Time Series

In today’s era, forecasting is the basic need to develop any business. As compared to traditional time, presently the need of time series has been growing rapidly. To make effective decisions and analyze things for the organization, time series has been the important part of the organization.

 

Time series is simply a sequence of well-defined data points that are measured at consistent time intervals over a period of time. Time series analysis uses statistical methods to analyze time series data and also to extract meaningful characteristics about the data.

 

Time series is based on forecasting. It understands the past and accordingly predicts the future. Time series helps in various analysis such as-

  • In the descriptive analysis, it is used to identify cyclic patterns or turning points to determine trends and pattern.
  • In spectral analysis, it is used to separate periodic or cyclic components.
  • Based on historical trends, it is extensively used for business forecasting, budgeting etc.
  • On organization level, it is used to examine employ’s performance that is improved or not.