara Minto, the Pyramid Principle is considered as one of the most important concepts of executive communication often taught in  strategic communications and leadership programs . Unlike conventional modes of presenting information, the Pyramid Principle presents the answer at the beginning, followed by supporting arguments, data, and facts. The concept was documented in her book published in 1985 titled; The Pyramid Principle: Logic in Writing and Thinking .

The information is presented in the form of a pyramid, with the core idea at the top, which is then broken down by revealing fine details. The top of the pyramid contains the answer, which is the starting point. The middle of the pyramid represents supporting arguments. Whereas the bottom of the pyramid gives the supporting data and facts.

What are the 3 Rules When Creating Pyramid Structure?

When sitting through a lengthy PowerPoint presentation bloated with facts and data and a leading conclusion, one can feel unsatisfied with the presenter. However, when given the answer at the very beginning, you might feel a need to think through its merits from the very start. As you are presented with supporting arguments and facts, you can determine whether you agree or disagree with the statement or feel a need to raise important questions.

This approach makes it possible to aid structured thinking and stimulate critical thinking at the very start of a presentation or when reading through a report or research. Rather than feeling that you are being led towards a conclusion with convoluted information.

Supporting Arguments

Once the audience has been given the answer or hypothesis at the start, they can begin critically analyzing the supporting argument that follows. This is the second stage of the Pyramid Principle, where the answer is supported with relevant arguments to help test the validity of the hypothesis or to present it for critical analysis.

Supporting Data and Facts

Unlike conventional approaches to presenting data, the Pyramid Principle makes it possible to see supporting facts and data after a hypothesis. Rather than wondering what the long bits of information might be leading to. The one reading through the information or sitting in the audience does not need to wonder about the suggested conclusion, as it has already been presented at the start. Enabling critical analysis of the data and facts, as they are presented.

Why Does the Pyramid Principle Work?

Before the Pyramid Principle, Barbara Minto developed the MECE principle in the 1960s, which is a grouping principle that separates items into subsets. These subsets are mutually exclusive and collectively exhaustive, hence the name MECE. This concept underlies what was later known as the Pyramid Principle during the 1980s. Providing a mechanism to structure information for maximum impact. Making the principle practical and useful.

The Pyramid Principle suggests that ideas should be presented as a pyramid. Using the pyramid structure, the information is grouped together with similar, low-level facts, drawing insights from the similarity, and forming a group of related insights.  

How is the Pyramid Principle used for Effective Writing?

Effective writing produces content that is clear, accurate, and concise. The writing is focused, coherent, correct, supporting the central idea. When incorporating the Pyramid Principle for effective writing, the same rules apply. You need to start with the central idea. The ‘answer’ serves as a single thought, supported by arguments, data, and facts. You should present the ideas using the pyramid structure, summarizing the ideas grouped below each other, while remaining true to the ‘single thought’, i.e. the central idea (the answer).

An example of the structure for content produced using the Pyramid Principle would be as follows:

Answer -> Supporting Argument -> Evidence.

The answer shall remain at the top or at the heart of the content you are writing, whereas the supporting argument will be backed by evidence at each instance. If you have more than one supporting argument, you should take the time to structure each argument. For example, write the first supporting argument, followed by its evidence, before moving on to the second supporting argument and its related evidence.

How to Apply the Pyramid Principle in Preparing Presentations

When applying the Pyramid Principle, you must first start with the hypothesis and break it down with supporting arguments, backed by facts and data. It’s quite likely that during the course of the presentation, your audience would want to ask tough questions. Using this concept, you can enable those questions to be asked sooner and provide your breakdown of the information in a structured manner to ensure all your arguments are covered.

Begin with the Hypothesis

It is common to present the hypothesis at the very end after data, facts, and different ideas related to the potential hypothesis have been presented. The Pyramid Principle flips this conventional approach by presenting the hypothesis (answer) at the beginning.

Example: In our example, a mobile operator called ABC Telecom wants to enter a new market in Country X, located in Central Africa. The conventional approach would be to provide data and facts before mentioning why it’s a good idea to invest in a specific country. The presenter might even take the time to mention the country at the very end. The Pyramid Principle would require this information to be shared at the very beginning instead. In our example, the presenter would start the presentation by mentioning the hypothesis or answer.

In this case, the hypothesis might be something as follows: ‘investing in Country X would be profitable and lead to 30% increase in revenue for ABC Telecom over the next 5 years’.

Presenting the hypothesis at the start will stimulate critical thinking and aid structured communication, where there might be people for and against the argument scrambling to ask tough questions. That’s one of the benefits of the Pyramid Principle, as it helps bring out critical questions from the very start instead of at the end of a bloated presentation or report.

Present Arguments to Support Your Answer

It is essential to back the answer with supporting arguments to enable a meaningful discussion or to raise key questions regarding the accuracy of the hypothesis. For a business, this can have dire implications and major investment decisions might hinge on such information.

Example: The presenter proceeds to mention why investing in Country X by ABC Telecom is important for the long-term sustainability of the company. We assume that the argument for this investment is that ABC Telecom is already operating in a saturated market, where profit margins are projected to decline, and it is essential to move into a new market to increase revenue and profitability.

Present the Data to Support Your Argument

A supporting argument is only as good as the data and facts that are presented to back it up. The bottom of the pyramid, therefore, is the foundation of the Pyramid Principle. The foundation needs to contain accurate and reliable information that can back the hypothesis.

Example: In our example, ABC Telecom conducted research across 3 potential markets (Country X, Country Y, and Country Z) to look for countries to expand their operations in. During the research, it was revealed that only Country X appeared to be a lucrative market for investment.

The research revealed that Country Y and Country Z already have a saturated telecom industry with heavy taxes, rigid government policies, and very low ease of doing business ratings. Moreover, the population and telecom density of both these countries does not appear to indicate the potential for growth. On the contrary, Country X with a large population and low competition serves as a lucrative market. The market competition is slim, the government is looking to expand its telecom infrastructure, giving tax concessions to companies looking to set up their operations. The country also has a better ease of doing business ranking.

Another factor that goes in favor of ABC Telecom investing in Country X is that they are already operating in the neighboring country (Country W), making it easier to expand operations due to familiarity with the region. Furthermore, other global telecom operators are looking towards expanding into Asia Pacific, instead of Central Africa, leaving the market open for a new operator to rapidly expand. The recent rise in purchasing power, increased use of smartphones, and the demand for 4G and 5G services (currently not available in Country X) make another compelling argument for an efficient mobile operator to start operations in the country.

What are the Benefits of Applying the Pyramid Principle?

1. be better at structured thinking.

The idea behind structured thinking is to be efficient at problem-solving and critically analyzing things in an organized manner. The Pyramid Principle provides this formula in its pyramid-like structure, where important questions can be asked right from the start.

2. Focus on Core issues

Lengthy reports and presentations can lead to a lot of confusion and might even deviate the people in charge of making decisions from the core issue. By placing the core issue at the very heart and elaborating upon it at the start, the Pyramid Principle can help keep everyone involved in the discussion on point.

3. Placing the Solutions at the Start Initiates Critical Analysis

When exploring solutions, such as in our example above, (the expansion of a telecom operator into a new market), it is essential to initiate critical analysis. Key decisions related to investment, expansion into new markets, or changes to products or services can make or break a business. Placing the solution at the start of the discussion leaves ample room for critical analysis to see if the presented solution can be applied or if better alternatives can be explored.

4. Hypothesis Backed by Data can Aid Better Decision Making

How would you feel if you are presented with 1 hour of slides filled with data, with a solution at the end? It is likely that such a presentation would leave you weary and tired, unable to connect the data with the solution at the end. Now imagine, you are given the solution at the start of the presentation, and each bit of information related to the answer that you would see after that can be connected with the solution when analyzing its practical implications. The latter is an approach that will help you connect with the arguments, facts, and data, as they are presented. Since you are already aware of the answer or hypothesis that you need to focus on.

Is Barbara Minto’s Pyramid Principle Still Valid?

The short answer to the question would be, yes! Barbara Minto’s Pyramid Principle is considered as one of the most important methodologies for structured communication. Since its initial revelation during 1985 to the revised edition of Minto’s book in 1996; ‘The Minto Pyramid Principle: Logic in Writing, Thinking and Problem Solving’, the principle still remains effective. It is widely used for making business executives absorb information quickly, in a structured manner, and aiding executive communication.

Final Words

The Pyramid Principle can be used effectively for structured thinking, problem-solving, and presenting information in a palatable format for busy business executives. Moreover, presenting the information true to the core idea presented at the very start can help make it easier to keep the audience abreast with the arguments, data, and facts that follow.

At the very core of decision making, be it decisions made by businesses or individuals, everyone wants to find the solution that works best for them. But complex data analysis and information overload can hinder good decisions and obscure solutions. By starting with the potential solution, its merits and demerits can be critically analyzed with ease.

1. Minto Pyramid Principle PowerPoint Template

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2. 3 Levels 3D Pyramid Template for PowerPoint

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The Craft of Writing a Strong Hypothesis

Table of Contents

Writing a hypothesis is one of the essential elements of a scientific research paper. It needs to be to the point, clearly communicating what your research is trying to accomplish. A blurry, drawn-out, or complexly-structured hypothesis can confuse your readers. Or worse, the editor and peer reviewers.

A captivating hypothesis is not too intricate. This blog will take you through the process so that, by the end of it, you have a better idea of how to convey your research paper's intent in just one sentence.

What is a Hypothesis?

The first step in your scientific endeavor, a hypothesis, is a strong, concise statement that forms the basis of your research. It is not the same as a thesis statement , which is a brief summary of your research paper .

The sole purpose of a hypothesis is to predict your paper's findings, data, and conclusion. It comes from a place of curiosity and intuition . When you write a hypothesis, you're essentially making an educated guess based on scientific prejudices and evidence, which is further proven or disproven through the scientific method.

The reason for undertaking research is to observe a specific phenomenon. A hypothesis, therefore, lays out what the said phenomenon is. And it does so through two variables, an independent and dependent variable.

The independent variable is the cause behind the observation, while the dependent variable is the effect of the cause. A good example of this is “mixing red and blue forms purple.” In this hypothesis, mixing red and blue is the independent variable as you're combining the two colors at your own will. The formation of purple is the dependent variable as, in this case, it is conditional to the independent variable.

Different Types of Hypotheses‌

Types of hypotheses

Some would stand by the notion that there are only two types of hypotheses: a Null hypothesis and an Alternative hypothesis. While that may have some truth to it, it would be better to fully distinguish the most common forms as these terms come up so often, which might leave you out of context.

Apart from Null and Alternative, there are Complex, Simple, Directional, Non-Directional, Statistical, and Associative and casual hypotheses. They don't necessarily have to be exclusive, as one hypothesis can tick many boxes, but knowing the distinctions between them will make it easier for you to construct your own.

1. Null hypothesis

A null hypothesis proposes no relationship between two variables. Denoted by H 0 , it is a negative statement like “Attending physiotherapy sessions does not affect athletes' on-field performance.” Here, the author claims physiotherapy sessions have no effect on on-field performances. Even if there is, it's only a coincidence.

2. Alternative hypothesis

Considered to be the opposite of a null hypothesis, an alternative hypothesis is donated as H1 or Ha. It explicitly states that the dependent variable affects the independent variable. A good  alternative hypothesis example is “Attending physiotherapy sessions improves athletes' on-field performance.” or “Water evaporates at 100 °C. ” The alternative hypothesis further branches into directional and non-directional.

• Directional hypothesis: A hypothesis that states the result would be either positive or negative is called directional hypothesis. It accompanies H1 with either the ‘<' or ‘>' sign.
• Non-directional hypothesis: A non-directional hypothesis only claims an effect on the dependent variable. It does not clarify whether the result would be positive or negative. The sign for a non-directional hypothesis is ‘≠.'

3. Simple hypothesis

A simple hypothesis is a statement made to reflect the relation between exactly two variables. One independent and one dependent. Consider the example, “Smoking is a prominent cause of lung cancer." The dependent variable, lung cancer, is dependent on the independent variable, smoking.

4. Complex hypothesis

In contrast to a simple hypothesis, a complex hypothesis implies the relationship between multiple independent and dependent variables. For instance, “Individuals who eat more fruits tend to have higher immunity, lesser cholesterol, and high metabolism.” The independent variable is eating more fruits, while the dependent variables are higher immunity, lesser cholesterol, and high metabolism.

5. Associative and casual hypothesis

Associative and casual hypotheses don't exhibit how many variables there will be. They define the relationship between the variables. In an associative hypothesis, changing any one variable, dependent or independent, affects others. In a casual hypothesis, the independent variable directly affects the dependent.

6. Empirical hypothesis

Also referred to as the working hypothesis, an empirical hypothesis claims a theory's validation via experiments and observation. This way, the statement appears justifiable and different from a wild guess.

Say, the hypothesis is “Women who take iron tablets face a lesser risk of anemia than those who take vitamin B12.” This is an example of an empirical hypothesis where the researcher  the statement after assessing a group of women who take iron tablets and charting the findings.

7. Statistical hypothesis

The point of a statistical hypothesis is to test an already existing hypothesis by studying a population sample. Hypothesis like “44% of the Indian population belong in the age group of 22-27.” leverage evidence to prove or disprove a particular statement.

Characteristics of a Good Hypothesis

Writing a hypothesis is essential as it can make or break your research for you. That includes your chances of getting published in a journal. So when you're designing one, keep an eye out for these pointers:

• A research hypothesis has to be simple yet clear to look justifiable enough.
• It has to be testable — your research would be rendered pointless if too far-fetched into reality or limited by technology.
• It has to be precise about the results —what you are trying to do and achieve through it should come out in your hypothesis.
• A research hypothesis should be self-explanatory, leaving no doubt in the reader's mind.
• If you are developing a relational hypothesis, you need to include the variables and establish an appropriate relationship among them.
• A hypothesis must keep and reflect the scope for further investigations and experiments.

Separating a Hypothesis from a Prediction

Outside of academia, hypothesis and prediction are often used interchangeably. In research writing, this is not only confusing but also incorrect. And although a hypothesis and prediction are guesses at their core, there are many differences between them.

A hypothesis is an educated guess or even a testable prediction validated through research. It aims to analyze the gathered evidence and facts to define a relationship between variables and put forth a logical explanation behind the nature of events.

Predictions are assumptions or expected outcomes made without any backing evidence. They are more fictionally inclined regardless of where they originate from.

For this reason, a hypothesis holds much more weight than a prediction. It sticks to the scientific method rather than pure guesswork. "Planets revolve around the Sun." is an example of a hypothesis as it is previous knowledge and observed trends. Additionally, we can test it through the scientific method.

Whereas "COVID-19 will be eradicated by 2030." is a prediction. Even though it results from past trends, we can't prove or disprove it. So, the only way this gets validated is to wait and watch if COVID-19 cases end by 2030.

Finally, How to Write a Hypothesis

Quick tips on writing a hypothesis

1.  Be clear about your research question

A hypothesis should instantly address the research question or the problem statement. To do so, you need to ask a question. Understand the constraints of your undertaken research topic and then formulate a simple and topic-centric problem. Only after that can you develop a hypothesis and further test for evidence.

2. Carry out a recce

Once you have your research's foundation laid out, it would be best to conduct preliminary research. Go through previous theories, academic papers, data, and experiments before you start curating your research hypothesis. It will give you an idea of your hypothesis's viability or originality.

Making use of references from relevant research papers helps draft a good research hypothesis. SciSpace Discover offers a repository of over 270 million research papers to browse through and gain a deeper understanding of related studies on a particular topic. Additionally, you can use SciSpace Copilot , your AI research assistant, for reading any lengthy research paper and getting a more summarized context of it. A hypothesis can be formed after evaluating many such summarized research papers. Copilot also offers explanations for theories and equations, explains paper in simplified version, allows you to highlight any text in the paper or clip math equations and tables and provides a deeper, clear understanding of what is being said. This can improve the hypothesis by helping you identify potential research gaps.

3. Create a 3-dimensional hypothesis

Variables are an essential part of any reasonable hypothesis. So, identify your independent and dependent variable(s) and form a correlation between them. The ideal way to do this is to write the hypothetical assumption in the ‘if-then' form. If you use this form, make sure that you state the predefined relationship between the variables.

In another way, you can choose to present your hypothesis as a comparison between two variables. Here, you must specify the difference you expect to observe in the results.

4. Write the first draft

Now that everything is in place, it's time to write your hypothesis. For starters, create the first draft. In this version, write what you expect to find from your research.

Clearly separate your independent and dependent variables and the link between them. Don't fixate on syntax at this stage. The goal is to ensure your hypothesis addresses the issue.

5. Proof your hypothesis

After preparing the first draft of your hypothesis, you need to inspect it thoroughly. It should tick all the boxes, like being concise, straightforward, relevant, and accurate. Your final hypothesis has to be well-structured as well.

Research projects are an exciting and crucial part of being a scholar. And once you have your research question, you need a great hypothesis to begin conducting research. Thus, knowing how to write a hypothesis is very important.

Now that you have a firmer grasp on what a good hypothesis constitutes, the different kinds there are, and what process to follow, you will find it much easier to write your hypothesis, which ultimately helps your research.

Now it's easier than ever to streamline your research workflow with SciSpace Discover . Its integrated, comprehensive end-to-end platform for research allows scholars to easily discover, write and publish their research and fosters collaboration.

It includes everything you need, including a repository of over 270 million research papers across disciplines, SEO-optimized summaries and public profiles to show your expertise and experience.

If you found these tips on writing a research hypothesis useful, head over to our blog on Statistical Hypothesis Testing to learn about the top researchers, papers, and institutions in this domain.

Frequently Asked Questions (FAQs)

1. what is the definition of hypothesis.

According to the Oxford dictionary, a hypothesis is defined as “An idea or explanation of something that is based on a few known facts, but that has not yet been proved to be true or correct”.

2. What is an example of hypothesis?

The hypothesis is a statement that proposes a relationship between two or more variables. An example: "If we increase the number of new users who join our platform by 25%, then we will see an increase in revenue."

3. What is an example of null hypothesis?

A null hypothesis is a statement that there is no relationship between two variables. The null hypothesis is written as H0. The null hypothesis states that there is no effect. For example, if you're studying whether or not a particular type of exercise increases strength, your null hypothesis will be "there is no difference in strength between people who exercise and people who don't."

4. What are the types of research?

• Fundamental research

• Applied research

• Qualitative research

• Quantitative research

• Mixed research

• Exploratory research

• Longitudinal research

• Cross-sectional research

• Field research

• Laboratory research

• Fixed research

• Flexible research

• Action research

• Policy research

• Classification research

• Comparative research

• Causal research

• Inductive research

• Deductive research

5. How to write a hypothesis?

• Your hypothesis should be able to predict the relationship and outcome.

• Avoid wordiness by keeping it simple and brief.

• Your hypothesis should contain observable and testable outcomes.

• Your hypothesis should be relevant to the research question.

6. What are the 2 types of hypothesis?

• Null hypotheses are used to test the claim that "there is no difference between two groups of data".

• Alternative hypotheses test the claim that "there is a difference between two data groups".

7. Difference between research question and research hypothesis?

A research question is a broad, open-ended question you will try to answer through your research. A hypothesis is a statement based on prior research or theory that you expect to be true due to your study. Example - Research question: What are the factors that influence the adoption of the new technology? Research hypothesis: There is a positive relationship between age, education and income level with the adoption of the new technology.

8. What is plural for hypothesis?

The plural of hypothesis is hypotheses. Here's an example of how it would be used in a statement, "Numerous well-considered hypotheses are presented in this part, and they are supported by tables and figures that are well-illustrated."

9. What is the red queen hypothesis?

The red queen hypothesis in evolutionary biology states that species must constantly evolve to avoid extinction because if they don't, they will be outcompeted by other species that are evolving. Leigh Van Valen first proposed it in 1973; since then, it has been tested and substantiated many times.

10. Who is known as the father of null hypothesis?

The father of the null hypothesis is Sir Ronald Fisher. He published a paper in 1925 that introduced the concept of null hypothesis testing, and he was also the first to use the term itself.

11. When to reject null hypothesis?

You need to find a significant difference between your two populations to reject the null hypothesis. You can determine that by running statistical tests such as an independent sample t-test or a dependent sample t-test. You should reject the null hypothesis if the p-value is less than 0.05.

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Quantitative Data Presentation and Analysis: Inferential Analysis

• First Online: 01 October 2022

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• Rajkishore Nayak 5 &
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This chapter continues the process of quantitative data analysis by presenting the results of the inferential analysis, which includes Exploratory Factor Analysis (EFA), Confirmatory Factor Analysis (CFA), and hypothesis testing using Structural Equation Modelling (SEM).

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Hypothesis Testing in Data Science [Types, Process, Example]

Home Blog Data Science Hypothesis Testing in Data Science [Types, Process, Example]

In day-to-day life, we come across a lot of data lot of variety of content. Sometimes the information is too much that we get confused about whether the information provided is correct or not. At that moment, we get introduced to a word called “Hypothesis testing” which helps in determining the proofs and pieces of evidence for some belief or information.  

What is Hypothesis Testing?

Hypothesis testing is an integral part of statistical inference. It is used to decide whether the given sample data from the population parameter satisfies the given hypothetical condition. So, it will predict and decide using several factors whether the predictions satisfy the conditions or not. In simpler terms, trying to prove whether the facts or statements are true or not.   

For example, if you predict that students who sit on the last bench are poorer and weaker than students sitting on 1st bench, then this is a hypothetical statement that needs to be clarified using different experiments. Another example we can see is implementing new business strategies to evaluate whether they will work for the business or not. All these things are very necessary when you work with data as a data scientist.  If you are interested in learning about data science, visit this amazing  Data Science full course   to learn data science.    

How is Hypothesis Testing Used in Data Science?

It is important to know how and where we can use hypothesis testing techniques in the field of data science. Data scientists predict a lot of things in their day-to-day work, and to check the probability of whether that finding is certain or not, we use hypothesis testing. The main goal of hypothesis testing is to gauge how well the predictions perform based on the sample data provided by the population. If you are interested to know more about the applications of the data, then refer to this  D ata  Scien ce course in India  which will give you more insights into application-based things. When data scientists work on model building using various machine learning algorithms, they need to have faith in their models and the forecasting of models. They then provide the sample data to the model for training purposes so that it can provide us with the significance of statistical data that will represent the entire population.  

Where and When to Use Hypothesis Test?

Hypothesis testing is widely used when we need to compare our results based on predictions. So, it will compare before and after results. For example, someone claimed that students writing exams from blue pen always get above 90%; now this statement proves it correct, and experiments need to be done. So, the data will be collected based on the student's input, and then the test will be done on the final result later after various experiments and observations on students' marks vs pen used, final conclusions will be made which will determine the results. Now hypothesis testing will be done to compare the 1st and the 2nd result, to see the difference and closeness of both outputs. This is how hypothesis testing is done.  

How Does Hypothesis Testing Work in Data Science?

In the whole data science life cycle, hypothesis testing is done in various stages, starting from the initial part, the 1st stage where the EDA, data pre-processing, and manipulation are done. In this stage, we will do our initial hypothesis testing to visualize the outcome in later stages. The next test will be done after we have built our model, once the model is ready and hypothesis testing is done, we will compare the results of the initial testing and the 2nd one to compare the results and significance of the results and to confirm the insights generated from the 1st cycle match with the 2nd one or not. This will help us know how the model responds to the sample training data. As we saw above, hypothesis testing is always needed when we are planning to contrast more than 2 groups. While checking on the results, it is important to check on the flexibility of the results for the sample and the population. Later, we can judge on the disagreement of the results are appropriate or vague. This is all we can do using hypothesis testing.   

Different Types of Hypothesis Testing

Hypothesis testing can be seen in several types. In total, we have 5 types of hypothesis testing. They are described below:

1. Alternative Hypothesis

The alternative hypothesis explains and defines the relationship between two variables. It simply indicates a positive relationship between two variables which means they do have a statistical bond. It indicates that the sample observed is going to influence or affect the outcome. An alternative hypothesis is described using H a  or H 1 . Ha indicates an alternative hypothesis and H 1  explains the possibility of influenced outcome which is 1. For example, children who study from the beginning of the class have fewer chances to fail. An alternate hypothesis will be accepted once the statistical predictions become significant. The alternative hypothesis can be further divided into 3 parts.   

• Left-tailed: Left tailed hypothesis can be expected when the sample value is less than the true value.   
• Right-tailed: Right-tailed hypothesis can be expected when the true value is greater than the outcome/predicted value.    
• Two-tailed: Two-tailed hypothesis is defined when the true value is not equal to the sample value or the output.   

2. Null Hypothesis

The null hypothesis simply states that there is no relation between statistical variables. If the facts presented at the start do not match with the outcomes, then we can say, the testing is null hypothesis testing. The null hypothesis is represented as H 0 . For example, children who study from the beginning of the class have no fewer chances to fail. There are types of Null Hypothesis described below:   

Simple Hypothesis:  It helps in denoting and indicating the distribution of the population.   

Composite Hypothesis:  It does not denote the population distribution   

Exact Hypothesis:  In the exact hypothesis, the value of the hypothesis is the same as the sample distribution. Example- μ= 10   

Inexact Hypothesis:  Here, the hypothesis values are not equal to the sample. It will denote a particular range of values.   

3. Non-directional Hypothesis 

The non-directional hypothesis is a tow-tailed hypothesis that indicates the true value does not equal the predicted value. In simpler terms, there is no direction between the 2 variables. For an example of a non-directional hypothesis, girls and boys have different methodologies to solve a problem. Here the example explains that the thinking methodologies of a girl and a boy is different, they don’t think alike.    

4. Directional Hypothesis

In the Directional hypothesis, there is a direct relationship between two variables. Here any of the variables influence the other.   

5. Statistical Hypothesis

Statistical hypothesis helps in understanding the nature and character of the population. It is a great method to decide whether the values and the data we have with us satisfy the given hypothesis or not. It helps us in making different probabilistic and certain statements to predict the outcome of the population... We have several types of tests which are the T-test, Z-test, and Anova tests.  

Methods of Hypothesis Testing

1. frequentist hypothesis testing.

Frequentist hypotheses mostly work with the approach of making predictions and assumptions based on the current data which is real-time data. All the facts are based on current data. The most famous kind of frequentist approach is null hypothesis testing.    

2. Bayesian Hypothesis Testing

Bayesian testing is a modern and latest way of hypothesis testing. It is known to be the test that works with past data to predict the future possibilities of the hypothesis. In Bayesian, it refers to the prior distribution or prior probability samples for the observed data. In the medical Industry, we observe that Doctors deal with patients’ diseases using past historical records. So, with this kind of record, it is helpful for them to understand and predict the current and upcoming health conditions of the patient.

Importance of Hypothesis Testing in Data Science

Most of the time, people assume that data science is all about applying machine learning algorithms and getting results, that is true but in addition to the fact that to work in the data science field, one needs to be well versed with statistics as most of the background work in Data science is done through statistics. When we deal with data for pre-processing, manipulating, and analyzing, statistics play. Specifically speaking Hypothesis testing helps in making confident decisions, predicting the correct outcomes, and finding insightful conclusions regarding the population. Hypothesis testing helps us resolve tough things easily. To get more familiar with Hypothesis testing and other prediction models attend the superb useful  KnowledgeHut Data Science full course  which will give you more domain knowledge and will assist you in working with industry-related projects.          

Basic Steps in Hypothesis Testing [Workflow]

1. null and alternative hypothesis.

After we have done our initial research about the predictions that we want to find out if true, it is important to mention whether the hypothesis done is a null hypothesis(H0) or an alternative hypothesis (Ha). Once we understand the type of hypothesis, it will be easy for us to do mathematical research on it. A null hypothesis will usually indicate the no-relationship between the variables whereas an alternative hypothesis describes the relationship between 2 variables.    

• H0 – Girls, on average, are not strong as boys   
• Ha - Girls, on average are stronger than boys   

2. Data Collection

To prove our statistical test validity, it is essential and critical to check the data and proceed with sampling them to get the correct hypothesis results. If the target data is not prepared and ready, it will become difficult to make the predictions or the statistical inference on the population that we are planning to make. It is important to prepare efficient data, so that hypothesis findings can be easy to predict.   

3. Selection of an appropriate test statistic

To perform various analyses on the data, we need to choose a statistical test. There are various types of statistical tests available. Based on the wide spread of the data that is variance within the group or how different the data category is from one another that is variance without a group, we can proceed with our further research study.   

4. Selection of the appropriate significant level

Once we get the result and outcome of the statistical test, we have to then proceed further to decide whether the reject or accept the null hypothesis. The significance level is indicated by alpha (α). It describes the probability of rejecting or accepting the null hypothesis. Example- Suppose the value of the significance level which is alpha is 0.05. Now, this value indicates the difference from the null hypothesis. 

5. Calculation of the test statistics and the p-value

P value is simply the probability value and expected determined outcome which is at least as extreme and close as observed results of a hypothetical test. It helps in evaluating and verifying hypotheses against the sample data. This happens while assuming the null hypothesis is true. The lower the value of P, the higher and better will be the results of the significant value which is alpha (α). For example, if the P-value is 0.05 or even less than this, then it will be considered statistically significant. The main thing is these values are predicted based on the calculations done by deviating the values between the observed one and referenced one. The greater the difference between values, the lower the p-value will be.

6. Findings of the test

After knowing the P-value and statistical significance, we can determine our results and take the appropriate decision of whether to accept or reject the null hypothesis based on the facts and statistics presented to us.

How to Calculate Hypothesis Testing?

Hypothesis testing can be done using various statistical tests. One is Z-test. The formula for Z-test is given below:  

            Z = ( x̅  – μ 0 )  / (σ /√n)    

In the above equation, x̅ is the sample mean   

• μ0 is the population mean   
• σ is the standard deviation    
• n is the sample size   

Now depending on the Z-test result, the examination will be processed further. The result is either going to be a null hypothesis or it is going to be an alternative hypothesis. That can be measured through below formula-   

• H0: μ=μ0   
• Ha: μ≠μ0   
• Here,   
• H0 = null hypothesis   
• Ha = alternate hypothesis   

In this way, we calculate the hypothesis testing and can apply it to real-world scenarios.

Real-World Examples of Hypothesis Testing

Hypothesis testing has a wide variety of use cases that proves to be beneficial for various industries.    

1. Healthcare

In the healthcare industry, all the research and experiments which are done to predict the success of any medicine or drug are done successfully with the help of Hypothesis testing.   

2. Education sector

Hypothesis testing assists in experimenting with different teaching techniques to deal with the understanding capability of different students.   

3. Mental Health

Hypothesis testing helps in indicating the factors that may cause some serious mental health issues.   

4. Manufacturing

Testing whether the new change in the process of manufacturing helped in the improvement of the process as well as in the quantity or not.  In the same way, there are many other use cases that we get to see in different sectors for hypothesis testing. 

Error Terms in Hypothesis Testing

1. type-i error.

Type I error occurs during the process of hypothesis testing when the null hypothesis is rejected even though it is accurate. This kind of error is also known as False positive because even though the statement is positive or correct but results are given as false. For example, an innocent person still goes to jail because he is considered to be guilty.   

2. Type-II error

Type II error occurs during the process of hypothesis testing when the null hypothesis is not rejected even though it is inaccurate. This Kind of error is also called a False-negative which means even though the statements are false and inaccurate, it still says it is correct and doesn’t reject it. For example, a person is guilty, but in court, he has been proven innocent where he is guilty, so this is a Type II error.   

3. Level of Significance

The level of significance is majorly used to measure the confidence with which a null hypothesis can be rejected. It is the value with which one can reject the null hypothesis which is H0. The level of significance gauges whether the hypothesis testing is significant or not.   

P-value stands for probability value, which tells us the probability or likelihood to find the set of observations when the null hypothesis is true using statistical tests. The main purpose is to check the significance of the statistical statement.   

5. High P-Values

A higher P-value indicates that the testing is not statistically significant. For example, a P value greater than 0.05 is considered to be having higher P value. A higher P-value also means that our evidence and proofs are not strong enough to influence the population.

In hypothesis testing, each step is responsible for getting the outcomes and the results, whether it is the selection of statistical tests or working on data, each step contributes towards the better consequences of the hypothesis testing. It is always a recommendable step when planning for predicting the outcomes and trying to experiment with the sample; hypothesis testing is a useful concept to apply.   

Frequently Asked Questions (FAQs)

We can test a hypothesis by selecting a correct hypothetical test and, based on those getting results.   

Many statistical tests are used for hypothetical testing which includes Z-test, T-test, etc. 

Hypothesis helps us in doing various experiments and working on a specific research topic to predict the results.   

The null and alternative hypothesis, data collection, selecting a statistical test, selecting significance value, calculating p-value, check your findings.    

In simple words, parametric tests are purely based on assumptions whereas non-parametric tests are based on data that is collected and acquired from a sample.   

Gauri Guglani

Gauri Guglani works as a Data Analyst at Deloitte Consulting. She has done her major in Information Technology and holds great interest in the field of data science. She owns her technical skills as well as managerial skills and also is great at communicating. Since her undergraduate, Gauri has developed a profound interest in writing content and sharing her knowledge through the manual means of blog/article writing. She loves writing on topics affiliated with Statistics, Python Libraries, Machine Learning, Natural Language processes, and many more.

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