2.2. Part 2: Problem Formulation Activity

Now that you understand the principles, let’s apply them.

2.2.1. Task

You have been hired by a power distribution company responsible for managing electricity across multiple regions. The company often faces unexpected demand spikes, which lead to power shortages or expensive emergency purchases. They want to better anticipate electricity demand to optimize energy distribution and reduce costs.

Your task: Using the framework below, write 2–3 sentences for each stage that describe how you would approach this problem.

Stage	Your Response
Hypothesis	What initial assumption can you make about what drives electricity demand (e.g., temperature, time of day, season, events)?
Information Gathering	What data or external factors would you need to test your hypothesis?
Intelligent Solution Design	How would you use data science (e.g., forecasting, regression, clustering) to build insights or solutions?
Impact Evaluation	How would you measure success? What outcomes or metrics would show your solution works?
Reflection and Iteration	If the results don’t align with expectations, what would you revisit or improve?