Truth and Central Tendency ◾ 27
remembered that all data values are not used in the median computation, whereas
every data value is used in the geometric mean.
ere are certain financial return calculations where geometric mean is the
right choice. If an investment earns 20% in the first year, 40% in the second year,
50% in the third year, and 60% in the fourth year, the average return is not the
arithmetic mean of 42.5% but the geometric mean of 41.703%. It is an error to use
the arithmetic mean in this case.
Jeff and Lewis [1] have studied tasks times in usability tests that are positively
skewed. ey report that the median does not use all the information available in
a sample. Using the geometric mean, they have achieved 13% less error and 22%
less bias than the median.
Harmonic Mean
With positive data, we have yet another statistic to yield central tendency without
bias from extreme values: the harmonic mean. It is even more protective than geo-
metric mean, that is,
HM =
+ + +
N
x x x
N
1 1 1
1 2
....
To find the harmonic mean of a set of n numbers, we add the reciprocals of the
numbers in the set, divide the sum by n, then take the reciprocal of the result. e
harmonic mean is the reciprocal of the arithmetic mean of reciprocals. is gives
further screening from extreme values. e harmonic mean for bug repair time data
given in Table 2.1 is 15.6 days. is value is closer to the mode than the median, the
geometric mean, or the mean.
e Excel function to find harmonic mean is HARMEAN.
A formal treatment of geometric and harmonic means may be found in the
Handbook of Means and eir Inequalities by Bullen [2].
Interconnected Estimates
In interpreting the central tendency of software data, so much depends on the
situation. In most cases, data are skewed; therefore, mean, median, and mode are
different. In such cases, there is no one word answer to central tendency. ere are
three values that need to be studied and interpreted.
Consider the case of repair time of a particular category of bugs in a software
development project. Bug repair time data are given in Table 2.1.