Question

These variance analyses are a lot of work. Think about how you could benefit from them, either at work or in your personal life. Or are they too much trouble?

Answer 1

in day to day life we encounter with alternatives where there are lesser or greater variances of doing a thing . It is always advisable to choose the way with lesser deviations or variances. these can be understanded with the very basic day to day activities.

Suppose Mr X and My Y has capacity of eating 5 bread a day. If mr X has given 5 bread daily for two day he will not be hunger and fulfill his capacity. In his case the deviation is zero (average capacity - average supply). Suppose my Y has given 8 bread a day and 2 bread next day. in aveage Mr y has been given 5 bread daily but there is deviation. In one day he will be left with excess 3 bread and ohter day he will be left hungered with 2 bread short. Though Mr X and Mr Y both has average 5 bread daily, buy Mr x has better saturation to mr Y (who left hunger one day without full utilisation of his capacity or wasteful of resouces other day.)

Another example can be taken. Less deviation is the indicator of consistance performance.

There are two cricket matches between australia and bangladesh. Bangladesh score 100 in both match. In first match australia scroe 200 runs and in second mathch it score 80 runs. thus it won one match and lost the other . in total it score more than bangladesh ie. 280 runs > 200 runs of bangladesh. Suppose it has perfom more consistant with lesser variance to average, then it has won both the matches.

So in practicle life not only better average but also lesser variances is also matter.