How To Become A Business Analyst

Part 1 of 21 in the Series: The Business Analyst Job Description

ON BECOMING A BUSINESS ANALYST – THE BUSINESS ANALYST JOB DESCRIPTION

A business analyst is an information technology worker who improves the efficiency and productivity of business operations.

The business analyst achieves this by closely analyzing the business processes in an organization for inefficiencies.

When inefficient business processes are discovered, the business analyst makes recommendations for business process improvements.

If the recommended solution is approved, the business analyst works with computer programmers, lead software developers, software managers and other information technology workers to implement the recommended solutions.

The business analyst works in a team, acting as a liaison between the business team and the software development team.

The business analyst is the information technology worker who lives in two worlds, one being the business world and the other being the software development world.

A business analyst needs to understand software development enough to discuss the details of the business process improvement project with computer programmers assigned to the project in a technical language programmers understand.

Roles and Responsibilities of a Business Analyst

The roles and responsibilities of a business analyst include:

Acting as a liaison between the software development team and the business team.

Writing feasibility studies, project briefs, cost analysis, testing schedules and user manuals for new business processes.

Analyzing business processes to identify problems and implementing solutions that improve the business process.

Communicating and presenting technical solutions for business problems to business stakeholders and owners.

Documenting or explaining complex business operations to software developers.

Career Outlook and Prospects for Business Analysts
Like the other professions in software development, business analysts also have well-paying jobs. In 2006, business analysts in the United States earned an average of $68,579 annually, with bonuses amounting to $3,783. The total increase from the figures of 2005 is 3.1%.

Business analysts who become contract information technology workers can earn six-figure salaries.

I recommend that you read two of my previous articles on contracting if you are interested in becoming a contract business analyst. The first article is the how to become a contract business analyst. The second is Full Time Business Analysts Or Contract Contract Business Analysts.

Both articles will help you decide whether to be a full-time business analyst or a contract business analyst.

Skills and Requirements for a Business Analyst

In some organizations, the business analyst works with a team of computer programmers and does not need to master computer programming.

In other organizations, the line separating the business analyst and the computer programmer is fuzzy, therefore the business analyst must know how to code. In cases like this a beginner or entry-level mastery of computer programming is all that is needed.

Generally, a basic computer expertise in computer programming will help a business analyst perform their work better.

To gain this basic expertise in computer programming, an aspiring business analyst should have a solid understanding of SQL, data analysis, reporting, UML, Visual Basic programming, Microsoft Office Automation and a few other software packages.

Just bear in mind that this varies from organization to organization.

The ability to work in a team and to coordinate among people is also a skill that the business analyst needs to cultivate. Good writing skills and communication skills are also helpful in this career.

Comparing Computer Programmer Careers To Business Analyst Careers

1. Technology Skills: Computer programmers spend the majority of their time writing code while business analysts spend a minor amount of time writing code.

2. People Skills: Business analysts invest a lot of time interacting with business users a lot, so they need good communication and relationship skills.

Computer programmers tend to invest most of their time working on software that will be used by people. So communication and relationship skills are secondary to technical skills for software developers.

3. Entry level requirements: Business analysis positions tend to have lower entry level requirements than computer programming positions. Business analysis positions tend to pay lower than computer programming positions as well.

One of the advantages of learning computer programming is that you instantly have a lot of well-paying career options including software project management and business analysis.

The business analyst career stands out because it gently introduces you to the software development industry. It also provides you the opportunity to use more of your communication, relationship-building and data-analysis talents.

After more than a decade in software development, I’m convinced that many people don’t realize they have the option of becoming a business analyst. I hope that you do decide to become a business analyst if you are not really cut out to be a computer programmer.

If you want to become a business analyst or are looking for a business analyst job, begin by reading the series titled “The Business Analyst Job Description” to get the foundation or knowledge you need to succeed in business analyst jobs or roles.

Getting Back Into The Job Market: How To Start A Business Analyst Career»

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Caroline

Hi,

I am a Team Leader with the Inside Sales process / Business Development for an IT company.

I am more involved in generating new business for the Organization and working with the sales people closely for the European market.

I want to look out for a Business Analyst role.

Could you suggest me how to take it forward.

Thanks & Regards,

Caroline.

Manish Srivastava

Hi, I am about to complete my MCA. I would like to start my career as a BA. Can you please tell me if there is any specialised course I need to go for? What other skills/qualities I need to possess? Please let me know.

Siddharth

Hi,
I have just started my career as Test engineer and I have completed my MBA also. I want to proceed towards a Business Analyst role.

Will my experience in testing roles help me achieve my dream?

ITCareerCoach

Your experience as a Software Test engineer counts towards the experience required to become a business analyst.

Whether your experience is in automated testing or manual testing, user acceptance testing or test verification, creating test plans or test cases, you can transfer that to a new business analyst role.

Mstaff

Does anyone think me getting a CPA/Masters in Finance to become a Business Analyst a good idea?

Analyst and research seem to be jobs suitable for an introvert.

I prefer to not have consistent interaction with people but can communicate well regularly.

I think this combination of Business/Accounting/Finance and I.T. touch on all the careers I have soon that are good for introverts.

Does anyone agree?

ITCareerCoach

Will a CPA / Masters in Finance help you become a business analyst? Probably Not!

Why?
Having a CPA or a Masters in Finance will help you become a Financial Analyst but it will probably not help you become a business analyst except if you want to limit yourself to the financial domain.

You are mixing up the classical definition of business analysis which several years ago meant lots of financial analysis with the current / more modern definition of a business analysis.

Financial Analysts are not Business Analysts in the current / modern context because financial analysts limit themselves to financial / accounting topics while business analysts cater to a wider set of business processes / domains.

Click here to Download and review the curriculum development plan for business analysts and then compare that to the knowledge requirement for CPAs

… Good Question!

I have a delimma. I have a tuition waiver (veteran-hazelwood act) to go to any public community college or university in Texas tuition free but I cannot find considerable work after receiving my Bachelor’s degree from University of Phoenix.

Since I am stuck doing contract lower-level accounting jobs for $15 an hour or armed over-night security for $10 I do not even have extra money for books and the fees that are left when I begin classes even though everything else is paid for.

I have been accepted for an MBA program to a local non-profit christian university that will allow me to take one class at a time vs the 2 or 3 at a time I would have to take at the traditional university not really allowing me to work much if at all.

The christian university will allow me to continue working full at time menial jobs and also be available for any further future opportunities as I continue my MBA. The traditional university has an AACSB accredidation and the christian one doesn’t.

I need advise on what option to take.

Any input would be greatly appreciated.

Asif

I’m an MBA graduate and completed my B.Com also. I’ve got a year of experience in Recruitment..

I’m thinking of changing my career in to BA functional role.

I’ve no idea how to start in to BA domain. Please guide me with necessary inputs.

I don’t have any knowledge into software testing or programming skills.

Rituraj Phukan

Hello i am presently working as a software tester.

I have an IT background as i have done BCA and then MSc(Computer Applications).

I am interested in making a transition to the Business analyst profile in the financial domain as i know I have the required skill-sets for the same like communication skills, documentation skills etc.

Can you please guide me on how to proceed for the same?

Are there any certifications in BA field for the finance domain which will help me if i undertake it?

Looking forward to your revert

Best Regards

ITCareerCoach

I just answered your question

Sarat

I have been working as Cluster Manager Shared Services in an Life Insurance Company, i have total 9+ years of experience into financial services.

I want to switch to BA that too in IT industry but with my current domain experience, because i have been dreaming to work in IT MNC and if i could get opportunity to work even for On Site that sounds great for me and i will be in the sky.

So, how could i fit into BA role and more over is it recession proof or tampered, what will be future for BA and career path.

Thanks for your time.
-Sarat-

ITCareerCoach

I don’t know about the business analyst career being recession proof … is there any evidence to suggest that?

Saying that a career is recession proof, is a very strong assertion. The career that is the most recession proof is: “The Software Developer Career”, specifically the Microsoft .NET Developer Track

But do you really want to drop business analysis and start learning Microsoft .NET Development simply because it is more recession proof than business analysis?

Notice that I use words like “more recession proof” …

Ultimately no career is recession proof. As a matter of fact, here in the United States, more recession proof careers are found in the medical industry … Medical Doctors are always in demand.

But here is my note of caution to you: comparing the “recession proneness” of one career to another is largely a historical analysis.

As in, I can say that based on the employment trends of the last five (5) years, Microsoft .NET Software Developer Careers are more recession proof than business analysis careers.

But this is just a historical analysis … there is nothing that says that five (5) years from now, the business analyst career will not be more recession proof than the software developer career.

So, perhaps, your criteria for analyzing the suitability of the business analyst career is too narrow.

To determine, if the business analysis career is the right one for you, consider additional criteria such as:

1. Salary, Wages / Compensation
2. Demand: Locally, Regionally / Internationally
3. Portability of skills
4. Learning curve
5. Technical skills requirement
6. Soft skills requirement
7. Working environment
8. Educational requirements
9. Job experience requirements
10. Passion / Drive / Motivation / Vision
11. Current background

These are just some of the equally valid criteria for analyzing the suitability of the business analyst career.

I would be happy to discuss any / some of these criteria with you

Harit

Hi all,
I m doing a busines management course.. Its hardly a last semester left.
I had also learned about SQL, visual basic but i m not perfectly good in coding.
But i know how to resolve a busines problem,
i m having a knowlege of data analyst.
i kow how to make a stratagies, plans to get solve the busines problem.
Can u tel me that can i become a ‘BA’? Since i m not good in coding but perfect in solving busines problem.

ITCareerCoach

Your educational background in data analysis, business management, sql, visual basic will help start you on your way to becoming a business analyst.

However, you have to get a hold of a curriculum developed for business analysts and learn the topics in that business analyst curriculum.

You can download a business analyst curriculum from here …

Shivan

I’m an MBA graduate with IT background but i’m interested in BA as it involves both system and people interaction. So please advise me on how should I go from here.

Many thanks in advance,

ITCareerCoach

Yes, you are right in the sense that business analysis involves both systems and people … that is a good way to summarize what business analysis is.

Congratulations on your MBA in Information Technology (IT), your background will help you relate with both business and systems people.

However, you have to do something a bit more specific to become a business analyst …

You have to get a hold of a curriculum developed for business analysts and learn the topics in that business analyst curriculum.

You may download a business analyst curriculum from here …

Abhijit Ghosh

I am in ERP pre sales where i gather the requirements from the clients, show them software demo, submit proposal and cost estimates etc.

My questions are:

1. Is business analyst a better (high paying) position than pre sales consulting?

2. What will be the career move ?

3. I actually want to move into IT Management (like VP). What profession will help me? I am MBA with 4 years of exp in pre sales and sales of IT services and products.

ITCareerCoach

Hey, these are good questions and I will answer them for you below.

Question:
Is business analysis a better paying position than pre-sales consulting?

Answer:
It depends on the company that you work for and the average pay for business analysts compared to the average pay for pre-sales consultants.

It depends on the type of pre-sales job you are doing as well. Here in the US, the average pay for business analysts is about: $84K while the average pay for pre-sales ranges from $20K for retail sales to $124K for pre-sales engineers to as much as $288K if you are running your own business.

Having an MBA will help you move into management. However, becoming a manager and potentially a Vice President (VP) requires a little bit more planning.

Managers are hired for their understanding of how to run specific types of businesses in specific industries.

So, start by choosing an industry that you are passionate or at least comfortable with … because you will be spending a good many years of your life in that industry.

Next, work hard and learn the company’s business and then focus on bringing a lot of value to the company by doing a number of things:

1. help with bringing in more money
2. help with managing Information Technology / Software Development projects
3. Help with improving some aspects of the business (marketing, finance, etc)

Also, learn how to become a leader and become a bit more noticeable by developing a reputation for getting things done.

Get involved with making presentations and taking a more pro-active role with solving the problems facing your company’s business

sulthan

i have 5yrs experiance in banking and insurance.i am a bsc gradute.i am currently working in insurance industry as a manager.i want become a business analyst what should i do

ITCareerCoach

Knowledge + Skills + Experience = “A Business Analyst Career”

1. Download the relevant curriculum for learning business analysis

2. Study to become a business analyst. Advance your knowledge into skills by taking lots of practice tests.

3. Get lots of hands-on business analysis experience

You may download a business analyst curriculum from here …

Everything else you do to become a business analysts is not going to be as important as these first three (3) items.

4. Get your resume into tip top shape and send it to lots of recruiters

5. Start taking lots of interviews

Priya

I am really happy to see the response from the career coach…. Good Work!!!!

I am a B.E graduate working in a software concern for about 1 year in application side.I want to move from technical to business side i.e BA.

So please guide me how to mold myself and how to find the opportunities to change my field.

ITCareerCoach

Everything you have heard about the saying: “Knowledge is Power” is true especially in today’s information age.

The leverage that you have is your knowledge, skills and experience in business analysis.

So, do everything you can to learn more about business analysis, take lots of practice tests and get a lot of handson business analysis experience

Santiago

Do you think a BA in economics is a good starting point for pursuing a career in business analysis?

ITCareerCoach

Any college degree is a good starting point for a career in business analysis because ultimately your college degree does not matter as business analysis is not learnt in school!

So, if you like Economics, Maths, Statistics, Finance or topics like that, then go for a BA in Economics.

On the other hand, if you want to become a Domain Business Analyst who specializes in Finance, (Financial or Banking Business Analyst), a BA in Economics will be a very good starting point!

Good Luck with you career

Sandy

Can a BA in IT industry survives in the Mining industry?

ITCareerCoach

Yes, a BA in the IT Industry can survive in the Mining Industry if the BA is ready to put his/her head down and learn how the Mining Industry works.

You must be so focused and so obsessed about learning how the Mining Industry works that in a short time, you become as knowledgeable about the Mining Industry as others who have two or more years of mining experience.

In other words, don’t depend on your IT Business Analysis skills alone, tackle this as seriously as you will tackle a PHD. or an MBA Program.

Your goal should not be to survive the Mining Industry but to excel as a Business Analyst (BA) in MIning …

Best Wishes

Nidhi

I have an MBA in HR with 2 years experience in recruitment in India.

I married and moved to London and I have not worked for more than a year. As I don’t have local UK experience, so I am finding it difficult to get a job.

However the Business Analyst role always fascinates me but I don’t know how to put forward my 1st step?

I am ready to work for free for a few months to get into a BA role … Please guide me

Thanks

ITCareerCoach

Stop for a moment and think about the real reason why you can’t get a job … lack of local UK experience!

You have to address this issue squarely just like you addressed the issue of not being educated enough by getting an MBA degree!

The real problem that you have to solve is … how to get local UK experience in HR or Business Analysis or Anything at all.

If you haven’t solved this problem as in the HR field, will changing careers to business analysis for example, make it easier or harder for you?

Do you think that you will need be required to have handson experience in business analysis before you can get a job?

On the other hand, saying that you are ready to work for free is not enough. You actually have to contact people and tell them what you can or will do for them and then tell them that you will do it for free … have you done that?