Business analysis
Business analysis is a professional discipline focused on identifying business needs and determining solutions to business problems. Solutions may include a software-systems development component, process improvements, or organizational changes, and may involve extensive analysis, strategic planning and policy development. A person dedicated to carrying out these tasks within an organization is called a business analyst or BA.
Business analysts are not limited to projects involving software system development. They may also collaborate across the organization, addressing business challenges alongside key stakeholders. Whilst most of the work that business analysts do today relates to software development / solutions, this is due to the ongoing massive changes businesses all over the world are experiencing in their attempts to digitise.
Although there are different role definitions, depending upon the organization, there does seem to be an area of common ground where most
business analysts work. The responsibilities appear to be:
- To investigate business systems, taking a holistic view of the situation. This may include examining elements of the organisation structures and staff development issues as well as current processes and IT systems.
- To evaluate actions to improve the operation of a business system. Again, this may require an examination of organisational structure and staff development needs, to ensure that they are in line with any proposed process redesign and IT system development.
- To document the business requirements for the IT system support using appropriate documentation standards.
Sub-disciplines
Business analysis as a discipline includes requirements analysis, sometimes also called requirements engineering. It focuses on ensuring the changes made to an organisation are aligned with its strategic goals. These changes include changes to strategies, structures, policies, business rules, processes, and information systems.Examples of business analysis include:
Enterprise analysis or company analysis
Focuses on understanding the needs of the business as a whole, its strategic direction, and identifying initiatives that will allow a business to meet those strategic goals. It also includes:- Creating and maintaining the business architecture
- Conducting feasibility studies
- Identifying new business opportunities
- Scoping and defining new business opportunities
- Preparing the business case
- Conducting the initial risk assessment
Requirements planning and management
Requirements elicitation
Describes techniques for collecting requirements from stakeholders in a project. Techniques for requirements elicitation include:- Brainstorming
- Document analysis
- Focus group
- Interface analysis
- Interviews/questionnaire
- Workshops
- Reverse engineering
- Surveys
- User task analysis
- Process mapping
- Observation/job shadowing
- Design thinking
- Prototyping
Requirements analysis and documentation
Analysis
The major forms of analysis are:- Architecture analysis
- Business process analysis
- Object-oriented analysis
- Structured analysis
- Data warehouse analysis, storage and databases analysis
Documentation
- Textual – for example, stories that summarize specific information
- Matrix – for example, a table of requirements with priorities
- Diagrams – for example, how data flows from one structure to the other
- Wireframe – for example, how elements are required in a website,
- Models – for example, 3-D models that describes a character in a computer game
Requirements communication
Solution assessment and validation
Describes how the business analyst can perform correctness of a proposed solution, how to support the implementation of a solution, and how to assess possible shortcomings in the implementation.Techniques
There are a number of generic business techniques that a business analyst will use when facilitating business change.Some of these techniques include:
PESTLE
This is used to perform an external environmental analysis by examining the many different external factors affecting an organization.The six attributes of PESTLE:
- Political
- Economic
- Sociological
- Technological
- Legal
- Environmental
Heptalysis
- Market opportunity
- Product/solution
- Execution plan
- Financial engine
- Human capital
- Potential return
- Margin of safety
STEER
- Socio-cultural
- Technological
- Economic
- Ecological
- Regulatory factors
MOST
The four attributes of MOST are:
- Mission
- Objectives
- Strategies
- Tactics
SWOT
The four attributes of SWOT analysis are:
- Strengths – What are the advantages? What is currently done well?
- Weaknesses – What should be improved? What is there to overcome?
- Opportunities – What good opportunities face the organization?
- Threats – What obstacles does the organization face?
CATWOE
There are six elements of CATWOE:
- Customers – who are the beneficiaries of the highest level business process and how does the issue affect them?
- Actors – who is involved in the situation, who will be involved in implementing solutions and what will impact their success?
- Transformation process – what processes or systems are affected by the issue?
- Worldview – what is the big picture and what are the wider impacts of the issue?
- Owner – who owns the process or situation being investigated and what role will they play in the solution?
- Environmental constraints – what are the constraints and limitations that will impact the solution and its success?
de Bono's Six Thinking Hats
- White: pure facts, logical.
- Green: creative.
- Yellow: bright, optimistic, positive.
- Black: negative, devil's advocate.
- Red: emotional.
- Blue: cold, control.
Five whys
is used to get to the root of what is really happening in a single instance. For each answer given, a further 'why' is asked.MoSCoW
This is used to prioritize requirements by allocating an appropriate priority, gauging it against the validity of the requirement itself and its priority against other requirements.MoSCoW comprises:
- Must have – or else delivery will be a failure
- Should have – otherwise will have to adopt a workaround
- Could have – to increase delivery satisfaction
- Won't have this time – useful to the exclude requirements from this delivery timeframe
VPEC-T
- Values – constitute the objectives, beliefs and concerns of all parties participating. They may be financial, social, tangible and intangible
- Policies – constraints that govern what may be done and the manner in which it may be done
- Events – real-world proceedings that stimulate activity
- Content – the meaningful portion of the documents, conversations, messages, etc. that are produced and used by all aspects of business activity
- Trust – between users of the system and their right to access and change information within it