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Leading Practices For Applying Variance. The first draft of the 2017 budget with Apptio IT Planning was generated in a few hours and they moved from two quarterly forecasts to four. With automation comes opportunity.
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They set criteria for sampling the population based on ethnicity income group regions education level salary and religion so that the population is completely represented by the samples. Keep going round this loop reducing the variance until you believe that there is no more you can do and it is as good as it is going to get. A number of basic variances can be calculated.
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With automation comes opportunity. If we move to higher level statistical analysis then the variance has many practical applications but only when dealing with higher level analysis which is not the focus of the vast majority. The general formula for variance decomposition or the law of total variance is. A number of basic variances can be calculated.
