Multivariate Techniques Paper Research Example | Topics and Well Written Essays - 1500 words

Multivariate Techniques - Research Paper ExampleIn view of the possible in cohesiveness due to the management restructuring at Company W, retraining of Company Ws surpass management in key departments such as sales, marketing, and production is vital. In addition, the top management at WidgeCorp needs statistically verifiable conclusions on issues and recommendations resulting from broad management restructuring agenda. The purpose of this root is to discuss the use of portion abridgment as a statistical data epitome technique, spotlight some of its real life applications, and demonstrate its applicability to company W. Keywords Exploratory factor compend (EFA), supportive factor analysis (CFA) Factor Analysis Introduction Acquisition is a corporate strategy in wide use by organizations that seek to increase their market presence, lower operation costs, or obey profitability in unfavorable economic conditions. One of the major challenges facing mergers and acquisitions, whi ch accounts for many getures associated with the process, is lack of coherence and incompatibility in the management teams of the corporate entities involved. A disconcerting 50% of merger and acquisition deals fail due to a number of factors, one of which is the inability to reconcile the management cultures of the companies involved (Monahan, 2000). Therefore, a fortunate acquisition does not end with the formalization of the acquisition process, but with retraining and restructuring to ensure retention of symmetry in the management structures of the two companies. The integration process is delicate, and needs careful deliberation and planning by the top management so that it does not defeat the purpose of the acquisition. This summary seeks to explain the effects of execution of factor analysis in Company W. Admittedly, subjective judgment and experience present glaring limitations as decision-making techniques (Monahan, 2000). Despite the proven effectiveness of multivariate statistical analysis techniques such as factor analysis techniques, WidgeCorp should not undermine the possible benefits that traditional methods used at Company W might cracking the new corporate conglomerate. The management should aim to bring the best practices from either side of the management decorate to benefit from the synergies appropriately (Monahan, 2000). The transition to a common management approach should be as swimmingly as possible, and should aim to win the cooperation of the employees the changes will affect the most. What is Factor Analysis? Factor analysis is a statistical analysis technique that explains the variation and correlation of variables with the use of uncorrelated, unobserved variables known as factors (DeCoster, 1998). statistical researchers hail Charles Spearman, a psychologist, as the pioneer in the practical application of factor analysis. Factor analysis is highly applicable to social sciences and in business in areas such as marketing, prod uction, and sales (DeCoster, 1998). The technique is highly effective in areas that involve the processing of very large quantities of data. The overriding premise of factor analysis is that factors that have high correlation share the same driving factors and vice versa. Factor analysis assumes two forms exploratory factor analysis (EFA), and confirmatory factor analy