Download Microsoft Excel 2010 Data Analysis and Business Modeling Business Skills Wayne Winston 9780735643369 Books
Download Microsoft Excel 2010 Data Analysis and Business Modeling Business Skills Wayne Winston 9780735643369 Books
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Microsoft Excel 2010 Data Analysis and Business Modeling Business Skills Wayne Winston 9780735643369 Books Reviews
- If someone asked me that question, I would have to say no. It's not that the book is very bad per se; it's just that the book is not very good either, and you can pretty much get the same info for free off of the internet.
I'll qualify that by saying I think that if you are an MBA student, then this book may be worth the money just for the convenience of having all of the information in one package. BUT if you are a professional looking for solutions to business problems, then you'll probably only use the small portions of the book that are related to your field... and it would be better to just look on the internet for templates on a piecemeal basis as the needs arise. The templates you find on the 'net will probably be more sophisticated and more polished as well.
Here's the detail
THE GOOD
The best thing about this book is that it covers a wide range of topics from stats to queuing to finance and more. In that way, the book can be valuable as a versatile reference book that you can turn to first.
Each chapter begins with problem statements, and then it shows how to use formulas and functions in Excel to come up with an answer. Some of the solutions are specific to functions and features found in Excel, while others are simply math equations that could be used in any spreadsheet software such as Lotus or Google Docs (or even just written out on a piece of paper for that matter). So you may consider the solutions to be good because they're flexible.
The scope of the book pretty much covers the first year of MBA coursework which is nice for the students out there. Also, everything is supported by sample Excel files, so it gives you plenty of templates to cut and paste from.
THE BAD
As much as the book offers in breadth, it more than lacks in terms of depth and realism. For example, the chapter on NPV modeling really doesn't tell you much more than the equation for present value
[present value] = [the future cash flow] / [1 + the discount rate] ^ [the year you receive the future cash flow]
Enter one of those formulas for each year in your analysis, and add them together. The result is the NPV. This same information, along with a more detailed template, could have been found using Google. Moreover, he could have just used the present value function in Excel rather than calculating it manually.
Another example is the chapter where he uses solver to maximize the effect of observed price elasticity. You are given
1. A low price leads to higher demand and sales of $90
2. A medium price has slightly less demand but sales of $102
3. A high price has the least demand and sales of $50
I realize that the problem statement is scaled down in order to teach solver... but if you find yourself in this unlikely situation, then you don't need solver. The answer is choose medium. That is a supportable solution with the highest value. If you were in the more realistic situation where you have more data points... then the answer is still "you don't need solver". Again, choose the highest observed value.
The goals of each of the chapters I mentioned was clearly to teach a formula or a tool and not how to design a model with a structure that most effectively uses that tool... which leads me to...
THE UGLY
The templates provided are in no way close to being turn key solutions; not only because of the lack of detail, flexibility, and sophistication... but by the fact that the models themselves are actually, physically ugly. The inputs, calculations, and outputs are all mashed together in a single clump. Worse yet, sometimes they are actually intermixed in the same block of cells. The worksheets are not formatted; making it even more difficult to identify what is what. There are spelling errors and superfluous worksheets in the workbooks. If you were to use the files as templates, you could run the risk of passing through some of these problems. Additionally, the files have no comments or other documentation contained within the workbook, so the files don't function particularly well as stand-alone resources.
Also, the production quality of the book itself is mediocre. The book is entirely in black and white (which hurts his chapters on charts and coloring), and it is just simple text without call outs, side bars, or other things that could help to summarize, highlight, and reiterate key items. The effect is that it reads something like a textbook where all items, both large and small, are given the same level of importance in a weird, academic way.
I work as a consultant, and my clients expect me to deliver work that is understandable, easy to use, efficient, versatile, and accurate. As a consumer, I expect the same from my vendors. This book falls short on at least the first 4 of the 5.
I think this book would have worked far better if it was written as a series of case studies that taught multiple elements together in a realistic combination. E.g.
The NPV model could have been a lesson in designing a model with distinct input, calculation, and output sections. It could have taught the reader how to expand the model by year and line item while preserving formatting. It could have explained that virtually every single NPV model the reader will ever make must be split by cash and non-cash expenses because tax, accounting, and finance each handle those items differently.
The price elasticity model could have shown us how to build in sections for more than 2 variables since price problems always involve economies of scale/ diminishing returns as well as manufacturing/ operational impacts, and knock on effects to the brand. (If Gucci lowered prices to stimulate demand, there could be a short term profit increase, but...... slimmer margins, downward pressure on quality to avoid a long-term increase in COGS, and a long-term knock on effect to overall brand perception which in turn would impact demand... and drive the brand into the bargain bin at TJ Maxx like Tommy Hillfiger). - I've used Excel for decades, taught it to university business students and sometimes consult on reporting solutions that use it. This is the best, most comprehensive book I know of on Excel use in a business setting, and it's my first recommendation when people ask me what reference to buy. The examples are clear and relevant, the progression seems well paced for most business users, and the coverage outstandingly broad. It's only shortcoming, and for some this is huge, is that it does not cover directly accessing data from databases. The last chapter gives ten short pages of coverage to PowerPivot, but that's it. There are many resources more appropriate to PowerPivot, Reporting Services, Excel Services in SharePoint and specialty reporting plugins for business intelligence, but this is the best book for learning the day-to-day functional uses of Excel that you need to make those tools truly useful.
- For the right audience, this is an outstanding book. What's the right audience? An intermediate to advanced Excel user looking to improve their Excel stats and math modeling skills. The chapter on Monte Carlo Simulation alone is worth more than the price of the book. Ditto the chapter on Portfolio Optimization. And the chapters on using Solver. And several other chapters. The only thing I didn't like about it, is that it made me realize there is yet another person in the world who is smarter than I am. Damn. I hate when that happens.
- This book has lots of great information and detailed instructions for a data analyst geek like myself. Having on my and being able to quickly search for items is much better than having to thumb through a dog-eared physical book. I'm able to set book marks and make other notations that carry from the to my online reading account and over to my phone via the App.
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