Multivariate Analysis uses statistical techniques which allow us to focus and analyze more than 2 statistical variables at once. It is a collection of methods used when several measurements are made on an object in different samples.
The measurements are referred to as variables and the objects are called units. Multivariate Analysis helps in summarizing data and reducing the chances of spurious results. Two main multivariate analysis methods are:
Dependence Analysis – It is used in predicting the dependency among variables. Eg: Multiple Regression
Interdependence Analysis – It is used in analyzing the relationships among variables or objects where none of them are dependent. Eg : Factor Analysis
Examples of Multivariate Data:
Grades in Science, Mathematics, English, Physics etc
Expenditures under salary, advertising, raw materials etc
Multivariate Analysis is generally used in capability based design, analyzing of concepts in changing scenarios, analyzing alternatives to fulfill customer needs and in identifying critical design drivers and their co-relations across different hierarchical levels.