14 Demanding Data Analyst Skills: Top Requirements to Get Hired

The field of data analysis is constantly evolving, which means that aspiring data analysts need to keep up to date with the in-demand skills required by the industry. Employers are looking for professionals who possess a combination of technical and soft skills. Whether you are an experienced analyst looking to sharpen your skillset or a beginner entering the competitive job market, it is crucial to understand the necessary abilities to stand out from the crowd.

Technical skills, such as data cleansing and tools like SQL, play a vital role in transforming raw data into valuable insights. Apart from these technical capabilities, soft skills, including critical thinking and effective communication, are equally essential for data analysts to produce actionable insights while working in diverse teams. Balancing a blend of these proficiencies will help aspiring data analysts stay ahead in the job market and meet employers’ ever-evolving expectations.

Data Analyst Fundamentals

Data Analysis Principles

Data analysts play a crucial role in transforming raw data into valuable insights for organizations. Their primary role involves analyzing, interpreting, and presenting data to help businesses make informed decisions. A solid grasp of data analysis principles is essential for data analysts to be effective in their job.

Some key data analysis principles include:

Exploratory Data Analysis (EDA): This involves understanding the structure and patterns hidden within the data, often using visualizations and summary statistics.
Predictive Analytics: Data analysts leverage various statistical techniques and algorithms to forecast future trends based on existing data.

Data Visualization Techniques

A fundamental skill for data analysts is the ability to create compelling visual representations of data. Data visualization helps communicate complex information more effectively, allowing stakeholders to understand patterns, trends, and key insights at a glance.

Some popular data visualization techniques are:

Charts: Bar charts, line charts, pie charts, and scatterplots are examples of charts used to display data in a visual format.
Heatmaps: Colored grids represent values within a dataset to show relative differences between those values.
Geospatial visualizations: Maps and geographic representations are used to display data points based on their geographic locations.

Statistical Analysis Concepts

A strong foundation in statistical analysis concepts is required for data analysts to derive meaningful insights from data. These concepts enable them to develop hypotheses, understand variation, and evaluate significance.

Key statistical analysis concepts to know include:

Probability: The likelihood of an event occurring; data analysts use probability to make informed conclusions about the data.
Descriptive statistics: Measures like a mean, median, and standard deviation that summarize data.
Inferential statistics: Techniques used to make predictions or draw conclusions about a population from a sample.

Data analysts equipped with these fundamentals in data analysis principles, data visualization techniques, and statistical analysis concepts will possess the essential knowledge to excel in their field and increase their chances of getting hired.

Essential Technical Skills

Data Visualization:

Data visualization is the representation of data in a visual or graphical format. It is an essential tool for data analysts as it allows them to easily communicate insights and trends to stakeholders.

Some of the most commonly used data visualization tools include

Tableau
Power BI
QlikView
Excel.

Tableau is a popular tool used in industries such as finance, healthcare, and retail due to its ease of use and powerful visualization capabilities.

Power BI is another popular tool used by data analysts, especially those who work with Microsoft products.

QlikView is a tool often used in the finance and insurance industries due to its advanced data modeling and analysis capabilities.

Excel is a widely used tool for data visualization due to its familiarity and accessibility.

Data Cleaning:

Data cleaning is the process of identifying and correcting errors, inconsistencies, and inaccuracies in data. Data analysts spend a considerable amount of time cleaning and preparing data before it can be used for analysis. This process is important because if the data is not clean and accurate, the insights and conclusions drawn from it may not be reliable.

There are many tools available for data cleaning, and the choice of tool depends on the specific requirements of the task at hand.

Some of the commonly used data-cleaning tools are:

OpenRefine: OpenRefine is a free, open-source tool that allows users to clean and transform large datasets quickly and easily. It has a user-friendly interface and provides a wide range of functions for cleaning and manipulating data.
Trifacta: Trifacta is a commercial data cleaning tool that offers a visual interface for cleaning and transforming data. It is designed for large and complex datasets and has advanced features like machine learning algorithms to help automate the cleaning process.
Talend: Talend is an open-source data integration tool that includes data cleaning capabilities. It has a wide range of connectors to various data sources and can handle large volumes of data.
Microsoft Excel: Although not specifically designed for data cleaning, Microsoft Excel is still widely used for this purpose. It has many built-in functions for cleaning and manipulating data, and its user-friendly interface makes it accessible to users with limited technical knowledge.
Python: Python is a popular programming language used by data analysts and scientists. It has many libraries and packages for data cleaning, including Pandas and NumPy.

Data cleaning is a crucial step in the data analysis process, and it requires the use of specialized tools to ensure the data is clean and accurate. Python is some of the commonly used data-cleaning tools that data analysts should be familiar with.

MATLAB:

MATLAB is a high-level programming language and development environment used for technical computing, data analysis, and visualization. It was originally developed for numerical computing by MathWorks, and has since become a standard tool used in many scientific and engineering fields.

MATLAB is important because it allows users to perform complex mathematical computations and visualizations quickly and efficiently. It has a vast array of built-in functions for linear algebra, statistics, signal processing, image processing, and more, making it a powerful tool for data analysis.

If you’re interested in learning MATLAB, there are many resources available online. MathWorks offers an online course called “MATLAB Onramp” which covers the basics of MATLAB programming and provides hands-on practice. There are also many tutorials, videos, and books available that can help you get started with MATLAB.

Additionally, there are online communities where you can ask questions and connect with other MATLAB users. Once you have a basic understanding of MATLAB, you can start exploring its advanced features and capabilities for data analysis.

R:

R is a popular open-source programming language used for statistical computing and graphics. It was initially developed by Ross Ihaka and Robert Gentleman at the University of Auckland, New Zealand, in the mid-1990s. Today, it has a large and active user community, and it is widely used in industries such as finance, healthcare, and technology.

One of the main advantages of R is its flexibility. It offers a wide range of statistical and graphical techniques and is highly customizable. R also has a vast repository of packages, which makes it a powerful tool for data analysis and visualization.

To start learning R, you can begin by downloading and installing R on your computer. R is available for free on the Comprehensive R Archive Network (CRAN) website. Once you have installed R, you can use the RStudio integrated development environment (IDE) to write and execute R code. RStudio provides a user-friendly interface, making it easier to work with R.

There are several resources available online for learning R. The R documentation, available on the CRAN website, provides a comprehensive guide to the language and its syntax. Additionally, there are several online courses, tutorials, and books available that can help you learn R. Some popular resources include the DataCamp and Coursera online courses, the book “R Graphics Cookbook” by Winston Chang, and the “R for Data Science” book by Hadley Wickham and Garrett Grolemund.

Related Article: A Beginners Guide to Using R for Data Analysis

Python:

Python is a popular programming language that is widely used in the field of data analytics. It is an open-source and easy-to-learn language that has a rich ecosystem of libraries and frameworks. Python is a versatile language that is used for a variety of tasks, such as web development, machine learning, and data analysis.

Python has become a popular language for data analysis because of its ease of use and the availability of numerous libraries.

Some of the important libraries in Python for data analysis include:

Pandas
NumPy
Matplotlit
Seaborn
Plotly

Pandas is a powerful library for data manipulation and analysis. It provides easy-to-use data structures and functions for handling data. NumPy is a library for numerical computing in Python. It provides a set of tools for array manipulation and mathematical operations.

Matplotlib is a plotting library for Python that provides a variety of plots, such as line, scatter, bar, and histogram. Seaborn is another popular plotting library for Python that provides more advanced visualizations, such as heatmaps, pair plots, and violin plots.

Plotly is a data visualization library that allows for interactive and dynamic visualizations. It provides a range of interactive charts and graphs, such as scatter plots, line charts, and bar charts. It is widely used in the field of data analytics for creating visually appealing and interactive dashboards.

Learning Python for data analysis is relatively easy as it has a large community that provides extensive documentation and resources. Beginners can start learning Python through online courses and tutorials, such as Codecademy, DataCamp, and Coursera.

SQL and NoSQL:

SQL and NoSQL are two important database technologies that data analysts must be familiar with.

SQL, which stands for Structured Query Language, is a relational database management system that allows for the efficient storage and retrieval of structured data. It is commonly used for managing transactional data, such as customer orders or financial transactions.

NoSQL, on the other hand, stands for Not Only SQL. It is a non-relational database management system that is designed for handling unstructured and semi-structured data. This type of database is commonly used for managing large volumes of data, such as social media data or sensor data.

Both SQL and NoSQL have their own advantages and disadvantages, and data analysts need to be familiar with both technologies to choose the right database solution for their needs.

To learn SQL, beginners can start with online courses or tutorials that cover the basic concepts and syntax of SQL. They can also practice writing SQL queries on sample datasets to improve their skills. Some popular online resources for learning SQL include Codecademy, Khan Academy, and W3Schools.

Similarly, to learn NoSQL, beginners can start with online courses or tutorials that cover the basic concepts and syntax of NoSQL databases. They can also practice building and querying NoSQL databases on sample datasets to improve their skills. Some popular online resources for learning NoSQL include MongoDB University, Udemy, and Coursera.

As a data analyst, having a strong understanding of SQL and NoSQL databases will give you a competitive edge in the job market, as more and more organizations are adopting these technologies to manage their data.

Machine Learning:

Machine Learning is a subset of Artificial Intelligence (AI) that enables computer systems to automatically learn and improve from experience without being explicitly programmed. It involves developing algorithms that can automatically recognize patterns in data and make predictions or decisions based on that data. Machine Learning is important for data analysts because it enables them to make more accurate predictions and decisions based on the data they analyze.

To start learning Machine Learning, you should first have a good understanding of probability, statistics, linear algebra, and calculus. You can then move on to learning Machine Learning algorithms and techniques such as supervised learning, unsupervised learning, and reinforcement learning. You should also be familiar with programming languages such as Python, R, and MATLAB, as they are commonly used for Machine Learning.

Some important topics you should learn when studying Machine Learning include:

Regression analysis: This is a technique used to model the relationship between two variables by fitting a linear or nonlinear function to the data.
Classification: This is a technique used to categorize data into different classes or categories based on specific criteria.
Clustering: This is a technique used to group data points that are similar to each other into clusters.
Neural networks: This is a type of Machine Learning model that is designed to simulate the structure and function of the human brain and can be used for a variety of tasks such as image recognition, speech recognition, and natural language processing.

There are many online resources available to help you learn Machine Learning, including courses and tutorials on websites such as Coursera, Udemy, and DataCamp.

It is important to practice your skills by working on projects and participating in competitions on platforms such as Kaggle. By continuously practicing and improving your Machine Learning skills, you can become a highly skilled data analyst and make valuable contributions to your organization.

Linear Algebra and Calculus:

Linear algebra and calculus are two important mathematical concepts that data analysts need to have a good understanding of. These concepts are important for working with data, creating algorithms, and understanding the math behind machine learning models.

Linear Algebra:

Linear Algebra is the study of linear equations, linear functions, and their representations in vectors and matrices. It is used to solve problems related to linear regression, optimization, and eigenvalue problems. In data analysis, linear algebra is used for data reduction techniques such as Principal Component Analysis (PCA) and Singular Value Decomposition (SVD).

Calculus:

Calculus is the study of continuous change, and it has two branches: differential calculus and integral calculus. Differential calculus deals with the study of the rate at which quantities change, while integral calculus deals with the accumulation of quantities. Calculus is used in data analysis for optimization problems, calculating gradients for machine learning models, and understanding complex relationships in data.

Why are Linear Algebra and Calculus important for data analysts?

Linear algebra and calculus are important for data analysts for the following reasons:

Machine learning models are based on linear algebra and calculus: Many machine learning algorithms use linear algebra and calculus concepts for optimization, regression, and classification. Having a good understanding of these concepts is essential for building and improving machine learning models.
Data reduction techniques use linear algebra: Linear algebra is used for techniques such as Principal Component Analysis (PCA) and Singular Value Decomposition (SVD), which are used to reduce the dimensionality of large datasets. This helps in reducing the computational requirements and improving the accuracy of the analysis.
Optimization problems use calculus: Optimization is an important part of data analysis, and calculus is used to solve optimization problems. By understanding calculus, data analysts can optimize parameters in models and algorithms, resulting in better accuracy and performance.

To learn Linear Algebra and Calculus, you can start with online courses and tutorials, such as Khan Academy, Coursera, and Udemy.

Here are some important topics to cover:

Linear Algebra:

Vectors and Matrices
Vector Spaces
Linear Transformations
Eigenvalues and Eigenvectors
Singular Value Decomposition (SVD)

Calculus:

Limits and Continuity
Derivatives
Integrals
Optimization
Differential Equations

By gaining a solid understanding of these topics, data analysts can improve their ability to analyze data and build machine-learning models.

Related Article: How to Solve Real-World Data Analysis Problems.

Microsoft Excel:

Microsoft Excel is a powerful spreadsheet software that has been widely used for decades, especially in the business world. It has a range of functions that make it an indispensable tool for data analysts. Excel is versatile, easy to use, and offers a wide range of functions that enable users to work with large amounts of data effectively. As a data analyst, mastering Excel can help you become more efficient in your work, allowing you to handle large datasets and perform complex data analysis tasks with ease.

One of the main reasons why Excel is so important for data analysts is its ability to perform data manipulations and calculations. You can use Excel to organize, sort, and filter data quickly. Moreover, Excel provides a range of functions, including statistical, financial, and mathematical functions, which are essential for data analysis. You can use these functions to perform a wide range of tasks, including calculating averages, standard deviations, correlations, and more.

If you’re new to Excel, it’s best to start with the basics.

You can start by learning about spreadsheets, cells, rows, and columns. You should also learn about formulas and functions, which are the building blocks of Excel.

You can then progress to more advanced features, such as

Pivot tables
Macros

Pivot tables are a powerful feature in Excel that enables you to summarize, analyze, and present data in a meaningful way. They allow you to quickly transform large datasets into useful insights, making it easier to identify trends, patterns, and outliers.

Macros, on the other hand, enables you to automate repetitive tasks, making your work more efficient. By using macros, you can save time and reduce the risk of errors.

In addition to the basic features of Excel, data analysts should also learn about the more advanced data analysis tools that are available. For example, the Data Analysis Toolpak is an add-in that provides a range of statistical analysis tools, such as regression analysis, ANOVA, and t-tests. You can also use Excel for data visualization, by creating charts and graphs that can help you understand your data better.

3. Soft Skills for Data Analysts

Soft skills are essential for success in any career, and data analytics is no exception. In addition to technical proficiency, data analysts must possess a set of soft skills that allow them to work collaboratively, think critically, and manage their time effectively. In this section, we will explore the most important soft skills for data analysts and why they are crucial for success in this field. From analytical thinking and problem-solving to communication and organization, we’ll provide an overview of the skills you need to cultivate to excel as a data analyst.

Analytical Thinking and Problem-Solving:

Analytical thinking and problem-solving are critical soft skills for a data analyst. These skills enable data analysts to solve complex problems and draw meaningful insights from large data sets. Analytical thinking involves the ability to break down complex problems into smaller components and identify the key issues that need to be addressed. Problem-solving, on the other hand, involves the ability to find effective solutions to those issues.

As a data analyst, you will need to use analytical thinking and problem-solving skills to solve business problems, identify trends, and develop insights that can drive decision-making. This requires an ability to analyze data from different sources and use critical thinking to identify patterns and relationships.

To improve analytical thinking and problem-solving skills, data analysts can take various approaches. One way is to practice critical thinking by breaking down complex problems and analyzing data from different perspectives. Another approach is to learn new tools and techniques that can help with data analysis, such as statistical modeling and machine learning.

Furthermore, data analysts should be able to apply creativity and innovation in problem-solving to find new and more efficient ways of addressing business challenges. Effective communication and collaboration with other team members and stakeholders are also essential for data analysts to identify business problems, define goals, and develop solutions. By enhancing analytical thinking and problem-solving skills, data analysts can provide valuable insights to support data-driven decision-making, improve business performance, and drive innovation.

Communication and Collaboration:

Communication and collaboration are critical skills for data analysts in today’s workplace. Communication refers to the ability to articulate complex ideas and technical information in a clear and concise manner to non-technical audiences, such as business stakeholders, managers, and team members. Collaboration, on the other hand, refers to the ability to work effectively with others, including cross-functional teams, stakeholders, and customers.

Effective communication and collaboration are essential for data analysts because they need to work closely with stakeholders to understand their business problems, data needs, and goals. They also need to explain their findings and insights to non-technical audiences in a way that is understandable and actionable. Moreover, data analysts often work on team projects, and collaboration with team members is crucial to ensure the success of the project.

To improve communication and collaboration skills, data analysts can do the following:

Practice effective listening: Listening is a critical component of effective communication and collaboration. It is essential to understand the stakeholders’ needs, perspectives, and concerns to provide relevant insights. Active listening involves paying attention, asking questions, and clarifying understanding.
Use simple language: Data analysts should avoid technical jargon and use simple language to explain complex concepts to non-technical stakeholders.
Develop strong writing skills: Written communication is as important as verbal communication. Data analysts should write clearly and concisely to convey their findings and insights.
Build relationships: Data analysts should work on building relationships with stakeholders, team members, and customers. They should understand their needs, perspectives, and concerns and maintain regular communication to establish trust and credibility.
Foster a collaborative environment: Data analysts should foster a collaborative environment by encouraging team members to share their ideas and perspectives. They should also be open to feedback and suggestions and work together to find solutions to problems.

Attention to Detail:

Attention to detail is a soft skill that is highly valued in the field of data analysis. It is the ability to notice even the smallest details and identify potential errors in data. Data analysts who possess strong attention to detail are able to identify patterns, trends, and discrepancies in data that others may overlook, which can greatly improve the accuracy and reliability of analyses.

Attention to detail is particularly important in data analysis because even small errors can have significant consequences, potentially leading to incorrect conclusions or decisions. Inaccurate data can also damage a company’s reputation and bottom line. Therefore, data analysts with strong attention to detail are in high demand in industries such as finance, healthcare, and technology.

Improving attention to detail is largely a matter of developing good habits and processes for data analysis. This includes thoroughly reviewing data sets for accuracy, cross-checking data across multiple sources, and creating standardized procedures for data cleaning and organization. Attention to detail can also be improved through regular practice, such as completing puzzles or games that require a high level of focus and concentration.

Additionally, taking breaks and stepping back from data analysis can help improve attention to detail by allowing analysts to approach data with a fresh perspective and catch errors they may have missed before. Finally, collaborating with colleagues and seeking feedback can also help improve attention to detail by providing a fresh set of eyes to review and verify data. By prioritizing attention to detail as a soft skill, data analysts can improve the accuracy and effectiveness of their work and stand out in a competitive job market.

Time Management and Organization:

Time management and organization is a crucial soft skill for data analysts. This skill refers to the ability to prioritize tasks effectively, manage time efficiently, and organize work in a way that maximizes productivity and meets deadlines.

It also involves:

The ability to balance multiple tasks simultaneously
Handle interruptions
Unexpected changes in plans
Maintain focus amidst distractions

Effective time management and organization is essential for data analysts because they often work with large and complex datasets that require careful attention to detail and systematic analysis. Additionally, data analysts often work on multiple projects simultaneously and need to manage their time effectively to ensure that all projects are completed on time.

There are several ways that data analysts can improve their time management and organization skills. One important strategy is to create a prioritized to-do list at the beginning of each day or week. This can help data analysts stay focused on their most important tasks and ensure that they allocate their time effectively.

Another important strategy is to use project management tools such as Trello, Asana, Notion or Jira to help track progress and prioritize tasks. These tools can help data analysts stay organized and ensure that they are on track to meet their deadlines.

Finally, it is important for data analysts to take regular breaks and manage their energy levels effectively. This can help prevent burnout and ensure that they are able to maintain their focus and productivity over the long term.

4. Industry Specific Skills for Data Analysts

As a Data Analyst, it’s essential to have a deep understanding of the industry-specific skills and knowledge to be able to provide the best possible insights and recommendations for the organizations.

In this section, we will discuss some of the important industry-specific skills that every data analyst should have, including knowledge of specific tools and software such as CRM and ERP, as well as an understanding of industry-specific regulations and laws like HIPAA and GDPR.

Having expertise in these areas can help data analysts better analyze, interpret, and communicate data insights within their organization’s specific context.

Industry Specific Tools and Software:

As a data analyst, it is important to have knowledge of industry-specific tools and software, such as Customer Relationship Management (CRM) and Enterprise Resource Planning (ERP) systems.

CRM is a software that enables companies to manage their interactions with customers and potential customers. It allows for the collection, organization, and analysis of customer data to better understand their needs and preferences, ultimately leading to improved customer satisfaction and retention. As a data analyst, having a strong understanding of CRM systems and how to extract insights from customer data can be incredibly valuable in informing business decisions.

ERP systems, on the other hand, are designed to manage a company’s resources, including finances, production, and supply chain management. These systems provide a centralized database for all of a company’s information and processes, allowing for better coordination and decision-making across departments. Data analysts who understand ERP systems can analyze data across different departments and provide insights to improve efficiency and productivity.

To improve this skill, it is important to seek out training and certification programs specific to CRM and ERP systems. Many software vendors offer training and certification programs, and online courses and tutorials can also be useful resources. It is also helpful to gain hands-on experience with these systems through internships or job opportunities.

Industry Specific Regulations and Laws:

As a Data Analyst, it is important to have an understanding of industry-specific regulations and laws that impact data management and analysis. Two such regulations that are particularly relevant for data analysts are HIPAA and GDPR.

HIPAA, which stands for Health Insurance Portability and Accountability Act, is a U.S. federal law that sets guidelines for the protection and privacy of sensitive patient health information. HIPAA applies to healthcare providers, health insurers, and other entities that handle personal health information. As a Data Analyst working in the healthcare industry, you will likely encounter patient health information, so it is crucial to understand the regulations and requirements of HIPAA.

GDPR, which stands for General Data Protection Regulation, is a European Union regulation that sets guidelines for the collection, processing, and storage of personal data. GDPR applies to any organization that collects or processes the personal data of EU citizens, regardless of where the organization is based. As a Data Analyst working with data from EU citizens or companies, you must have a solid understanding of GDPR and ensure that the data you work with complies with the regulation.

In addition to HIPAA and GDPR, there may be other industry-specific regulations and laws that you need to be aware of as a Data Analyst. For example, in the financial industry, there are regulations such as the Dodd-Frank.

Final Thoughts

Becoming a successful data analyst requires a diverse skill set that includes both technical and soft skills, as well as knowledge of industry-specific tools and regulations. Technical skills such as data visualization, data cleaning, and proficiency in programming languages like Python and SQL are essential for analyzing and interpreting data. Soft skills like analytical thinking, communication, attention to detail, and time management are equally important in ensuring that insights are effectively communicated and actionable.

In addition, understanding industry-specific tools such as CRM and ERP, as well as regulations like HIPAA and GDPR, is crucial in today’s data-driven world. By mastering these skills, aspiring data analysts can position themselves for success in a rapidly evolving and increasingly competitive job market.

Demanding Data Analyst Skill FAQs:

1. What skills should a data analyst have on a CV?

A data analyst’s CV should highlight their technical skills, such as proficiency in data cleaning, analysis, visualization, and statistical modeling. It should also demonstrate their soft skills, such as analytical thinking, communication, and attention to detail. Additionally, any industry-specific knowledge or software proficiency should be highlighted.

2. What are the most important technical skills for a data analyst?

The most important technical skills for a data analyst include proficiency in data analysis and visualization tools such as R, Python, SQL, and Excel. Additionally, knowledge of machine learning, linear algebra, and calculus are also important.

3. What is the difference between SQL and NoSQL databases?

SQL databases are relational, meaning they use tables to store data and define relationships between them. NoSQL databases, on the other hand, are non-relational and can store unstructured or semi-structured data.

4. What are big data analyst skills?

Big data analyst skills include proficiency in big data processing tools such as Hadoop and Spark, as well as distributed computing and cloud computing knowledge.

5. What SQL skills do you need for data analyst?

Data analysts need to be proficient in SQL, including the ability to write complex queries, use aggregate functions, and join tables.

6. Is data analyst a hard skill?

Data analysis is typically considered a hard skill due to the technical proficiency required, including proficiency in programming languages and statistical analysis.

7. Does data analyst require coding?

Yes, data analysis requires coding, including proficiency in programming languages such as R, Python, and SQL.

8. Is data analyst easier than programming?

Data analysis is a different field than programming, with its own unique challenges and requirements. It may be considered easier or harder depending on an individual’s strengths and interests.

9. Is Python needed for data analyst?

Python is a valuable programming language for data analysis due to its versatility and the vast number of libraries available for data analysis tasks. However, it is not the only language used for data analysis.

10.Should I learn SQL or Python first?

It depends on your specific goals and job requirements. SQL is typically used for managing and querying databases, while Python can be used for data analysis, machine learning, and other tasks. Both languages have their own unique strengths and applications.

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Tech Writer | Data Analyst | Digital Creator

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