Philosophy of Mathematics
Whether you’re a fourth-grade teacher, an astronomer, or even an artist, we all use our math skills in one way or another. This is no different in the world of actuarial science, which combines both mathematics and business. This field is integral in assessing risk in insurance, finance, and other professions and industries.
Math majors possess key skills that will help them excel in the realm of business. We possess the ability to think critically and identify problems using our detail-oriented approach. A slight error could throw a company project into complete disarray. In 1999, NASA’s Mars Climate Orbiter disintegrated in the atmosphere because of a mathematical mistake. As a result, NASA’s $125 million investment went completely to waste. This is just one of many instances of a company losing money because of a lack of a detail-oriented approach.
We can analyze numbers and use projections to decide the best course of action for our company to take. Is it a sound business decision to offer this client insurance? Or is it too risky of a proposition? There has to be a happy medium between the two. This is where risk management comes into play. The numbers will lead us to the ideal decision for our firm. Utilizing different computer software and programs helps us to process such numbers and other important data. Proficiency in Excel is needed for applications such as VLOOKUP, pivot tables, and cashflow modeling to name a few. Programs like Excel and R allow us to work with optimum speed and precision, thus making the company’s entire operation more efficient.
Strong communication skills fostered through mathematics are yet another skill imperative to an actuary. When presenting to our colleagues, bosses, and clients, we must be able to articulate our findings in a clear, organized manner. Charts, graphs, and other visual aids can be of great use in these situations. These aids help to confirm that everybody is on the same page. A strong presentation can be the difference between a client wanting to do business with you or taking their business elsewhere.
Strong teamwork is another skill acquired through mathematics. Often times actuaries will work as part of a team. These teams are often tasked with solving incredibly difficult problems that could be challenging for just one person to solve. It is in these team settings where we can put all of our math and communication skills to use.
Mathematics has instilled the skills that are helping to shape who you are now and who you will become in the future. These skills are all incredibly important in the world of business.
Math majors possess key skills that will help them excel in the realm of business. We possess the ability to think critically and identify problems using our detail-oriented approach. A slight error could throw a company project into complete disarray. In 1999, NASA’s Mars Climate Orbiter disintegrated in the atmosphere because of a mathematical mistake. As a result, NASA’s $125 million investment went completely to waste. This is just one of many instances of a company losing money because of a lack of a detail-oriented approach.
We can analyze numbers and use projections to decide the best course of action for our company to take. Is it a sound business decision to offer this client insurance? Or is it too risky of a proposition? There has to be a happy medium between the two. This is where risk management comes into play. The numbers will lead us to the ideal decision for our firm. Utilizing different computer software and programs helps us to process such numbers and other important data. Proficiency in Excel is needed for applications such as VLOOKUP, pivot tables, and cashflow modeling to name a few. Programs like Excel and R allow us to work with optimum speed and precision, thus making the company’s entire operation more efficient.
Strong communication skills fostered through mathematics are yet another skill imperative to an actuary. When presenting to our colleagues, bosses, and clients, we must be able to articulate our findings in a clear, organized manner. Charts, graphs, and other visual aids can be of great use in these situations. These aids help to confirm that everybody is on the same page. A strong presentation can be the difference between a client wanting to do business with you or taking their business elsewhere.
Strong teamwork is another skill acquired through mathematics. Often times actuaries will work as part of a team. These teams are often tasked with solving incredibly difficult problems that could be challenging for just one person to solve. It is in these team settings where we can put all of our math and communication skills to use.
Mathematics has instilled the skills that are helping to shape who you are now and who you will become in the future. These skills are all incredibly important in the world of business.