How Do I create a Correlation Matrix in Excel Using SigmaXL?
The correlation matrix complements the scatterplot matrix by quantifying the degree of association. The following table shows the approximate relationship between r, R-squared, and degree of association:
Pearson Correlation Coefficient (r) | R-Squared (%) | Degree of association |
0.9 <= |r| <= 1 | > 80% | Strong |
0.7 <= |r| <= 0.9 | 50% to 80% | Moderate |
|r| < 0.7 | < 50% | Weak |
Pearson Probability, p > 0.05 | None |
- Open Customer Data.xlsx. Click Sheet 1 tab (or press F4 to activate last worksheet). Click SigmaXL > Statistical Tools > Correlation Matrix. Ensure that entire data table is selected. If not, check Use Entire Data Table. Click Next.
- Select the variable Avg No. of orders per month; shift-click on
Staff Knowledge and click Numeric Data Variables (Y) >>
as shown:
- Click OK. Resulting Correlation Matrix is shown:

-
Correlations highlighted in red are considered significant (p-values < .05). The corresponding correlation coefficients above the p-values are also highlighted in red. (Compare these to the Scatterplot Matrix.)
Note that Spearman’s Rank Correlation complements Pearson’s Correlation, in that it provides a robust measure of association. Spearman’s rank is based on correlated ranks, which are not sensitive to outliers.
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