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EduPristine>Blog>How Business Analyst Play an Important Role in a Project?

How Business Analyst Play an Important Role in a Project?

August 27, 2015

Who is a Business Analyst?

A business analyst is someone who analyzes an organization’s domain (real or hypothetical) and documents its business or processes or systems, assessing the business model or its integration with technology.

The role of the business analyst has evolved over the past few years and has proved to be imperative in the successful completion of a project. The existence of this role in different profiles dates back to the time when technology became an essential part of the operations in an organization. The role has become specialized with the waning of business and is more prominent in the accomplishment of a project. The entire gamut from understanding the transformation of the company’s operations to evaluating the impact of these transformations on the process, product and customer, recording, and measuring the needs and assisting the delivery of these requirements with the collaborators lies under the purview of these analysts. The growing importance of these skilled employees has left us thinking the reasons behind it.

business analyst

Importance of Business Analysts in Projects

1. Rate of Failure of IT Projects:

There are numerous projects being drafted, finalized and stalled every day as they fail to meet the expected results. The rate of failure has increased over the past few years. This failure is a stain on the IT Department as it portrays the incapability of project delivery. There were many factors that led to an increased rate of project failure that includes

  • disorientation in job delegation
  • incomprehensible objectives
  • communication issues among the team
  • skimpy risk management skills, and
  • inadequate resources

These reasons can be controlled and alleviated through the dexterity of these experts. The role of these professionals in defining the requirements and enterprise analysis is the key to reducing the probability of collapse of a project.

2. Business Analysts bridge the gap between IT departments and Business units:

IT department within an entity operates with a different set of objectives and principles. They are separate entities even if they are the part of the same organization.

  • IT is more concerned about the implementation and management of technology within an organization- their operations and how to make optimal utilization of the technology. They align themselves to the vision and mission of the organization.
  • The pursuits are focused in the customer requirements, the profit and loss statement and what more can be done to generate more revenue.

Effective communication is a barrier between these two parts of the company. Here comes the need of these expert analysts.

  • He is the liaison between the two departments who translates the commercial requirements to create inputs for the IT projects for a desired and fruitful end result.
  • He also decodes the potential of the IT team and passes the information to the other verticals for producing effective solutions.
  • The aim of the analyst is to align the systems and software with the requirements of the organization to construct a sturdy infrastructure that acts as the competitive edge for the entity.

Blending these two components in the right proportion is an art and with the prolific domain knowledge, the analyst is necessary to maintain equilibrium through them. He has the right expertise and technical understanding to weave the requirements and extract perfect solutions.

3. Outsourcing is an essential component:

This is another crucial factor for which these experts are a fundamental part of every project especially IT. Aligning the operations of IT and other verticals is more critical when the two is separated by boundaries or have a different office space. It is tougher for the IT group to understand the entity’s needs and objectives if it is located externally. Hence, it is essential for the analyst to communicate the requirements and project scope effectively through the means of enterprise analysis. This along with process modeling, data analysis, and testing also falls under the purview of the analyst to handle such a situation.

4. Heightened Complexities in a project:

These analysts with the extensive domain knowledge can evaluate, analyze and extract the complications and issues associated with the project. With his skills, he will be able to facilitate ideation of solutions that are necessary for the smooth operations of the project.

5. Migration of technology:

Equally meticulous in handling technology and his technical know-how will help him to take control of the situation and mitigate risk associated with the transfer or change of technology. He will be able to communicate it well across all the verticals.

6. Efficient budget allocation:

His two primary skills of functional analysis of the situation and defining the requirements needed for the success of the project helps to allocate the budget efficiently especially when you are working under a tight financial condition.

Therefore, there is no single path to shine this role. An adept professional is either equipped with the operation skills or have the technical grip to grab an excellent opportunity as a business analyst. These analysts will be playing a key role in any project till the above-mentioned six factors continue to dominate the proceedings.

About Author

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Trusted by Fortune 500 Companies and 10,000 Students from 40+ countries across the globe, it is one of the leading International Training providers for Finance Certifications like FRM®, CFA®, PRM®, Business Analytics, HR Analytics, Financial Modeling, and Operational Risk Modeling. EduPristine has conducted more than 500,000 man-hours of quality training in finance.

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