What is Business Analysis?¶
Business Analysis is the practice of helping a company or organization change by understanding its needs and recommending solutions that provide value to those involved. It allows a business to clearly define what it needs to change, why the change is necessary, and how to create solutions that will bring about that change effectively.
What Does Business Analysis Involve?¶
Business analysis can be applied to various initiatives within a company, whether they are strategic (long-term goals), tactical (short-term goals), or operational (day-to-day activities). It can be part of a specific project or an ongoing process of improvement. The main purpose is to understand the current situation, define the desired future state, and plan the steps needed to move from the current to the future state.
Knowledge Areas in Business Analysis¶
In business analysis, there are specific areas of expertise, known as knowledge areas, which cover different tasks that business analysts perform. Each knowledge area focuses on a particular aspect of business analysis.
1. Business Analysis Planning and Monitoring¶
This knowledge area involves planning and organizing the efforts of business analysts and stakeholders. It includes tasks like setting objectives, defining the scope of work, and coordinating activities. The outputs from these tasks are used as guidelines for other tasks throughout the business analysis process.
- Example: Before starting a new project, a business analyst might create a plan that outlines the steps to gather and analyze requirements, ensuring everyone knows their role and responsibilities.
2. Elicitation and Collaboration¶
This area focuses on gathering information from stakeholders through activities like interviews, surveys, and workshops. It also includes communicating with stakeholders to confirm the information collected and working with them throughout the project.
- Example: A business analyst might interview employees to understand their needs and then collaborate with them to develop a solution that meets those needs.
3. Requirements Life Cycle Management¶
This knowledge area involves managing and maintaining the requirements and design information from the start of the project until it is completed. It includes tasks like linking related requirements, analyzing changes, and gaining agreement on proposed changes.
- Example: If a change is needed during a project, the business analyst assesses the impact of that change on the overall project and manages the process to update the requirements.
4. Strategy Analysis¶
This area is about identifying a business need that is of strategic importance and working with stakeholders to address that need. It involves aligning the change strategy with the company’s broader goals and objectives.
- Example: A business analyst might help a company decide whether to enter a new market by analyzing the potential benefits and risks.
5. Requirements Analysis and Design Definition¶
In this knowledge area, business analysts organize and refine the requirements collected during the elicitation process. They model and specify the requirements, validate the information, and explore different solution options that meet the business needs. This area covers everything from initial ideas to the detailed design of a solution.
- Example: After gathering requirements, a business analyst might create diagrams and models to show how the new system will work, helping stakeholders visualize the solution.
6. Solution Evaluation¶
This area focuses on assessing the performance of a solution once it is in use. It involves evaluating how well the solution meets the business needs and identifying any barriers that prevent full realization of its value.
- Example: After implementing a new software system, a business analyst might measure its effectiveness and suggest improvements to maximize its value.
Tasks in Business Analysis¶
A task is a specific piece of work that a business analyst performs as part of the overall business analysis process. Tasks can be done formally (with documented processes) or informally (as part of everyday activities). The tasks defined in business analysis are applicable to various types of initiatives, regardless of their nature.
- Example: A common task might be documenting the requirements for a new software system, ensuring that all stakeholders agree on what the system should do.
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