The Business Analyst’s role is to bridge the gap between business needs and solutions. The Business Analyst (BA) adds value by identifying needs _ problems and opportunities _ and by finding solutions for the organization. It involves understanding how different changes (in process, people, systems or technology) can improve efficiency, productivity, or profitability. Business Analysis has a process centric approach to increase profit: it supports business goals and strategic planning by solving operational problems. A BA typically follows a set of processes to effectively perform his/her role. These processes can vary depending on the organization and the specific project, but generally, they include the following steps: understand the core strategic business goals (1), define the project’s scope and objectives (2), gather, analyze and document the requirements (3), develop, assess and validate the solution (4) and finally implement the solution and manage change (5).
Step 1: Understand the Core Strategic Business Goals
The goals focus on the overall vision and mission of the organization. They articulate the desired outcomes or end states that a business seeks to achieve. They are long-term in nature and are often part of the strategic planning of an organization like increasing market share, enhancing customer satisfaction, improving brand reputation, achieving financial growth, or becoming an industry leader. Business goals provide a framework within which more specific project objectives and strategies are developed.
Step 2: Define the Project’s Scope and Objectives
Typically senior-level executives or department heads tend to stay updated with industry trends, new technologies, and methodologies to continually improve their processes and deliver better value to the business. To this end, they will identify the need _ i.e. the opportunity or problem _ that the organization should address. This is how they will initiate a project and become its sponsor as they have a vested interest in it.
Once a project is initiated, a Project Manager (PM) will often be responsible for defining the project’s objectives in more details like enhancing efficiency, reducing costs, solving existing problems, or adding new functionalities to meet business goals. The PM will also define the project scope including the budget, the timeline and several stakeholders such as business leaders, managers, employees, customers, end-users, IT services, or even regulatory bodies.
Step 3: Gather, Analyze and Document the Project Requirements
The Business Analyst will then start to work closely with the involved stakeholders to gather their requirements. Requirements refer to needs, expectations and conditions that a solution must satisfy to be considered successful. Requirements must be short-term, specific, actionable and measurable. They can relate to budget, timeline, functionalities, usability, reliability, performance, quality, hardware & software, system integration, security & data privacy, compliance, regulation, guidelines relevant to the business or industry… The BA will collect detailed information from stakeholders to understand, articulate and clarify them by reviewing their current processes, analysing their documentation, driving interviews and organising surveys.
Once the requirements are gathered, the BA will analyse them. He will create models and diagrams to visualise them and determine the project feasibility and impact. Starts the back and forth between expectations, budget and timeline. From this analysis, the BA will surface the gaps and inefficiencies that must be addressed in priority and capture the changes that would lead to the most effective improvements like upgrading specific functionalities from a software system, achieving challenging performance metrics with a new process, or developping a particular attribute for a product.
Finally, the Business Analyst will ensure that the analyzed requirements are well-understood and correctly interpreted by documenting them in a clear and concise manner, often using business requirement documents (BRDs) or functional specification documents (FSDs).
Step 4: Develop, Assess and Validate the Solution
The Business Analyst and the Project Manager will analyze the requirements to determine the best course of action, whether it’s implementing new systems, modifying existing processes, supporting organizational change or introducing new technologies. Once the course is set, they will facilitate the design and optimisation of the potential solution. Continuous communication and negotiation with the involved stakeholders is vital here to ensure that the prioritary requirements are being met.
After that, they will assess these solutions for effectiveness, technical viability, feasible, efficiency, cost-effectiveness, sustainability, ability to adapt to future changes and for alignment with business goals and strategic planning. Eventually, after validation, the BA will perform Quality Assurance (QA) and develop test cases ensuring the recommended solution is implementable within the timeline.
Step 5: Implement the Solution and Manage Change
The Business Analyst is responsible for ensuring that the implemented solution delivers the anticaped value to the business and meets stakeholder expectations. The Project Managers then ensures that it aligns with the strategic business goals. This involves continuously liaising with stakeholders throughout the project lifecycle to manage expectations, provide updates, and gather feedback.
The BA also plays a critical role in change management, by training and coaching the stakeholders and users with adapting to the new processes or systems. Additionally, the BA will often get involved in post-implementation reviews to assess the long-run success of the project, perform ongoing maintenance and troubleshooting, identify new areas for improvement, and learn lessons for future initiatives.
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To learn more about the Business Analyst and the other roles in Data Science, check this post: Guess Who? Data Science Edition