Business Analyst - IT
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1 Business Analyst - IT It s about you Are you a logical thinker who is up-to-date with the latest trends in information technology and their application to business? Can you translate tech-speak into plain language, effectively communicating with both technology experts and nonexperts alike? If so, then a career as an IT Business Analyst might be for you. What is IT business analysis? A major driver of business success is the degree to which special business projects are executed effectively and efficiently. The Project Management Office (PMO) is set up to help ensure this goal is achieved. A PMO coordinates and oversees the special projects that run as temporary initiatives to augment normal business operations and help organizations to change and grow. The PMO acts as a Centre of Excellence, designed to help achieve better quality, consistency and oversight of projects across an enterprise doing so by developing and maintaining project management methodologies, standards and tools. For example, a PMO might decide which project management certification program is required by its Project Managers or it may develop an in-house standard. It may coordinate the system to record project expenditures across the business so that executives can track overall costs. It may also be responsible for assigning project managers with the right skills and experience to various projects across a company. Increasingly, PMO s are playing a part in choosing which projects are undertaken by an organization. In some organizations, the PMO is called a Program Management Office. Programs typically involve a number of inter-related projects in support of a broad business goal. What is the role of the IT Business Analyst? Business Analysts are responsible for understanding the goals and requirements of a business area, relating these objectives to the capabilities possible through IT, and then guiding the specification, design and development of the technology solutions to produce the desired business results. Communication and relationship management is key throughout this process. The IT Business Analyst is required to understand and respond to the differing perspectives and expertise of diverse project teams comprised of IT experts responsible for computer programming, testing, technical architecture, service desk provision, 1
2 project managers, IT vendors and the business colleagues who use the systems day-to-day. Business Analysts collect, clarify and translate specific business requirements into documentation and conceptual design from which technology applications and solutions are developed. The main goal of an IT Business Analyst is to help build the right IT solution in the most efficient and effective way possible. The IT Business Analyst is typically involved in a project for a business area from the initial stages through to the implementation of the resulting system solution into full operation. Generally, IT Business Analysts report through the IT department of an organization and act as a connection point between technology specialists and business end users. It is also interesting to note that, in some areas, responsibility for ensuring the appropriate technology support is in place is being pushed to the business areas. This trend may result in Business Analysts being more closely placed with the business teams. IT Business Analysts must be vigilant about keeping up-to-date on technology developments, in particular given the rapid pace of change in this field (e.g., social media, cloud computing etc.). They must also have good knowledge about trends in the financial services sector in general and trends affecting their firm s particular area of focus and products (e.g. retail banking, wealth management, insurance) in order to make informed recommendations about technology solutions for their firm. Unlike some other deeply technical IT roles, the IT Business Analyst is in close contact with front line business operations and has insight into where the business area is heading. He or she also has a direct influence on the business by facilitating the design and modification of systems that make the business strategy operational. For example, for a retail bank, a Business Analyst might play a key role on a project team to implement leading-edge technologies to prevent internet fraud on a bank s online banking portal. Areas of focus [there are no particular areas of focus for this role] 2
3 Main Duties Main duties and related activities of the IT Business Analyst Project Definition and Design IT Business Analysts work with different parts of the business to introduce new systems, update and/or maintain existing systems to improve or expand business operations. They begin with getting an understanding of the business area s needs and then move to assessing the various IT options available to meet these requirements. Key activities: Participate in exploratory discussions regarding desired business operations performance improvements (e.g. speaking with the operations area in a financial institution about enhancing customer statements) Review and analyze current IT systems, documentation and work process requirements to identify system capability gaps Document current and future - business/system/data flows Structure, document and communicate recommended options for IT solutions to address capability gaps (including risks, costs and benefits). Develop full business cases for recommended options; this includes providing input on decisions to buy versus build a new IT system based on input received from the business and other functions within technology Participate in the system and process design, user interface and navigation design, screen and report design Development and Testing Once plans for new developments/enhancements to the IT system of the firm have been approved, the IT Business Analyst then works with the team that actually develops the system to help them more fully understand the needs of the business area. As the system changes are ready for testing, prior to deployment, the IT Business analyst also assists in this process. Key Activities: Work with the development team (e.g. system developers who write the code/software and infrastructure engineers who install the hardware and network components) in an advisory capacity to produce the new system Work with the testing team to develop relevant test scenarios and testing plans (e.g. including system integration test scripts) Assist in the review of the test results to confirm the system s accuracy 3
4 Provide input to planning decisions, monitor and report any changes in requirements, and manage status of business analysis progress against the project plan Process Review and Enhancement In organizations that do not have a separate Process Analyst role (see the Process Analyst profile in the Business Analysis Non-IT cluster), the Business Analysts undertake activities involved in identifying how processes work, what their problems are and their required enhancements. Key activities: Perform continuous reviews of a process or system to align processes (e.g. models, goals, expectations) with changing business conditions and new products and service offerings Work closely with process architects (experts who create diagrams related to the detailed architecture/structure of all aspects of an organization) and other analysts to ensure process consistency, and techniques across the enterprise Implementation, Maintenance and Monitoring Once the system has been designed and developed, IT Business Analysts then work with their business user clients and IT to implement the system and ensure that operational support for its ongoing use is in place. Key Activities: Facilitate the implementation or roll-out of the new functionality (e.g. assist with the design, development and sometimes delivery of training for end users) Plan and develop strategies to convert data from the current system to the new structure, if required Investigate operations-related problems or inquiries and recommend and coordinate solutions to address such issues Establish processes for IT system support and maintenance 4
5 Stakeholder Relationship Management It is very important for the IT Business Analyst to understand and work effectively with internal clients and others. Key activities: Communicate and translate system requirements effectively between those business areas that use a specific process or system and those who provide technology support for the system Act as the go-to person for software and system enhancement requests and coordinate the implementation of requests for systems Act as a key team member on projects (e.g. managing user acceptance testing on new systems) Ensure proper coordination between IT and process owners by defining conceptual and contextual levels of detail in the business process models Act as a touch point for all requests for customization of existing software Work Context, Knowledge, Skill Requirements and Applicable Experiences Work Context The Business Analyst s office-based work environment generally involves prolonged periods of concentration and attention to detail as documentation is reviewed and created. A BA will generally either report to a Development Manager, a Project Manager, or an IT Business Analysis Manager. In the case where a Business Analyst is responsible to a Project Manager, he or she may be officially managed by someone else i.e. a matrix reporting relationship. The work of Business Analysts is mainly project- or initiative-based. They may work independently, but more typically are part of a team -- often it can be a virtual project team, comprised of local and global colleagues and external suppliers. A significant portion of the Analyst s time may be spent in discussions (e.g. via telephone or video conferencing or in-person meetings) with internal clients, team members and vendors to clarify and communicate the needs and requirements for the project. Strong communication and relationship management skills are extremely 5
6 valuable in this role, in particular for the larger-scale projects involving numerous internal and external stakeholders and multiple sub-project work streams. With increasing seniority, Business Analysts must be able to facilitate/lead these stakeholders towards a single strategic vision for the project. As most projects are deadline-driven, long hours and evening or weekend work is occasionally required. Knowledge IT Business Analysts require specific knowledge of: Business process reengineering and modeling techniques Systems design methodology Analysis frameworks (e.g. International Institute of Business Analysis Business Analysis Body of Knowledge - BABOK) System development life cycle System and data analysis and modeling techniques Financial services industry environment and operations Financial services products and services (e.g. lines of credit, equities trading, derivatives) In some cases, knowledge of multiple programming languages and software technologies may be required. Technical skills IT Business Analysts require specific technical competencies: Problem-solving methodology Process documentation tools (e.g. Visio) Modeling techniques (e.g. Unified Modeling Language, swim lanes, fishbone diagrams, process flow and data flow) Automated requirements gathering tools Project management tools (e.g. Microsoft Project) Software testing User acceptance testing 6
7 Soft skills The IT Business Analyst requires the following specific soft skill competencies: Well-developed critical thinking skills Ability to think logically in order to recognize and solve problems through the use of technology Ability to work collaboratively as part of a team Ability to prioritize and balance multiple tasks or projects Excellent verbal communication skills to be able to present, facilitate meetings and translate between technology and business terminology Excellent written communication skills in order to produce effective, userfriendly business requirement documentation Well-developed relationship management skills Highly detail-oriented Flexible and open to change Applicable Experience The IT Business Analyst will often bring the following types of experience to the role: Experience as a power user who is able to use advanced features of computer programs and understands the technical relationships inside a computer system (e.g. Oracle, Windows Administration) Software developer or tester Work experience in the business area where IT services are being provided (e.g. If an IT system is being implemented to support customer complaints, experience in a customer call center would be applicable experience) 7
8 Education, Certifications, Designations, and/or Licenses Entry Level Position Entry level/ intermediate positions typically require: þ Undergraduate degree In the fields of: Computer Science Technology Business Management Information Systems Economics Industrial Engineering Senior Level Positions [this is not a senior-level position] Certifications and designations Certifications and designations in this field are not commonplace, but are emerging and may include: Certified Business Analysis Professional (CBAP) Certification of Competency in Business Analysis (CCBA) 8
9 Professional Associations Professional associations may include: International Institute of Business Analysts (IIBA) Representative Job Titles Business Systems Analyst Computer Systems Analyst Information Systems Analyst Systems Analyst Business Architect Business Technology Solutions Analyst Solutions Analyst Data Analyst Quality Assurance Analyst Test Analyst Requirements Engineer Career Pathways Moving in to the role It is common to enter a junior IT Business Analyst role directly from a relevant college or university program. At more senior levels, employers generally look for someone with not just technological expertise but a deep understanding of the operational business area being supported by the Business Analyst. While degrees are important, direct experience in the field is also considered to be valuable. Other roles that would allow you to develop relevant experience with business system requirements are Quality Assurance Analyst, Test Analyst, Process Analyst, Business Requirements Engineer, Business Systems Analyst or Test Analyst. 9
10 Progression beyond the role IT Business Analysts tend to remain in their roles for a substantial period of time, as it is a specialist role. It is, however, possible to move up in the business analysis practice to a Senior Analyst, Business Consultant or Manager role. In more senior positions, the breadth and scope of the projects change problems become more complex and systems farther-reaching. For example, as a Junior IT Business Analyst you might work on one part of one system, e.g. changing a few data fields on one or more screens of a human resources information system. As a Senior IT Business Analyst, you might work on an entire section of the system, including multiple layers that impact interconnecting systems. A move into management would generally require being accountable for teams of people. Given their extensive exposure to project work, some Business Analysts move on to project management roles. If a Business Analyst develops an in-depth understanding of and interest in - a specific business area, it may also be possible to move into an operational role within that business area. External Factors Impacting the Role There are several external factors which impact the role of IT Business Analysts. Some of the factors below will impact this role more than others: The increasing pace of technological change will require IT Business Analysts to be committed to continuous learning and skill upgrading in order to keep up to date with new developments in the field The globalization of business operations may necessitate new or upgraded systems and therefore demand for IT Business Analysts Increased regulation may also require new/enhanced monitoring and reporting systems for financial services firms and therefore continued or rising demand for IT business analysis skills Ensuring efficient delivery of the proliferation of new and increasingly complex financial products may also raise the need for business analysis As some technology becomes standard or commonplace, it may get moved into the business areas of a firm from the central corporate IT function; IT Business Analysts may also then be incorporated into the related business areas As the field of business analysis has become increasingly professionalized in recent years with the emergence of professional associations and designations, IT Business Analysts may look to various designations/certifications to differentiate themselves in the workplace. 10
11 Employment Trends and Outlook Employment Trends The IT Business Analysis field has grown significantly over the last decade and demand for IT Business Analysts is expected to remain strong as advances in technology lead to new applications for computers; and increased globalization, regulation and the introduction of new financial products and services lead to new/enhanced system requirements and the Business Analysts who can facilitate these changes. Through 2014, the expectation is that this job position will grow more than 27% in the United States, not including self-employment or openings due to turnover (2009, US Department of Labor). The role of an IT Business Analyst is crucial for the success of a project if the IT requirements are not correct, the entire project will crumble. As such, the demand for excellent IT Business Analysts is high and it is expected that business analysis emerge to the forefront of business success. It is unlikely that IT Business Analyst roles will be outsourced due to the intimate understanding that they need to have of how the business works. Developing relationships with business-end users and vendors is an essential part of the IT Business Analyst s role, and interpersonal relationships cannot be developed if this position is outsourced. IT Business Analyst roles are salary-based with the potential for performancebased bonuses. Studies demonstrate that IT Business Analysts who are certified earn more than analysts who are not. Compensation IT Business Analyst roles are salary-based with the potential for performancebased bonuses. Studies demonstrate that IT Business Analysts who are certified earn more than analysts who are not. 11
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