Statistics

Statistics are often used as a drunkard uses a lamppost, not to light his way but, to support his instability.

Someone has said: "There are three kinds of lies,viz lies, damnable lies and statistics!"

Whenever we collect business statistics, we must keep these words in mind. Collection of statistics costs a lot of money and time and if not done wisely, can mean money down the drain. In several situations, the concept of sense of approximation should be applied. Just make a guess, and very often this may be cheaper and faster than collecting detailed information or statistics. Statistics are no subtitute for judgement. Therefore, when collected using a bit of common sense, statistics can help in taking better and faster decisions.
Most of us would recall the story about statistician who, going by the average depth of river, drowned in the middle.

On statistics, George Bernard Shaw has also very wisely said;

"Of all damnable waste of human life, clerking is the worst. Fifty thousand entries a year that poor wretch makes and mot ten of fifty thousand are reffered to again"

Total dependence on statistics can be misleading.