Our Industry is Changing – What’s Going On?

"In real life, managers don't do as much number crunching as they think. In fact, managers are primarily idea crunchers: They spend most of their time trying to persuade people with their assertions but they rarely realize the extent to which their assertions rest on unproved assumptions” says Victor McGee, professor ,Tuck School of Business.

Anchor decisions in good data.

Anchoring - People process information based on previous context. Dr. Dennis Folds, Georgia Tech, funded by The Army Research Institute

Credible & UnbiasedWill the source tell you what you want to hear, what they want you to hear Is the input being provided for the benefit of the source or the benefit of the enterprise?

Statistics Canada - Monthly Retail Trade Survey Data is collected for all units of the target population; therefore, no sampling is done. Responding to this survey is mandatory. A 100% response rate is attained; therefore imputation is not necessary.

Apparent Domestic Market, Imports, Exports, Manufacturing, Shipments, Inventory, Orders, Retail Sales, Sales by Store Type, by Product Group, Wholesale, Price Indexes, by Province, Labour Hours, Hourly Rates, Fixed Salaries, Revenues, Expenses, Profits

Statistics Canada• 333 industry categories & sub-categories by 6 Principle Statistics• 351 Product Categories & sub-categories for Imports & Exports • 28 types of stores for 142 product classifications• 361 Work Hours, Hourly Rates, Salaries for industries and retail stores by

province • 351 price Indexes covering the manufacturing, wholesale and consumers

 “Whooptydoo. But what does it all mean Basil?”  Austin Powers: The Spy Who Shagged Me

Which pond are you fishing in?

2011

$ Billion $46 $12• Consulting -$9.1• Tech. Support-$3• Hosting-$1.9• Web Design-$1.1

$12 $6

Financial Crisis

The Market has recovered from 2009 low but it’s different.

What is Retail ? …….Home Office, Small Business, VARs

Computer PortableQ1 2010 Q2 2012

131.2 93.41,000.00$ 711.89$

Price Indexes

(2007 =100)

(1,000/131.2*93.4)

June 2011 – June 2012

Estimated Annual

January February March April May June Salary (a)

Electronics and appliance stores -$ Canada 17.76$ 18.25$ 17.05$ 17.96$ 17.11$ 15.10$ 31,408.00$ Quebec 18.41$ 18.93$ 17.59$ 17.69$ 18.38$ 17.04$ 35,443.20$ Ontario 17.48$ 17.74$ 16.09$ 17.99$ 16.90$ 14.36$ 29,868.80$ Manitoba 14.24$ 17.96$ 14.47$ 14.39$ 12.76$ F

2012

Labour - Hourly Rates

?

Not all managers need to do analysis but they need to know some numbers (context). StatsCan is a good start.

There are 3 choices:1) take market share from competitors2) grow market3) Expand to new sectors

What market are you in?

15 minutes: Industries, Product, Price indexes, Labour

$46B $12B $6B

Bob SmithBusiness Stats Canadawww.businessstats.ca