INTRODUCTION

As you learned from this week's module, both metrics and KPIs are quantifiable measures that track success, but KPIs measure strategic objectives and goals whereas metrics measure tactical objectives.

As an analyst, you will use metrics and KPIs every day. Those involved in solving the business problem will also need to know what the quantifiable measures are in your data.

A primary function of business and data analysis is to make sure that all the requirements for a company's success are identified and analyzed properly. A majority of the time, you will use metrics that are very popular and already established in the industry, but there are times when businesses create company-specific metrics.

When you work with company-specific metrics, it is important to truly understand what they measure, what success means for that measure, and what failure looks like for that measure.

Read the following article from Medium titled "An Overview of Business Metrics for Data-Driven Companies" to get a better sense the different kinds of metrics you might use on-the-job, and then use the information from this article as well as what you learned in class to complete this week's assignment about Business Metrics & KPIs

SCENARIO

Nirvana Yoga Gear is an established yoga clothing and accessory company that manufactures socially responsible garments for the yoga enthusiast. Established in 2015, their mission is to provide the yoga-centric consumer with a high-quality, eco-friendly yoga clothing option at a moderate price-point. Nirvana's current sales channel is direct-to-consumer via online storefront. Nirvana executive management has data which suggests that they should consider opening their first brick-and-mortar store. Launch sites include New York City, San Francisco, Los Angeles and Chicago. Nirvana has turned to you to provide them with analytics that will help determine which city location will be the best place to launch in order to increase market share.

INSTRUCTIONS

Read the scenario above and answer the following 5 questions, justify your answer for each question with minimum 5 sentences:

1. State the business question/problem that you are addressing. Are there any questions you might ask of management before you begin?

2. What would be your initial approach to answering this question?

3. What metric(s) and KPI(s) would you consider to be most important to address the question?

4. What data would you need to calculate these metric(s)/KPI(s)?

5. What data from Question 3 would you expect Nirvana to have? What data, if any, do you believe would need to be collected specifically for your analysis?

Note: For the first two questions think about what we learned in Business Framing to address these two questions, such as coming up and stating a business problem statement, and the initial approach should encompass the three components of framing business problems.