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What are analytical skills? Examples and how to level up

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What are analytical skills?

Why are analytical skills important, 9 analytical skills examples, how to improve analytical skills, how to show analytical skills in a job application, the benefits of an analytical mind.

With market forecasts, performance metrics, and KPIs, work throws a lot of information at you. 

If you want to stay ahead of the curve, not only do you have to make sense of the data that comes your way — you need to put it to good use. And that requires analytical skills.

You likely use analytical thinking skills every day without realizing it, like when you solve complex problems or prioritize tasks . But understanding the meaning of analysis skills in a job description, why you should include them in your professional development plan, and what makes them vital to every position can help advance your career.

Analytical skills, or analysis skills, are the ones you use to research and interpret information. Although you might associate them with data analysis, they help you think critically about an issue, make decisions , and solve problems in any context. That means anytime you’re brainstorming for a solution or reviewing a project that didn’t go smoothly, you’re analyzing information to find a conclusion. With so many applications, they’re relevant for nearly every job, making them a must-have on your resume.

Analytical skills help you think objectively about information and come to informed conclusions. Positions that consider these skills the most essential qualification grew by 92% between 1980 and 2018 , which shows just how in-demand they are. And according to Statista, global data creation will grow to more than 180 zettabytes by 2025 — a number with 21 zeros. That data informs every industry, from tech to marketing.

Even if you don’t interact with statistics and data on the job, you still need analytical skills to be successful. They’re incredibly valuable because:

• They’re transferable: You can use analysis skills in a variety of professional contexts and in different areas of your life, like making major decisions as a family or setting better long-term personal goals.
• They build agility: Whether you’re starting a new position or experiencing a workplace shift, analysis helps you understand and adapt quickly to changing conditions. 
• They foster innovation: Analytical skills can help you troubleshoot processes or operational improvements that increase productivity and profitability.
• They make you an attractive candidate: Companies are always looking for future leaders who can build company value. Developing a strong analytical skill set shows potential employers that you’re an intelligent, growth-oriented candidate.

If the thought of evaluating data feels unintuitive, or if math and statistics aren’t your strong suits, don’t stress. Many examples of analytical thinking skills don’t involve numbers. You can build your logic and analysis abilities through a variety of capacities, such as:

1. Brainstorming

Using the information in front of you to generate new ideas is a valuable transferable skill that helps you innovate at work . Developing your brainstorming techniques leads to better collaboration and organizational growth, whether you’re thinking of team bonding activities or troubleshooting a project roadblock. Related skills include benchmarking, diagnosis, and judgment to adequately assess situations and find solutions.

2. Communication

Becoming proficient at analysis is one thing, but you should also know how to communicate your findings to your audience — especially if they don’t have the same context or experience as you. Strong communication skills like public speaking , active listening , and storytelling can help you strategize the best ways to get the message out and collaborate with your team . And thinking critically about how to approach difficult conversations or persuade someone to see your point relies on these skills. 

3. Creativity

You might not associate analysis with your creativity skills, but if you want to find an innovative approach to an age-old problem, you’ll need to combine data with creative thinking . This can help you establish effective metrics, spot trends others miss, and see why the most obvious answer to a problem isn’t always the best. Skills that can help you to think outside the box include strategic planning, collaboration, and integration.

4. Critical thinking

Processing information and determining what’s valuable requires critical thinking skills . They help you avoid the cognitive biases that prevent innovation and growth, allowing you to see things as they really are and understand their relevance. Essential skills to turn yourself into a critical thinker are comparative analysis, business intelligence, and inference.

5. Data analytics

When it comes to large volumes of information, a skilled analytical thinker can sort the beneficial from the irrelevant. Data skills give you the tools to identify trends and patterns and visualize outcomes before they impact an organization or project’s performance. Some of the most common skills you can develop are prescriptive analysis and return on investment (ROI) analysis.

6. Forecasting

Predicting future business, market, and cultural trends better positions your organization to take advantage of new opportunities or prepare for downturns. Business forecasting requires a mix of research skills and predictive abilities, like statistical analysis and data visualization, and the ability to present your findings clearly.

7. Logical reasoning

Becoming a logical thinker means learning to observe and analyze situations to draw rational and objective conclusions. With logic, you can evaluate available facts, identify patterns or correlations, and use them to improve decision-making outcomes. If you’re looking to improve in this area, consider developing inductive and deductive reasoning skills.

8. Problem-solving

Problem-solving appears in all facets of your life — not just work. Effectively finding solutions to any issue takes analysis and logic, and you also need to take initiative with clear action plans . To improve your problem-solving skills , invest in developing visualization , collaboration, and goal-setting skills.

9. Research

Knowing how to locate information is just as valuable as understanding what to do with it. With research skills, you’ll recognize and collect data relevant to the problem you’re trying to solve or the initiative you’re trying to start. You can improve these skills by learning about data collection techniques, accuracy evaluation, and metrics.

You don’t need to earn a degree in data science to develop these skills. All it takes is time, practice, and commitment. Everything from work experience to hobbies can help you learn new things and make progress. Try a few of these ideas and stick with the ones you enjoy:

1. Document your skill set

The next time you encounter a problem and need to find solutions, take time to assess your process. Ask yourself:

• What facts are you considering?
• Do you ask for help or research on your own? What are your sources of advice?
• What does your brainstorming process look like?
• How do you make and execute a final decision?
• Do you reflect on the outcomes of your choices to identify lessons and opportunities for improvement?
• Are there any mistakes you find yourself making repeatedly?
• What problems do you constantly solve easily? 

These questions can give insight into your analytical strengths and weaknesses and point you toward opportunities for growth.

2. Take courses

Many online and in-person courses can expand your logical thinking and analysis skills. They don’t necessarily have to involve information sciences. Just choose something that trains your brain and fills in your skills gaps . 

Consider studying philosophy to learn how to develop your arguments or public speaking to better communicate the results of your research. You could also work on your hard skills with tools like Microsoft Excel and learn how to crunch numbers effectively. Whatever you choose, you can explore different online courses or certification programs to upskill. 

3. Analyze everything

Spend time consciously and critically evaluating everything — your surroundings, work processes, and even the way you interact with others. Integrating analysis into your day-to-day helps you practice. The analytical part of your brain is like a muscle, and the more you use it, the stronger it’ll become. 

After reading a book, listening to a podcast, or watching a movie, take some time to analyze what you watched. What were the messages? What did you learn? How was it delivered? Taking this approach to media will help you apply it to other scenarios in your life. 

If you’re giving a presentation at work or helping your team upskill , use the opportunity to flex the analytical side of your brain. For effective teaching, you’ll need to process and analyze the topic thoroughly, which requires skills like logic and communication. You also have to analyze others’ learning styles and adjust your teachings to match them. 

5. Play games

Spend your commute or weekends working on your skills in a way you enjoy. Try doing logic games like Sudoku and crossword puzzles during work breaks to foster critical thinking. And you can also integrate analytical skills into your existing hobbies. According to researcher Rakesh Ghildiyal, even team sports like soccer or hockey will stretch your capacity for analysis and strategic thinking . 

6. Ask questions

According to a study in Tr ends in Cognitive Sciences, being curious improves cognitive function , helping you develop problem-solving skills, retention, and memory. Start speaking up in meetings and questioning the why and how of different decisions around you. You’ll think more critically and even help your team find breakthrough solutions they otherwise wouldn’t.

7.Seek advice

If you’re unsure what analytical skills you need to develop, try asking your manager or colleagues for feedback . Their outside perspective offers insight you might not find within, like patterns in. And if you’re looking for more consistent guidance, talking to a coach can help you spot weaknesses and set goals for the long term.

8. Pursue opportunities

Speak to your manager about participating in special projects that could help you develop and flex your skills. If you’d like to learn about SEO or market research, ask to shadow someone in the ecommerce or marketing departments. If you’re interested in business forecasting, talk to the data analysis team. Taking initiative demonstrates a desire to learn and shows leadership that you’re eager to grow. 

Shining a spotlight on your analytical skills can help you at any stage of your job search. But since they take many forms, it’s best to be specific and show potential employers exactly why and how they make you a better candidate. Here are a few ways you can showcase them to the fullest:

1. In your cover letter

Your cover letter crafts a narrative around your skills and work experience. Use it to tell a story about how you put your analytical skills to use to solve a problem or improve workflow. Make sure to include concrete details to explain your thought process and solution — just keep it concise. Relate it back to the job description to show the hiring manager or recruiter you have the qualifications necessary to succeed.

2. On your resume

Depending on the type of resume you’re writing, there are many opportunities to convey your analytical skills to a potential employer. You could include them in sections like: 

• Professional summary: If you decide to include a summary, describe yourself as an analytical person or a problem-solver, whichever relates best to the job posting. 
• Work experience: Describe all the ways your skill for analysis has helped you perform or go above and beyond your responsibilities. Be sure to include specific details about challenges and outcomes related to the role you’re applying for to show how you use those skills. 
• Skills section: If your resume has a skill-specific section, itemize the analytical abilities you’ve developed over your career. These can include hard analytical skills like predictive modeling as well as interpersonal skills like communication.

3. During a job interview

As part of your interview preparation , list your professional accomplishments and the skills that helped along the way, such as problem-solving, data literacy, or strategic thinking. Then, pull them together into confident answers to common interview questions using the STAR method to give the interviewer a holistic picture of your skill set.

Developing analytical skills isn’t only helpful in the workplace. It’s essential to life. You’ll use them daily whenever you read the news, make a major purchase, or interact with others. Learning to critically evaluate information can benefit your relationships and help you feel more confident in your decisions, whether you’re weighing your personal budget or making a big career change .

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Elizabeth Perry, ACC

Elizabeth Perry is a Coach Community Manager at BetterUp. She uses strategic engagement strategies to cultivate a learning community across a global network of Coaches through in-person and virtual experiences, technology-enabled platforms, and strategic coaching industry partnerships. With over 3 years of coaching experience and a certification in transformative leadership and life coaching from Sofia University, Elizabeth leverages transpersonal psychology expertise to help coaches and clients gain awareness of their behavioral and thought patterns, discover their purpose and passions, and elevate their potential. She is a lifelong student of psychology, personal growth, and human potential as well as an ICF-certified ACC transpersonal life and leadership Coach.

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Analytical Thinking vs Problem Solving: A Comprehensive Comparison

Analytical thinking and problem solving are crucial skills in various aspects of life, including personal and professional situations. While they may seem interchangeable, there are distinct differences between the two. Analytical thinking focuses on breaking down complex information into smaller, manageable components to understand a situation and evaluate alternatives effectively. On the other hand, problem solving involves devising practical solutions to overcome challenges or resolve issues that arise in daily life or the workplace.

Both analytical thinking and problem-solving skills contribute to making well-informed decisions, managing risks, and achieving success in various areas of life. By understanding these skills’ distinctions and applying them effectively, individuals can enhance their performance in the workplace, handle complex situations with ease, and make better choices in their personal lives.

Key Takeaways

• Analytical thinking is about understanding complex situations, while problem-solving focuses on finding practical solutions.
• Mastery of both skills leads to informed decision-making and improved risk management.
• These abilities are essential for workplace success and overall personal growth.

Understanding Analytical Thinking

Nature of Analytical Thinking

Analytical thinking refers to a mental process in which a person systematically breaks down complex problems or situations into smaller, manageable components. This enables the identification of essential elements and their relationships, leading to an effective solution. Analytical thinkers excel in identifying patterns, interpreting data, and drawing conclusions based on factual information. Unlike reactive problem-solving, which focuses on finding immediate remedies, analytical thinking is strategic in nature, seeking long-term solutions by addressing the root causes of a problem.

Key components of analytical thinking include reasoning, fact-checking, and questioning assumptions. This skill set allows individuals to approach problems with an open mind, meticulously gather and analyze data, and make well-informed decisions. Ultimately, analytical thinking leads to more informed and strategic decision-making, increasing the likelihood of success in professional and personal endeavors.

How Analytical Thinking Works

The process of analytical thinking unfolds in several stages:

• Identify the problem or situation : Determine the issue that needs addressing and clearly define its scope.
• Gather relevant data : Collect information related to the problem from various sources, ensuring its accuracy and reliability.
• Break down the problem : Dissect the problem into smaller, manageable parts to gain a better understanding of its intricacies.
• Analyze and interpret data : Examine the data to identify patterns, trends, and relationships, and derive insights using logical reasoning.
• Question assumptions : Challenge any preconceived notions or biases that may skew the analysis and arrive at the most objective conclusions possible.
• Generate solutions : Propose potential solutions based on the analysis, weighing their pros and cons.

It is important to note that analytical thinking is not solely reserved for mathematicians or scientists but is a valuable skill applicable to a wide range of disciplines and professions. From business analysts, who require analytical thinking and problem-solving skills to identify and implement changes, to daily decision-making in personal lives, analytical reasoning plays a vital role in successfully navigating through various complexities.

Significance of Problem Solving

Features of problem solving.

Problem solving is an essential skill that helps individuals and organizations tackle challenges effectively. Problem-solving skills enable individuals to identify problems or obstacles, analyze the situation, and find appropriate solutions. These skills include critical thinking, analytical reasoning, decision-making, and learning from the process. People with strong problem-solving abilities can better cope with stress, handle risk, and adapt to change in a fast-paced environment.

In the context of decision-making, problem solving requires individuals to evaluate multiple options and select the one with the highest probability of success. A well-developed thinking process is crucial to identifying and analyzing creative solutions, as it helps individuals see beyond the apparent issues and delve deeper into the underlying causes.

Process of Problem Solving

The process of problem-solving typically involves several stages:

• Identify the problem : Recognizing the issue at hand and understanding its impact on the situation.
• Gather information : Collecting relevant data and facts that will help in understanding the problem.
• Analyze the problem : Examining the situation, breaking it into smaller parts, and identifying the root causes.
• Generate solutions : Brainstorming various possible solutions and evaluating their feasibility.
• Choose the best solution : Using decision-making skills to select the most suitable solution based on available information.
• Implement the solution : Putting the chosen solution into action and monitoring its effectiveness.
• Evaluate and learn : Reflecting on the outcomes and learning from the experience for future problem-solving situations.

By sharpening problem-solving skills and employing an organized thinking process, individuals can enhance their abilities to overcome challenges and make informed decisions, leading to personal and professional growth.

Comparing Analytical Thinking and Problem Solving

Similarities.

Both analytical thinking and problem solving involve the process of breaking down complex situations into smaller, manageable components. In both approaches, individuals need to evaluate the information at hand, identify patterns, and derive conclusions based on the evidence. This often involves receiving feedback, adapting to new information, and adjusting one’s approach.

Moreover, practicing both analytical thinking and problem-solving techniques can lead to improved decision-making abilities. This development, in turn, translates into greater efficiency and effectiveness in personal and professional contexts.

Differences

While analytical thinking and problem solving share some similarities, they also have notable differences. Analytical thinking typically follows a linear and sequential process, whereas problem solving might involve iterative processes and creative solutions.

Analytical thinking often focuses on dissecting a situation or a problem, looking for underlying patterns, and finding ways to logically deduce solutions. On the other hand, problem solving might require a combination of analytical and creative thinking, especially when faced with novel or ambiguous challenges. Problem solvers often need to develop unique strategies and evaluate alternative solutions before settling on the most effective approach.

In conclusion, analytical thinking and problem-solving, while both essential skills, have distinct applications and methods, and their effective use can be instrumental in achieving success in various aspects of life.

Ways to Improve Both Techniques

Developing analytical thinking.

Developing analytical thinking is vital for individuals seeking to improve their problem-solving abilities. One effective strategy is to practice creative activities, such as brainstorming or solving puzzles, to challenge the brain and foster development. Engaging in these tasks allows for the creation of new connections and enhances cognitive flexibility.

Another useful approach is to focus on communication and the art of listening. Active listening enables a better understanding of various perspectives and leads to well-informed decisions. Moreover, discussing complex topics can strengthen one’s ability to analyze and evaluate information effectively.

Collaborating with others can also help individuals enhance their analytical thinking skills. By working together, people can build on each other’s strengths and overcome challenges. Additionally, they can exchange ideas and learn from different viewpoints, which may lead to innovative solutions.

Enhancing Problem Solving Skills

To enhance problem-solving skills, one must be willing to take action and embrace challenges. Tackling problems head-on allows for growth and the development of practical strategies. Regular practice is essential for refining these skills and building confidence in decision-making.

Integrating soft skills, such as empathy and adaptability, play an essential role in problem-solving. Employing these abilities can improve interpersonal communication and contribute to the formation of more effective solutions.

Utilizing a methodical approach to problem-solving can also yield positive results. Techniques like breaking down complex issues into manageable steps or generating multiple possible solutions can enable a more comprehensive analysis, increasing the likelihood of success in overcoming challenges.

Finally, don’t shy away from seeking feedback from peers and mentors. Constructive criticism can highlight areas for improvement and further facilitate the development of both analytical thinking and problem-solving skills. Remember, the key to growth lies in continuous learning and adapting to new situations with confidence and clarity.

Importance in Workplace and Career Success

Relevance in the workplace.

Analytical thinking and problem solving play crucial roles in the workplace. These skills enable employees to efficiently tackle a variety of tasks and challenges. Analytical thinking refers to gathering, organizing, and evaluating information to detect patterns and identify problems. Effective problem solving involves devising creative solutions based on these findings 1 . In the modern workplace, individuals with strong analytical thinking skills can identify issues and make well thought-out decisions that contribute to overall company success 2 .

Effective communication is an important aspect of analytical thinking and problem solving. In a professional setting, employees must often convey their findings and ideas to stakeholders, ensuring that solutions are implemented appropriately and any concerns are addressed. This communication can lead to improved collaboration, clearer goals, and faster resolution of issues 3 .

Implication for Career Success

In addition to benefitting the workplace as a whole, strong analytical thinking and problem-solving skills are critical for individual career success. These skills can help professionals stand out among their peers and demonstrate their value to their organization. Professionals who can apply analytical thinking and problem-solving techniques are viewed as being able to think critically, make decisions, and take initiative, which are all highly valued by employers 4 .

Individuals who possess these skills are often able to make more informed judgments and sound decisions. This can lead to career advancement and job stability, as they are viewed as capable and dependable. Developing analytical thinking and problem-solving abilities can also open doors to new opportunities and industries, making individuals more versatile and efficient in their careers 5 .

Role in Decision Making and Risk Management

Influence on decision making.

Analytical thinking plays a crucial role in decision making, as it involves breaking things down into their component parts and using deductive reasoning to draw conclusions from given evidence and assumptions source . This allows individuals and organizations to carefully consider the pros and cons of each option, determine the feasibility of implementing potential solutions, and weigh the costs and benefits associated with each decision.

Problem-solving, on the other hand, is an analytical method that focuses on identifying potential solutions to specific situations source , sometimes requiring personal decision-making that may involve judgments or decisions on the way to find the best outcome. Both analytical thinking and problem-solving contribute to effective decision-making processes, as they provide tools and techniques for examining different courses of action and limiting uncertainties.

Contribution to Risk Management

Risk management is a critical aspect of decision-making, as it helps organizations and individuals identify, assess, and mitigate potential risks associated with various decisions. Analytical thinking contributes to risk management by enabling decision-makers to collect and analyze data, evaluate risks and their potential consequences, and make informed decisions based on the results source .

Similarly, problem-solving assists in risk management by addressing potential challenges that may arise during the implementation of solutions, such as examining potential obstacles, resource constraints, and other factors that may impact the success of an initiative source . By combining the strengths of both analytical thinking and problem-solving, decision-makers can enhance their risk management strategies and ensure a higher probability of success in their respective decisions.

In summary, analytical thinking and problem-solving are essential tools in decision-making and risk management, as they provide the necessary framework for evaluating options, weighing potential outcomes, and identifying potential challenges. By utilizing these methods, decision-makers can make more informed choices and mitigate potential risks associated with their decisions.

Utilization in Business Analysis

Application in business analysis.

Analytical thinking and problem solving are essential skills for business analysts in their day-to-day work. They are responsible for identifying, researching, and understanding complex business problems, as well as finding effective solutions to address them. By using their analytical thinking skills, business analysts can gather, assess, and interpret data from various sources to develop a comprehensive understanding of the situation at hand [1] .

When approaching a problem, business analysts consider several key factors, such as people, processes, and technology. They employ systems thinking to understand the enterprise holistically and how all these elements interact. This mindset helps them to not only identify the root cause of a problem, but also to develop solutions that address the underlying issues effectively [2] .

Understanding Financial Data

One key area where business analysts apply their analytical and problem-solving skills is in the realm of financial data. Here, they are tasked with interpreting complex financial information to derive valuable insights and make informed decisions for the organization.

In this context, their analytical thinking skills enable business analysts to:

• Gather relevant financial data from multiple sources
• Identify patterns, trends, and potential issues
• Assess the quality and accuracy of the data
• Develop conclusions and recommendations based on the analyzed data

By employing problem-solving skills, business analysts can:

• Understand the impact of financial data on business processes and performance
• Identify potential areas for improvement or optimization
• Propose and evaluate relevant solutions for financial issues [3]

Overall, business analysis relies heavily on the combination of analytical thinking and problem-solving skills to address various challenges faced by organizations. The ability to understand and interpret financial data significantly contributes to the success and growth of any enterprise.

Real Life Examples

Analytical thinking and problem solving are essential skills in both personal and professional life. They allow individuals to tackle complex issues, identify the root causes, and develop effective solutions. Let’s examine some real-life examples that emphasize the differences between these two thought processes.

In the workplace, an employee might face a challenge in increasing sales. Applying analytical thinking , the individual would gather data, identify patterns, and evaluate market trends to understand the factors impacting sales performance. With this information, they can determine which areas need improvement and develop targeted strategies to address the issue. For example, they may discover that customers are dissatisfied with the available products in a particular category, prompting changes in the company’s product offering.

On the other hand, problem-solving involves addressing specific situations, such as dealing with a dissatisfied customer. In this instance, the employee would need to rely on their experience and emotional intelligence to find a solution. They would listen to the customer’s concerns, empathize with their feelings, and proactively offer options to resolve the problem. This process may include correcting mistakes made during a transaction or offering compensation for a negative experience.

Another example can be found in the realm of personal finance. Analytical thinking would be employed to evaluate one’s financial situation and understand patterns in spending habits. This analysis could reveal areas where money may be saved or better utilized. For instance, it may uncover excessive spending on dining out or ineffective monthly budgeting practices.

Conversely, problem-solving can come into play when an unexpected financial emergency occurs. In such cases, one would need to quickly evaluate the situation and devise creative solutions to address the crisis. This might involve temporarily reducing non-essential expenses, seeking additional sources of income, or negotiating payment plans with creditors.

In both of these real-life scenarios, analytical thinking and problem-solving work in tandem, complementing each other to achieve effective outcomes. While individuals may favor one approach over the other, it is crucial to recognize and develop both skillsets to navigate the complexities of modern life successfully.

• https://www.glassdoor.com/blog/guide/analytical-thinking/ ↩
• https://www.indeed.com/career-advice/career-development/problem-solving-and-decision-making ↩
• https://www.radford.edu/content/cobe/innovation-analytics/analytics/career-prep/report-e.html ↩
• https://www.indeed.com/career-advice/career-development/critical-thinking-vs-problem-solving ↩
• https://www.amanet.org/analytical-thinking-problem-solving-and-decision-making/ ↩

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We all solve problems on a daily basis, in academic situations, at work and in our day-to-day lives.  Some of the problems that are typically faced by students include: 

• Putting together an argument for an essay
• Dealing with an awkward customer when working part-time in a shop or restaurant
• Thinking about how you are going to manage your budget to keep you going until the end of term
• Working out why your printer won’t respond
• Developing a strategy to reach the next level of a computer game.

Any job will also bring problems to be faced. It is important to show to a recruiter that you have the right skills to resolve these problems, and the personal resilience to handle the challenges and pressure they may bring. You need to be able to: 

• Evaluate information or situations
• Break them down into their key components
• Consider various ways of approaching and resolving them
• Decide on the most appropriate of these ways

Solving these problems involves both analytical and creative skills . Which particular skills are needed will vary, depending on the problem and your role in the organisation, but the following skills are key to problem-solving:

• Lateral Thinking
• Logical Reasoning
• Persistence 

Analytical and critical thinking skills help you to evaluate the problem and to make decisions. A l ogical and methodical approach is best in some circumstances: for example, you will need to be able to draw on your academic or subject knowledge to identify solutions of a practical or technical nature.  In other situations, using creativity or l ateral thinking will be necessary to come up with ideas for resolving the problem and find fresh approaches  Not everyone has these two types of skills in equal measure: for this reason, team working is often a key component in problem-solving. Further skills, such as communication, persuasion and negotiation , are important in finding solutions to problems involving people.

Whatever issue you are faced with, some steps are fundamental: 

• I dentify the problem
• D efine the problem
• E xamine the options
• A ct on a plan
• L ook at the consequences

This is the IDEAL model of problem-solving.  The final stage is to put the solution you have decided on into practice and check the results. 

Any workplace, project or task will have challenges or obstacles which need to be overcome. If an organisation employs people who are adept at solving problems at all levels, it reduces the need for complex chains of command or lessens demand on managers' time. In short, it will help save time and therefore money.  Analytical skills are perhaps becoming increasingly important; we are all bombarded with huge amounts of information every day. Being able to quickly yet comprehensively identify and evaluate the most important or relevant information for the organisation or your specific job role will be an increasingly useful skill. 

• Leisure activities (e.g. chess, logic games, computing).
• Overcoming obstacles to achieve an ambition or goal.
• Working in a customer environment and resolving complaints, particularly in situations where there is no protocol.
• Research (e.g. for essays or projects, or within the workplace).
• Particular achievements in the workplace (e.g. devising new working practices to improve efficiency, information systems development, diagnosing and rectifying faults or issues).
• Creative solutions to coursework problems.
• Identifying appropriate source material for assignments. 

A large cosmetics company had a problem in that some of the soap boxes coming off the production lines were empty. The problem was quickly isolated to the assembly line, which transported the packaged boxes of soap to the delivery department: some soap boxes went through the assembly line empty. The management asked its engineers to solve the problem. They spent much time and money in designing a machine with high-resolution monitors manned by staff; to scan all the boxes on the line to make sure they weren't empty.  A workman hearing about this, came up with another solution. He got a powerful industrial fan and pointed it at the assembly line. As each soap box passed the fan, the empty boxes were blown off the line. Moral: the simplest solution is usually the best!

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4 Ways to Improve Your Analytical Skills

• 07 Jan 2021

Data is ubiquitous. It’s collected at every purchase made, flight taken, ad clicked, and social media post liked—which means it’s never been more crucial to understand how to analyze it.

“Never before has so much data about so many different things been collected and stored every second of every day,” says Harvard Business School Professor Jan Hammond in the online course Business Analytics .

The volume of data you encounter can be overwhelming and raise several questions: Can I trust the data’s source? Is it structured in a way that makes sense? What story does it tell, and what actions does it prompt?

Data literacy and analytical skills can enable you to answer these questions and not only make sense of raw data, but use it to drive impactful change at your organization.

Here’s a look at what it means to be data literate and four ways to improve your analytical skills.

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What Is Data Literacy?

Data literacy is the ability to analyze, interpret, and question data. A dataset is made up of numerous data points that, when viewed together, tell a story.

Before conducting an analysis, it’s important to ensure your data’s quality and structure is in accordance with your organization’s needs.

“In order to transform data into actionable information, you first need to evaluate its quality,” says Professor Dustin Tingley in the Harvard Online course Data Science Principles . “But evaluating the quality of your data is just the first step. You’ll also need to structure your data. Without structure, it’s nearly impossible to extract any information.”

When you’re able to look at quality data, structure it, and analyze it, trends emerge. The next step is to reflect on your analysis and take action.

Tingley shares several questions to ask yourself once you’ve analyzed your dataset: “Did all the steps I took make sense? If so, how should I respond to my analysis? If not, what should I go back and improve?”

For example, you may track users who click a button to download an e-book from your website.

After ensuring your data’s quality and structuring it in a way that makes sense, you begin your analysis and find that a user’s age is positively correlated with their likelihood to click. What story does this trend tell? What does it say about your users, product offering, and business strategy?

To answer these questions, you need strong analytical skills, which you can develop in several ways.

Related: Business Analytics: What It Is & Why It’s Important

How to Improve Your Analytical Skills

Analysis is an important skill to have in any industry because it enables you to support decisions with data, learn more about your customers, and predict future trends.

Key analytical skills for business include:

• Visualizing data
• Determining the relationship between two or more variables
• Forming and testing hypotheses
• Performing regressions using statistical programs, such as Microsoft Excel
• Deriving actionable conclusions from data analysis

If you want to provide meaningful conclusions and data-based recommendations to your team, here are four ways to bolster your analytical skills.

Related: How to Learn Business Analytics Without A Business Background

1. Consider Opposing Viewpoints

While engaging with opposing viewpoints can help you expand your perspective, combat bias, and show your fellow employees their opinions are valued, it can also be a useful way to practice analytical skills.

When analyzing data, it’s crucial to consider all possible interpretations and avoid getting stuck in one way of thinking.

For instance, revisit the example of tracking users who click a button on your site to download an e-book. The data shows that the user’s age is positively correlated with their likelihood to click the button; as age increases, downloads increase, too. At first glance, you may interpret this trend to mean that a user chooses to download the e-book because of their age.

This conclusion, however, doesn’t take into consideration the vast number of variables that change with age. For instance, perhaps the real reason your older users are more likely to download the e-book is their higher level of responsibility at work, higher average income, or higher likelihood of being parents.

This example illustrates the need to consider multiple interpretations of data, and specifically shows the difference between correlation (the trending of two or more variables in the same direction) and causation (when a trend in one variable causes a trend to occur in one or more other variables).

“Data science is built on a foundation of critical thinking,” Tingley says in Data Science Principles . “From the first step of determining the quality of a data source to determining the accuracy of an algorithm, critical thinking is at the heart of every decision data scientists—and those who work with them—make.”

To practice this skill, challenge yourself to question your assumptions and ask others for their opinions. The more you actively engage with different viewpoints, the less likely you are to get stuck in a one-track mindset when analyzing data.

2. Play Games or Brain Teasers

If you’re looking to sharpen your skills on a daily basis, there are many simple, enjoyable ways to do so.

Games, puzzles, and stories that require visualizing relationships between variables, examining situations from multiple angles, and drawing conclusions from known data points can help you build the skills necessary to analyze data.

Some fun ways to practice analytical thinking include:

• Crossword puzzles
• Mystery novels
• Logic puzzles
• Strategic board games or card games

These options can supplement your analytics coursework and on-the-job experience. Some of them also allow you to spend time with friends or family. Try engaging with one each day to hone your analytical mindset.

Related: 3 Examples of Business Analytics in Action

3. Take an Online Analytics Course

Whether you want to learn the basics, brush up on your skills, or expand your knowledge, taking an analytics course is an effective way to improve. A course can enable you to focus on the content you want to learn, engage with the material presented by a professional in the field, and network and interact with others in the data analytics space.

For a beginner, courses like Harvard Online's Data Science Principles can provide a foundation in the language of data. A more advanced course, like Harvard Online's Data Science for Business , may be a fit if you’re looking to explore specific facets of analytics, such as forecasting and machine learning. If you’re interested in hands-on applications of analytical formulas, a course like HBS Online's Business Analytics could be right for you. The key is to understand what skills you hope to gain, then find a course that best fits your needs.

If you’re balancing a full-time job with your analytics education, an online format may be a good choice . It offers the flexibility to engage with course content whenever and wherever is most convenient for you.

An online course may also present the opportunity to network and build relationships with other professionals devoted to strengthening their analytical skills. A community of like-minded learners can prove to be an invaluable resource as you learn and advance your career.

Related: Is An Online Business Analytics Course Worth It?

4. Engage With Data

Once you have a solid understanding of data science concepts and formulas, the next step is to practice. Like any skill, analytical skills improve the more you use them.

Mock datasets—which you can find online or create yourself—present a low-risk option for putting your skills to the test. Import the data into Microsoft Excel, then explore: make mistakes, try that formula you’re unsure of, and ask big questions of your dataset. By testing out different analyses, you can gain confidence in your knowledge.

Once you’re comfortable, engage with your organization’s data. Because these datasets have inherent meaning to your business's financial health, growth, and strategic direction, analyzing them can produce evidence and insights that support your decisions and drive change at your organization.

Investing in Your Data Literacy

As data continues to be one of businesses’ most valuable resources, taking the time and effort to build and bolster your analytical skill set is vital.

“Much more data are going to be available; we’re only seeing the beginning now,” Hammond says in a previous article . “If you don’t use the data, you’re going to fall behind. People that have those capabilities—as well as an understanding of business contexts—are going to be the ones that will add the most value and have the greatest impact.”

Are you interested in furthering your data literacy? Download our Beginner’s Guide to Data & Analytics to learn how you can leverage the power of data for professional and organizational success.

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What Are Analytical Skills? (Definition, Examples, And Resume Tips)

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Summary. Analytical skills are used to assess situations and make plans to overcome obstacles, usually in structured, logical ways.

There are a few skill sets that are important to hone no matter what industry you work in, and analytical skills are one of those.

In this article, you’ll learn about several different types of analytical skills, how to highlight them when applying for a job, and how to improve your analytical skills.

Key Takeaways

Analytical skills are necessary for figuring out how to overcome obstacles and make wise decisions.

Some examples of analytical skills are data analysis, research, critical thinking, communication, problem-solving, visualization, and creativity.

You should highlight your analytical skills on your resume , in your cover letter , and during your interviews.

It’s important to work to grow your analytical skills throughout your career.

Types of Analytical Skills

Additional analytical skills, examples of how to showcase your analytical skills, examples of resumes that showcase analytical skills, example of analytical skills in a cover letter, examples of analytical skills in a job interview, examples of analytical skills on the job, how to improve your analytical skills, analytical skills faqs, final thoughts.

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Analytical skills are the qualities you possess that help you to assess situations rationally, create effective plans, and overcome obstacles. Analytical thinkers can separate themselves from their emotions in order to work effectively. They usually utilize a process to break down large problems into smaller issues to tackle.

There are a variety of traits and abilities that fall under the heading of strong analytical skills. Drawing attention to your strengths in analytical thinking can grab an employer’s attention, and land you an interview or a promotion.

Some analytical skills may be more relevant to your field than others. Take some time to consider which qualities will be the most valuable to your potential employers. Below are some great examples of important analytical thinking that hiring managers look for on your resume .

Data analysis. Taking in information, making sense of it logically, and using it to the best of your abilities is an important step in making calculated decisions.

Having impressive skills in data analysis greatly supports analytical thinking. Considering they share a root word in common, it makes sense that these skills rely on each other.

Data analysis could mean very different things for varying occupations.

If you work for a retail company, it could mean:

Examining quarterly clothing sales

Considering why the numbers are what they are, and if that’s satisfactory

Researching possibilities for how to increase revenue

Make decisions about whether to stay on the current trajectory or make changes to increase sales

Following-up

If you own a blog , it could mean:

Reading your website’s Google Analytics for each post

Determining increases or decreases in traffic and why that may be

Including traffic data points in a spreadsheet to consider trends

Coming up with strategies to boost website traffic based on success trends

Continually updating analytic data

Research . Conducting worthwhile research is very important in building viable solutions. Once you’ve noticed an issue or a way things could be done better, you must look for solutions towards improvement.

That depends on research. Luckily, we live in the age of the internet. Quite literally, we have a world of information available at our fingertips. You’re living proof of this — just look at what you’re doing right now by reading this article.

Carrying out research on important analytical skills, in order to improve your resume and employee profile. Using detailed research in your work style enhances your analytical problem-solving process.

Research involves:

Utilizing reliable resources

Fact-checking

Having an informational goal in mind

Attention to detail

Staying focused

Organizing data

Effectively presenting results

Critical thinking . Critical thinking is the boat that keeps the rest of your analytical skills afloat. It’s largely about having logic and reason at work.

It also involves always being open to learning more. Critical thinkers draw practical connections to further a company’s success. This is an extremely valuable skill for employers because critical thinkers can:

Determine why issues arise

Assess the strengths and weaknesses of a particular strategy

Deciphering complex issues into smaller steps

Develop logical plans

Efficiently solve problems

Articulate their thinking to others

Communication . You may have the ability to deep-dive into research and think critically about the results. However, this isn’t very helpful without being able to accurately translate these findings to others.

Communication is key to developing workplace relations and completing projects productively. Throughout the analytical problem-solving process, be sure to keep your co-workers and supervisors in the loop about everything you’re doing and the conclusions you’re drawing. They could have input that affects your course of action or expands on your ideas.

Communication skills involve:

Friendliness

Emotion control

Listening to others

Asking questions

Accepting and returning feedback

Paying attention to non-verbal communication

Coordination

Presentation

Following-up on past interactions

Problem-solving. Problem-solving skills may sound synonymous with analytical, but really, it’s just another skill involved in the analytical process. Employers seek to hire applicants who are adept at problem-solving to handle any unexpected circumstances or issues.

After identifying an issue and conducting proper research, brainstorming potential solutions is next. You use problem-solving abilities to organize all the information you’ve uncovered to produce a logical plan for action.

Problem-solving skills involve:

Active listening

Data analysis

Consulting multiple sources

Strong communication

Formulating strategy

Time management

Interpersonal skills

Decision-making

Visualization. One of the traits that make for a strong analytical thinker is a visualization for an end goal. Having a clear vision in mind is necessary for creating a plan that works well. After all, you have to know what outcome you’re looking for to analyze whether it was successful later.

Without an objective, your research and strategy can become disorganized. Throughout the analytical process, keeping your original goal in mind can make your analytical work more productive.

Goal visualization involves:

Taking data into account

Acknowledging your team’s strengths and weaknesses

Deciding what your team’s overall goal is

Discussing the best routes for achieving this objective

Creativity . Creative thinkers have the ability to formulate new ideas and ways of doing things. This can be extremely productive when using analytical reasoning skills.

A large component to coming up with effective solutions to problems that involve innovation. Creative employees make groundbreaking improvements from problems.

Creativity involves:

Imagination

Keeping goals in mind

Problem-solving

Experimentation

Transforming ideas into action

Other useful analytical skills include:

Time-Management

Recognizing achievements

Providing feedback

Computer skills

Clarification

Organization

There are four main ways to showcase your analytical skills as part of your job search :

On your resume

In your cover letter

In a job interview

47 Martin Ln. Orlando, FL , 44587 (771)-409-3376 [email protected] Shelby Malcolm Passionate and creative graphic designer with 4 years of experience and a B.A. in Design. Strong communication and problem-solving skills. SKILLS Adobe Photoshop Adobe Illustrator Proficient in Inkscape Creative Dependable Fast learner Problem-solving EXPERIENCE Ecosphere Design Lab, Orlando, FL — Graphic Designer March 2018 – PRESENT Outlining design concepts Coordinating with a team of 6 Direct client requests Illustration Considering industry trends Creating a range of ideas Promoted from Junior graphic designer after the first six months Innovation Graphics, Orlando, FL — Junior Graphic Designer January 2015 – January 2018 Communicating with clients Providing customer service Brainstorming idea for advertisements and logos Utilizing revision when needed Awarded a salary increase of 2% after the first year EDUCATION The University of Tampa, Tampa, FL — B.A. in Design August 2011 – May 2015

Jacob Jones 912 W Evans St. Sedona, AZ , 98211 (398)-197-1126 [email protected] LinkIn.com/in/JacobJones Organized and meticulous social media manager with 5+ years of experience. B.A. in Human Studies from the University of Arizona. Strengths in interpersonal skills and branding. Professional Experience Liberty Public Relations , Sedona, AZ Social Media Manager September 2017-Present Scheduled and coordinated meetings Interacted directly with clients Coordinated with marketing teams Manager profiles for several prominent clients Created detailed plans for success with milestones of completion Handled arising PR issues Awarded $2,500 bonus after the first year Gold Star Media Management , Sedona, AZ Social Media Marketing Intern, June 2016– August 2017 Memo creation and direction Email management Organizing social media post schedules Analyzing post success Collaborated on a team to design branding Aided in brand creation for up-and-coming companies Skills Social media Marketing Branding Google analytics HTML Attention to detail Critical thinking skills Adaptable Education University of Arizona, Tucson, AZ BA in Human Studies, May 2016 GPA: 3.5 out of 4.0

Nicholas Phillips Flexible and outgoing investigative journalist . Possess a Bachelor’s in English and a Masters in Journalism. Strong skills in creative thinking and problem-solving. 22 Main St. Houston, TX , 23014 (129)-828-1192 [email protected] NicholasPhillips.com EXPERIENCE XYZ News Channel, Houston, TX — Investigative Journalist April 2016 – PRESENT Search out newsworthy stories Conduct relevant research Communicating with co-workers and sources Fact-checking Interviewing subjects Developing story outlines Adhering to journalistic integrity Promoting the success and viewership of XYZ Awarded with two raises totaling $16,000 Houston Local News, Houston, TX — Journalist January 2014-April 2016 Thinking creatively to discover eye-catching stories and events Gathering information and subjects via extensive research Assessing lead quality Meeting set deadlines Coordinating with team of 10 Networking to establish working relationships Around Town Quarterly, Houston, TX — Journalist Intern June 2013- January 2014 Assisting in administrative work Conducting assigned research for topics Contributing to weekly brainstorms Editing and proofreading Assisting in interviews EDUCATION The University of Texas, Austin, TX — Master’s in Journalism September 2011 – June 2013 The University of Tennessee, Knoxville, TN– Bachelor’s in English August 2007-May2011. SKILLS Research Writing Bilingual Presentation Integrity Flexible Sociable LANGUAGES Fluency in English and Spanish

During my time as a Marketing Manager for XYZ Inc., I made it my mission to cut the budget while still growing our digital marketing presence. By recognizing that 80% of our traffic was coming from 20% of our content creators, I made the decision to cut our writing staff down significantly. What we saw was a 70% drop in spending on content creation, while traffic grew by an average of 24% monthly. Other accomplishments from this role include: Performed competitor keyword research to increase our organic reach by 29% YoY Developed a website design in tandem with product team and based on user feedback to increase engagement by 76% Identified and implemented best practices for email marketing and affiliate campaigns to increase conversion rates by 15% and revenue by 11%

In a job interview, you’ll hear a lot of questions designed to test your analytical skills. Let’s go over a couple of common interview questions , along with example answers that clearly highlight your supreme analytical powers:

For me, it’s all about maximizing both efficiency and effectiveness. I independently track how much time each of my tasks takes, and what the return on that time investment is. For example, when my team had to code a whole new content cluster using a wildly different style than our home page , I started by assessing which features were most sought after by users. I then implemented those changes and used A/B testing to determine the effectiveness. I found that adding trailing social engagement buttons along the left-hand side of the page upped engagement by over 20%, and it was a relatively simple thing to do. When you see that a huge chunk of your results come from small changes, it becomes easier to prioritize and identify the successful things you’re doing.

When I’m facing a problem I haven’t seen before, my first step is research. Whether that means looking online for tutorials covering the topic or speaking to an expert in the company, fact-finding is critical. Then, I like to implement imperfect changes — I say “imperfect” because I find many people suffer from “analysis paralysis.” Instead, I’m happier to put out the minimal viable product and iterate from there. A lot of the time, the issues you expect from a problem never arise, and ones you never consider crop up unannounced. That’s why I feel more comfortable having an actual product to tweak and perfect, rather than trying to find the perfect solution the first time.

Whether you’re hoping to earn a promotion or leverage your analytical skills into a new job, one of the best ways to showcase your analytical skills is to let others do it for you. By that we mean you should make it so clear that you’re an analytical juggernaut at work that your supervisors recognize it as your stand-out trait.

In practice, that can take a few different forms. Here are some examples of how you can show off your analytical skills in your work:

Take on leadership roles.

Volunteer for assignments that give you a chance to hone and show off your capacity for analysis.

Go out of your way to improve an inefficient or ineffective process.

There’s not a job out there that doesn’t utilize and benefit from analytical skills. Go out there and identify problems, offer solutions, and be critical with your evaluations. That’s how you wind up with a letter of recommendation that touts your ability to analyze situations effectively.

An employee with keen analytical skills has a bright future ahead of them. No matter what field or industry you work in, developing your analytical skills can help you achieve your career goals.

To improve your analytical skills:

Take tests. There are tons of free resources online for testing your analytical skills and ability to think critically. These are often math- or logic-based, and they can help train your brain to approach problems strategically.

Step into leadership roles. Leaders need a whole host of attributes to succeed , but analytical skills are a critical part of the job. Look for opportunities to lead projects to put your analytical skills to the test.

Play games. Not just any games, though. Think logic games like Rubik’s Cubes, Sudoku puzzles, and Chess. These games will strengthen your analytical skills while having fun. Plus, studies have shown that engaging in cognitively stimulating activities like these reduces your risk of cognitive decline and dementia.

Enroll in classes. It doesn’t even really matter what subject you choose to study, although if your goal is career growth, it should pertain to your job in some way. The important part is that when you’re learning new things, you’re forcing your brain out of its cognitive comfort zone.

Find a mentor . This is good advice regardless of what skills you’re trying to develop. A mentor in your field who has successfully weathered the challenges of your role is like a cheat code for strengthening your analytical skills.

Become a close reader. If you remember close reading from your high school English class, you’re probably groaning right now. But it turns out that was one of the truly valuable strategies you were taught in school.

You don’t need to be reading a text to be a close reader . When you watch movies and shows, see an advertisement, or listen to a politician’s speech, do your best to read between the lines. Look for plot holes, assess why an ad is effective (or not), and pay attention to what the politician isn’t saying.

What are examples of analytical skills?

Some examples of analytical skills include:

Critical thinking

Communication

Visualization

What type of skills are analytical skills?

Analytical skills are soft skills that allow you to collect and analyze information in a way that allows you to solve problems and make decisions well.

You use analytical skills in your daily work tasks, when you’re making schedules, and when you’re making important management decisions, to give just a few examples.

How do you say you have good analytical skills?

You say you have good analytical skills by providing examples of times you used your analytical skills. You can do this in your resume, in your cover letter, and during your interview. You can also showcase your analytical skills while you work.

What jobs use analytical skills?

Some jobs that use analytical skills include software engineer, cybersecurity analyst, and accountant. Many people in the finance, technological, and scientific industries use analytical skills in their day-to-day roles.

Analytical skills are useful in a variety of roles and positions, across a variety of industries. You can showcase your experience with them on your resume by listing specific examples of times that you have solved problems or addressed situations using analytical skills.

Harvard Business School Online – 4 Ways to Improve Your Analytical Skills

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Sky Ariella is a professional freelance writer, originally from New York. She has been featured on websites and online magazines covering topics in career, travel, and lifestyle. She received her BA in psychology from Hunter College.

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Many job advertisements require “ strong analytical skills ”, but what does this phrase really mean in practice?

Analytical skills are the skills required to gather, assess, and analyse data or information—and then use that information to support better decision-making and problem-solving . They therefore include research skills, data analysis skills (both of quantitative and qualitative data), critical and creative thinking, and finally communication skills.

The good news is that most of us use analytical skills all the time. For example, you need analytical skills to decide what to have for dinner based on an assessment of the contents of your fridge or cupboards, your ability to visit the shops and your budget. However, they are also needed for complex business problems such as handling a merger or acquisition.

What Are Analytical Skills?

Analytical skills are the skills needed to gather information, assess it critically, and then use it to make decisions and/or solve problems.

It is worth unpicking each of these areas in turn, because they are actually quite separate and require different basic skills. You can safely say that you have good analytical skills only once you have mastered all of these areas.

Analytical skills are about much more than numbers

Traditionally, the term analytical skills was used only to refer to skills in analysing numbers and numerical data. However, in most workplaces, the term is used much more widely, to mean being able to review and understand information, and then apply it.

1. Gathering Data and Information: Research

The first area is gathering data and information, often known as research. Somewhat confusingly, research also provides the context that enables you to turn data into information (see box).

Our page on Research Methods points out that most people are likely to encounter research first as part of a project at school or college. However, quality research is important in many jobs—and simply to provide you with the information you need to understand how to make almost any decision.

From Data to Wisdom: The Knowledge Pyramid

The knowledge pyramid is a useful way to visualise the relationships between data, information, knowledge and wisdom.

• At the bottom of the pyramid lies data , individual facts and figures or measurements, in its raw, uncleaned form.
• When you add context (for example, by cleaning and organising the data), it becomes information .
• Adding meaning to information enables you to extend your knowledge , for example, by comparing your information with other work, or discussing it with others.
• Finally, when you add insights , you may attain wisdom .

In this article, therefore, we use these terms with these very specific meanings. Data is NOT the same as information, and information NOT the same as insight or knowledge.

There are many different types of research, and many different types of data . The method you use, and the type of data that you choose to collect will depend on the questions that you want to answer. For example:

If you want to know broadly how many customers are satisfied with your products, or how highly they would rate them on a scale , you might decide to carry out a survey to obtain some quantitative data (numbers).

However, if you want more detailed data about what customers actually think about your products, and how they use them , you might want to carry out some focus groups or interviews to obtain some qualitative data (opinions).

You can find out more about this in our page on quantitative and qualitative research methods .

You may also be interested in how to carry out market research, and gather competitive intelligence , which is a specific application of research methods to business. Our page on this subject also provides some useful information about sources of information for competitive intelligence. These include both primary sources of information (you collect the data yourself) and secondary sources (someone else has collected the data and made it available for others to use).

2. Assessing and Analysing Information and Data

Once you have gathered your information or data through research, you then need to assess and analyse it to provide yourself with more knowledge.

The first step is to consider the quality of your data. There are several ways that you can do that, such as considering the characteristics of the data, and whether it is supported by evidence from other sources.

There is more about assessing data quality in our page on Turning Information into Action .

Once you are certain that your data quality is good enough, you can then turn to analysis. There are many different forms of this, depending on your type of data. If your data is in the form of numbers, you might start with some simple statistical analysis , or perhaps use more complex statistical techniques such as multivariate analysis . However, if you have qualitative data, you might need to use other methods, such as those set out in our page on Analysing Qualitative Data .

There are also many forms of qualitative analysis used in business to provide insights, such as:

Porter’s Five Forces , which is used to help you visualise your market and your product within it;

SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis, which is used to enable you to understand your company within the context of your situation; and

PESTLE analysis , which allows you to look at the external factors affecting your organisation.

3. Using Information to Support Decision-Making and Problem-Solving

Before you use any information that you gather, or the results of any analysis you have carried out, you need to apply the techniques of critical thinking .

Critical thinking is the ability to apply logic and knowledge to information that is provided.

For example, you might look at the ideas you have gathered, and assess how these link to your other knowledge about the situation. You need to be thinking about the patterns within your data, and what these tell you when set in context. You also need to consider how your thinking might be affected by your previous experience (positive or negative) and your own biases. Critical thinking is also essential for understanding and exploring the root causes of a problem—and therefore developing an effective solution.

Using these approaches will help you to be able to apply information effectively to decision-making.

Another key skill area in problem-solving is creative thinking . This is important because it helps you think more widely and come up with solutions to more complex problems.

To assess your creative thinking skills, you may be interested in our Creative Thinking Skills Self-Assessment .

Finally, it is essential to be able to communicate your findings or solutions to others. Many people underrate the importance of this area, but if you cannot communicate effectively, your ideas will not be accepted or adopted.

Our pages on communication skills provide more information about this crucial area, including effective speaking , and listening skills so that you can understand and respond effectively to objections.

A Final Thought

Analytical skills are an essential part of most jobs—but also how most of us live from day to day.

You may not be conscious of using them, or even of having developed them. However, it is highly likely that you use them all the time. The main issue with using them for work purposes is to assess the processes that you use, and ensure that they are reliable and robust.

Continue to: Creative Thinking Analysing Qualitative Data

See also: Scenario Analysis Personal SWOT Analysis Statistical Analysis: Understanding Correlations

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What is analytical problem solving.

There are some very common misconceptions and myths about analytical problem solving. Most candidates simply skim over this phrase on consulting profiles without thinking about the meaning. This post will tell you what management consulting firms like McKinsey , Bain and BCG mean by analytical problem solving.

You would be surprised at how many people believe that analytical thinking is something that comes instinctively, letting you do data analysis and pinpoint relevant information to get the key takeaways from complex problems. The truth is, these analytical skills are, more often than not, hard skills that you acquire through years of problem solving and critical thinking. They’re problem-solving skills that help you go from coming up with easy solutions to coming up with creative solutions that go the extra mile.

This is important advice so it is worth reading carefully – we’ll also go over some analytical and problem solving skills examples to help you understand better.

What is analytical problem solving

To be an analytical thinker does not mean you must have a degree in science, engineering, finance, economics or any other quantitative subject. While some subjects, like those listed, imply you could be analytical in your thinking, not having quantitative background does not mean you cannot think analytically. Thousands of candidates with quantitative backgrounds fail to get offers from McKinsey, Bain and BCG every year. Therefore, having a quantitative background can be an advantage, but it does not guarantee analytical problem solving ability.

Being analytical refers to the way you think and not to the problem you solve. This is a very important statement. Lawyers, social scientists, linguists and historians can all be extremely analytical in their thinking. Yet, they are not solving quantitative problems. So the problem is not what determines if you are analytical, it is the way you solve the problem.

Good analyses are grounded in hypotheses. Can you develop hypotheses? It always surprises us how many people do not know what is a hypothesis. A hypothesis is not the problem. It is not a fact. It is not an opinion. It is a statement which captures the observed phenomenon as well as the likely cause of the phenomenon. Both must be present for it to be a hypothesis. A surprising number of candidates do not understand this.

Are you able to reason using only the facts provided? Analytical thinkers are not unemotional. No one is unemotional. However, analytical thinkers are able to separate their emotion from the situation and use the data provided to arrive at a conclusion. Analytical problem solving means reasoning using facts and logic. Past experience or opinions which cannot be substantiated are ignored.

Can you assemble data and facts to develop an argument or line of reasoning? Analytical thinkers can take pieces of information, compare them and decide what the information is saying. They can assemble the information to produce new insight into the problem rather than simply restating the information.

Analytical thinkers do not blurt out answers. Assuming your answer is even correct, the fact that you knew the answer means you did not need to analyse the facts. Therefore, your analytical problem solving skill could not be tested.

Logic has nothing to do with numbers. There is a misconception that if your reasoning lacks numbers then it must be incorrect. That is ridiculous. In many consulting case interviews, you will need to reason based on logical arguments and with very little numbers. Your line of reasoning is more important than your final answer.

Analytical thinkers can show you how they arrived at the answer. This should be obvious, right? After all, it is the foundation of the case interview method. If you followed a path of reasoning to arrive at an answer, you should be able to explain that path to someone. That is why the method is used. The interviewer is more interested in how you arrived at the answer than the answer you developed. How you arrived at the answer shows the strength of your analytical problem solving skill.

Logical thinkers apply MECE , even if they do not know it. I have some impressive friends in the legal profession. Watching them reason and debate is worth doing so. When you ask them how they arrived at an answer or why they eliminated an option, you realize they are applying the rules of MECE perfectly. Yet, they never heard of MECE. Reason and logic is not exclusive to management consulting but is it essential to management consulting.

You do not need to know anything about an income statement, balance sheet or cash-flow statement to develop analytical skills. I should not need to say this but I will say it anyway. The thought process is more important than the topic. You can learn accounting and financial concepts when you need them. It is not very difficult to do so.

Analytical and problem solving skills examples

Below we share with you some examples of analytical and problem solving skills and how analytical skills are being tested during consulting case interviews.

McKinsey case interview examples 

• Complex McKinsey Interviewer led profitability case in Pharma (by FIRMSconsulting.com) 
• Comprehensive McKinsey hypotheses based case interview example (by FIRMSconsulting.com)
• McKinsey cost-benefit approach complex profit case interview example (by FIRMSconsulting.com)

BCG case interview examples

• Comprehensive BCG interviewer led market entry case interview example (by FIRMSconsulting.com) 

General case interview examples

• A comprehensive approach to brainstorming in case interviews (by FIRMSconsulting.com)
• Framework for a Bain, McKinsey, BCG acquisition case (by FIRMSconsulting.com)

Structured case interview analytical and problem solving skills development is needed

If you would like to get help with developing your analytical and problem solving skills, and fast track your case interview preparation, we welcome you to enroll into Premium membership .

There is nowhere else in the world where you can see real candidates trained by former partners from major consulting firms to help them develop analytical and problem solving skills. You will see the candidate’s progression through each step of the case interview preparation process, and how their analytical and problem solving skills are being developed. And you will see candidates receiving real offers from major firms such as Deloitte, McKinsey, or BCG.

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What Are Analytical Skills?

Definition & Examples of Analytical Skills

How Analytical Skills Work

Types of analytical skills, highlighting analytical skills.

Analytical skills refer to the ability to collect and analyze information,  problem-solve , and make decisions. Employees who possess these skills can help solve a company’s problems and improve its overall productivity and success.

Learn more about analytical skills and how they work.

Employers look for employees with the ability to investigate a problem and find the ideal solution in a timely, efficient manner. The skills required to solve problems are known as analytical skills.

You use analytical skills when detecting patterns, brainstorming, observing, interpreting data, integrating new information, theorizing, and making decisions based on the multiple factors and options available. 

Solutions can be reached by clear-cut, methodical approaches, or through more creative techniques. Both ways of solving a problem require analytical skills.

Most types of work require analytical skills. You use them to solve problems that may not have obvious solutions or that have several variables.

Let's say you're the manager of a restaurant and have been going over budget on food for the past two weeks. You review the menus and what customers have ordered along with food costs from your suppliers.

You see that the cost of seafood has increased over the past two weeks. When you talk to the supplier, they explain that there's been a disruption in the supply chain due to weather. They've increased costs to compensate. You decide to reduce your seafood order to lower costs and work with your chef to develop new specials that take advantage of other protein options.

In this example, you used analytical skills to review data from different sources, integrated new information, and made a decision based on your observations.

Catherine Song / The Balance

The best analytical skills to highlight on a resume depend on the position you're applying for. Here are five skills to consider.

Communication

Analysis only goes so far if you can't share and implement your findings. You need to be an effective communicator to discuss the patterns you see and your conclusions and recommendations.

Analytical communication skills include:

• Problem sensitivity
• Active listening
• Oral communication
• Written communication
• Conducting presentations 

Analyzing information often requires a creative eye to spot trends in the data that others may not find. Creativity is also important when it comes to problem-solving. The obvious solution is not always the best option. Employees with strong analytical skills will think outside the box to come up with effective solutions to big problems.

Creative skill sets include:

• Brainstorming
• Collaboration
• Optimization
• Predictive modeling
• Restructuring 
• Strategic planning
• Integration

Critical Thinking

Critical thinking refers to evaluating information and then making a decision based on your findings. Critical thinking is what helps an employee make decisions that help solve problems for a company. It may include:

• Process management
• Benchmarking
• Big data analytics
• Business intelligence
• Case analysis
• Causal relationships
• Classifying
• Comparative analysis
• Correlation
• Decision-making
• Deductive reasoning
• Inductive reasoning
• Diagnostics
• Data interpretation
• Prioritization
• Troubleshooting

Data Analysis

No matter what your career field, being good at analysis means being able to examine a large volume of data and identify trends in that data. You have to go beyond just reading and understanding information to make sense of it by highlighting patterns for top decision-makers.

There are many different types of data analysis, but some of the most common ones in today's workplace include:

• Business analysis
• Strengths, weaknesses, opportunities, and threats (SWOT) analysis
• Cost analysis
• Credit analysis
• Critical analysis
• Descriptive analysis
• Financial analysis
• Industry research
• Policy analysis
• Predictive analytics 
• Prescriptive analytics
• Process analysis
• Qualitative analysis
• Quantitative analysis
• Return on investment (ROI) analysis

You must learn more about a problem before you can solve it, so an essential analytical skill is being able to collect data and research a topic. This can involve reviewing spreadsheets, researching online, collecting data, and looking at competitor information. 

Analytical research skills include:

• Investigation
• Data collection
• Checking for accuracy

Analytical thinking is a soft skill , but field-specific, technical types of analysis are hard skills. Both should be highlighted on your resume and in interviews.

Analytical skills are sought after employers, so it's best to highlight these skills when you're applying and interviewing for jobs. Consider:

• Adding relevant skills to your resume : Keywords  are an essential component of a resume, as hiring managers use the words and phrases of a resume and cover letter to screen job applicants, often through recruitment management software.
• Highlighting skills in your cover letter : Mention your analytical skills and give a specific example of a time when you demonstrated those skills.
• Provide examples in your job interview : They can be from past work, volunteer, or school experiences.

Key Takeaways

• Analytical skills refer to the ability to collect and analyze information, problem-solve, and make decisions.
• You use analytical skills when detecting patterns, brainstorming, observing, interpreting data, and making decisions based on the multiple factors and options available to you. 
• Most types of work require analytical skills. You use them to solve problems that may not have obvious solutions or have several variables.
• There are many types of analytical skills, including communication, creativity, critical thinking, data analysis, and research. 
• Highlight and provide examples of your skills in your resume, cover letter, and interviews.