Business Analyst Roles, Skills, Career Path | Free BA Book
The business analyst profession has become increasingly in-demand as organizations adapt to powerful technologies and data-driven decision-making.
Companies are hiring more business analysts to bridge the gap between business goals and IT solutions, ensuring strategic improvements. However, there’s still confusion about what business analysts do, the skills required for the role, and how to pursue this career path.
Understanding the blend of technical knowledge, data analysis, and communication skills needed is key to succeeding in this evolving, impactful profession.
In this blog, we will describe what business analysts are, their job description, skills, training and certifications.
Business Analyst Definition
Business analysts analyze business processes, performance, products, and services to identify problems and recommend IT solutions. Now, with the increasing use of data analytics, business analysts not only assess business needs but also leverage data to uncover patterns, trends, and insights that inform decision-making.
They work closely with data, collaborating with IT and data science teams, using analytics tools to deliver data-driven solutions. By integrating data analysis, business analysts enhance their ability to improve efficiencies, products, and services, adding measurable value.
In their interactions with users and business leaders, business analysts focus on understanding how data-driven changes can influence product, service, software, and hardware improvements. They utilize data to evaluate how these changes can enhance efficiencies and create value. This involves not only articulating ideas and potential solutions but also ensuring that they are technologically feasible and financially viable. Business analysts work with various data sets to refine and optimize products, tools, and processes, thereby driving continuous improvement and innovation within the organization.
The International Institute of Business Analysis (IIBA) describes a business analyst as “an agent of change,” emphasizing that “business analysis is a disciplined approach for introducing and managing change to organizations, whether they are for-profit businesses, governments, or non-profits.” This perspective highlights the importance of data analysis in enabling business analysts to effect meaningful changes by providing actionable insights and guiding strategic decision-making.
Business analysts serve as the bridge between business and technology, ensuring that data-backed changes are feasible and aligned with organizational goals.
Business Analyst Role
Business analysts enable organizations to articulate needs, justify change, and design value-driven solutions. With a growing emphasis on data analysis, business analysts now use data to guide decisions, improve processes, and optimize products and services. Data analysis is increasingly integrated into business analysis, allowing analysts to gather insights, forecast trends, and evaluate performance. By understanding current and future states through data, business analysts guide businesses in making informed, efficient transitions.
A Business Analyst is an important part of any project team. Acting as a bridge between stakeholders and IT teams, data-driven business analysts ensure solutions align with strategic goals, improving processes, products, services, and software with measurable, data-backed outcomes. This role offers interaction with diverse stakeholders, enhancing innovation and value.
While a traditional business analyst focuses on identifying business needs, a data-driven business analyst goes further by leveraging data to make informed decisions. This role involves:
- Data Collection & Interpretation: Analyzing large datasets to identify trends, uncover insights, and inform strategy.
- Data-Driven Decision Making: Using statistical tools and software to provide actionable recommendations.
- Predictive & Prescriptive Analytics: Applying analytics techniques to predict future trends and prescribe optimal solutions.
- Collaboration with Data Science Teams: Working closely with data scientists to ensure the analytics solutions align with business objectives.
- Reporting and Visualization: Using tools like Power BI, Tableau, or Python to create dashboards that make data insights accessible to stakeholders.
Incorporating data analysis into the role enables a more precise approach to solving business challenges, ensuring strategies are driven by evidence rather than assumptions.
Core Responsibilities
Business analysts, regardless of industry, focus on understanding enterprise problems, analyzing needs, and developing data-driven solutions. They devise change strategies, facilitate collaboration, and validate requirements.
In addition to traditional tasks like requirements elicitation, requirements analysis, and requirements management, business analysts now leverage data analysis to support decision-making, identify trends, and provide insights for risk factors.
Data insights play a key role in planning, simplifying requirements, and driving strategic changes. Business analysts also support the UAT process by ensuring that solutions meet both business and data-driven expectations.
Business Analyst Qualifications
Business analysts understand the problems and goals of an enterprise, analyze needs and solutions, devise change strategies, drive change, collaborate with stakeholders and also advise organizations on improving efficiency, finances, and various other aspects of the business. While entering the field of business analysis, a broad understanding of businesses and specific knowledge of business processes is desirable. A good understanding of technology and business will enable a business analyst to be successful in his/her career as the role involves a lot of interaction with the business side as well as the technical side.
Business analysts today increasingly rely on data analysis to identify opportunities for improving efficiency and decision-making. To be successful in this role, a strong grasp of both business processes and data analytics tools like Excel, SQL, and BI platforms is vital. Understanding how to analyze and interpret data helps business analysts advise organizations on performance improvement and financial efficiency.
A bachelor’s degree in business administration or a related field is often preferred by employers. Programs that cover both business fundamentals and data analytics provide an edge. Courses in statistics, business intelligence, and data management are becoming more relevant for business analysts, as the role requires analyzing data trends to align solutions with organizational goals. In some cases, advanced degrees in data analytics or an MBA with an analytics focus may be beneficial.
While a bachelor’s degree is desirable, expertise in data analytics tools (e.g., SQL, Python, or Tableau) is becoming increasingly valuable. Professionals transitioning from related roles like IT, finance, or operations can enhance their qualifications by gaining experience with data-driven decision-making tools. Many successful analysts come from technical or business backgrounds and use their skills to interpret data, helping businesses optimize processes. Learning to work with data sets and interpret their implications is now a core skill for business analysts.
The most popular route into business analysis without a degree is to transfer from a role in a related field. Many successful BA’s have started their careers in any department of the organization like - business management, human resources, information technology, or related fields and gained work experience. Once they have gained enough professional experience, candidates can apply for entry-level positions as business analysts.
In addition to formal education, certifications in data analysis (such as those from IIBA or other analytics bodies) are increasingly valuable. These certifications validate a candidate’s ability to use data-driven methods for business analysis, improve decision-making, and communicate insights to stakeholders. This combination of business acumen and data proficiency sets business analysts apart in today's data-centric business environment.
Certification can improve overall performance, remove uncertainty and widen market opportunities. A certified business analyst has a broader perspective of the BA techniques and approaches. It also shows commitment, as preparing for these certifications and clearing the exam is not an easy task. Organizations also recognize individuals for the hard work and commitment that the candidate has put into it.
Business Analyst Skills
Business analyst skills can be grouped into 3 broad categories:
- Process Skills
- Tools and Technology, and
- Behavioral Skills
Process skills
- Software Engineering Methodologies like SDLC e.g., Waterfall, Iterative (Agile/Scrum)
- Business Analysis Planning and Monitoring.
- Elicitation and Collaboration.
- Requirements Life Cycle Management.
- Strategy Analysis.
- Requirements Analysis and Design Definition.
- Solution performance evaluation and improvement.
Business analysis now includes data-driven methodologies like process evaluation using analytics tools. This involves strategy analysis, requirements management, and solution performance evaluation with an emphasis on using data to optimize processes.
- High-Level Technology like Data Base structure, OOP
- Requirements management tools such as Jira
- Wireframing tools
- MS Office
- SQL
- Visualization tools such as Tableau
-
Proficiency in data analysis tools like SQL, Tableau, and Excel is critical. Familiarity with data visualization and database management helps analyze and present insights effectively.
- Communication Skill
- Negotiation Skill
- Facilitation Skill
- Analytical thinking Skill
- Problem-solving Skill
- Decision-Making Skill
- Ability to see the bigger picture
- Ability to appreciate and empathize
- Ability to influence without authority
- Good interpersonal skills
Analytical thinking, problem-solving, and decision-making now increasingly rely on interpreting data to inform business recommendations. Communication skills help in translating data insights into actionable solutions for stakeholders.
Business Analyst Salary
Business analyst salary is determined by various factors such as location, qualification, experience level, and job specialization. For example, BAs' average salary in the Asian region is not as high as the average salary in North America. Analysts in the UK who specialize in data processing may receive better compensation. Compensation also depends on the company you are working for. Many prominent analytics companies specializing in Risk and Market Analytics profiles usually tend to pay higher entry-level salaries. Even though many consulting and services firms might pay you a lower basic compensation, they make it up by offering a lucrative bonus at the end of the year.
IIBA conducted its annual salary survey for the year 2023 with 4400 participants from across 165 countries. The main factors that were considered when conducting the study were age, education, employment, experience, salary, career development, certification, business analysis maturity level, agile approaches, digital transformation, and cybersecurity. It reported that there had been an active growth in data analytics, product ownership, agile, digital, cybersecurity, and other areas of work that come under the practice of business analysis. The survey reports a global average salary of $85,452 for women and $84,998 for men.
The majority of respondents were under the age bracket of 36-45 years. 46% of survey participants identify as female, while the remaining 54% identify as male. 44% of respondents held a bachelor's degree, 39% had a master's degree, 7% held associate degrees, with only 2% having a Ph.D.
Career opportunities opportunities as a business analyst are plenty, with some major specializations like data analyst, information security, IT, quantitative analysis. Around 77% were employed as full-time business analysts. Hence, BAs have a lot of employment options making business analysis one of the most sought-after jobs. Almost 89% of the global survey respondents worked in the private sector, while others were divided public and non-profit organizations. Top industries that hired business analysts were Banking/Finance/Insurance, IT, Consulting/Professional Services, Government, Healthcare, Pharmaceuticals, with all these sectors providing a global pay average of $84,918.
IIBA’s 2024 Salary Survey highlights the evolving nature of the profession, with business analysts increasingly engaging in emerging areas such as artificial intelligence and digital transformation. As businesses place more emphasis on data-driven decision-making, business analysts with expertise in business data analytics are positioned to see continued demand and salary growth.
Areas like data analytics saw growth in demand. Salaries in these specialized fields have seen a rise, with an average global salary of $90,879 (i.e, 13% more than non-certified respondents). Data analysis is becoming an increasingly valuable specialization within business analysis, contributing to higher pay for analysts with these skills.
With a growing need for data-driven decision-making, those with backgrounds in data science or business analytics are increasingly sought after, particularly in industries like IT and finance.
The worldwide average salary ranges for business analysts based on experience, according to the 2023 Global State of Business Analysis Report:
- Entry Level:$57,693 – $69,762
- Mid-Career (6-10 years):$80,620 – $91,419
- Experienced (11-16+ years):$91,501 – $105,268
Business Analyst Certifications
A huge advantage that any BA can give to his/her career is to get certified. BA certification can help business analysts stand out in the field and provide proof of competence. Market research has shown that certified business analysts earn much higher salaries than those who are not certified.
Besides higher salary, the other benefits of doing a business analysis certification are:
- Certification help improve overall performance
- They remove uncertainty and widen market opportunities
- A certified business analyst has a broader perspective of the BA techniques and approaches and demonstrates better capabilities in principle and practice.
- Employers show increased confidence when hiring a certified business analyst as it also shows commitment, as preparing for these certifications and clearing the exam is not an easy task.
There are multiple BA certifications. Their acceptability, qualification criteria, and fees vary widely. Some of the points which you need to consider before choosing which BA certification is correct for you are:
- How much experience do you have as a business analyst?
- What is your employment status?
- The popularity and recognition of a certification location-wise
- What are your future goals?
- What are the Best Business Analysis Certifications available in the market?
Business analysis certifications for Beginners
While entering the field of business analysis, a broad understanding of business analysis tasks and techniques is the prerequisite.
ECBA from IIBA
The Entry Certificate in Business Analysis, ECBA, is the first level of certification by IIBA. ECBA certification is ideal for individuals entering the field of business analysis. ECBA recognizes individuals ready to develop their business analysis skills, knowledge, and behaviors, to join the business analysis profession.
CPRE-FL Certification from IREB, Germany
The CPRE-FL certification is designed for those working in requirements engineering (RE), Business Analysis, and Testing. The IREB Certification Model consists of three subsequent levels. The CPRE Foundation Level covers the fundamentals of the Requirements Engineering domain, methodology, and available techniques.
BCS Foundation Certificate in Business Analysis from BCS, UK
BCS Foundation Certificate in Business Analysis covers a range of fundamental knowledge needed for a business analysis role. This includes the roles and competencies required as well as strategic analysis, business system, process modeling, and business case development.
Business analysis certifications for Mid-level Professionals
For professionals who have a few years of BA experience, a good understanding of technology and business will enable them to be successful in their careers. Certifications like CBDA, AAC and CCBA will help you with this.
CBDA from IIBA
IIBA recently launched a Certification in Business Data Analytics (CBDA). This is a level 2 certification intended for those with 2-3 years of experience and those who are experienced with core BA skills. Earning this certification informs employers of your passion for and competencies in performing business analysis on analytics initiatives. The certification helps identify skilled business data analytics professionals to organizations seeking these in-demand skills.
CCBA from IIBA
The Certification of Capability in Business Analysis (CCBA) is the 2nd level of professional certifications by IIBA for business analysis practitioners. It is highly valued in the BA industry as it emphasizes your work experience, personal development, competencies, and up-to-date knowledge of the latest industry trends and developments.
CPRE-AL Certification from IREB
The prerequisite for the CPRE-Advanced Level certification is having obtained the certificate of the previous level, i.e., CPRE-FL.
AAC from IIBA
IIBA Agile Analysis Certification (IIBA AAC) is the first agile certification provided by IIBA. IIBA Agile Analysis Certification examination is ideal for Agile Business analysts, BA Consultants, Trainers, Project Managers, Testers, etc.
Business analysis certifications for Senior Professionals
As business analysts mature in their careers, the expectations attached to their role expand and it is essential that the BA too, expand their knowledge through training and certifications related to business analysis.
CBAP from IIBA
Certified Business Analysis Professional (CBAP) is the 3rd level of professional certification by IIBA for business analysis practitioners and is the most sought-after certification for senior business analysts to excel in the corporate world. CBAP certification has proven results in terms of salary benefits, career growth, and opening up new opportunities in the global markets. The CBAP certification examination needs one to understand BABoK in-depth and apply BABoK concepts to various business analysis scenarios.
PMI-PBA Certification
The PMI-PBA certification is best suited for business analysts who work with projects or programs, or project and program managers who work with analytics. It’s offered through the Project Management Institute. The certification focuses on business analysis training through hands-on projects and testing on business analysis principles, tools, and fundamentals.
CPRE-EL Certification from IREB
The Expert Level of the CPRE certification stands for the highest level of expert knowledge, which comprises practical experience as well as outstanding knowledge and skills in Requirements Engineering. The prerequisite for the CPRE-EL certification is having obtained the certificate of the previous level, i.e., CPRE-A
Bootcamps
Data Analytics Bootcamps
A data analytics bootcamp is an intensive, short-term program designed to equip individuals with the practical skills and tools needed to analyze and interpret data. These bootcamps typically cover topics like data visualization and manipulation using tools like Excel, SQL, Tableau, Power BI etc. They are ideal for Business Analysts looking to enhance their current skillset and familiarize with data handling in a relatively short amount of time.
Participants in a data analytics bootcamp benefit from hands-on learning and real-world projects that simulate the kind of work they will encounter in the industry. By the end of the program they obtain a solid foundation in data-driven decision-making and problem-solving.
Business Analyst Bootcamps
BA bootcamps are designed to teach new skills and improve the current skill set, unlike certifications, which are there to prove the skills you already have. Boot camps can be full-fledged, instructor-led courses that run for weeks or months at a time or traditional workshops held over the course of a few days. You can find a boot camp to suit your needs irrespective of your preferred learning style.
Bootcamp courses are offered both in-person and online. Organizations bring boot camps to the company to run a four-day workshop. Many boot camps are free but depending on the program some might require a subscription fee or a one-time fee. The one-time fee ranges from $100 to $2,500. Bootcamps are designed to give hands-on experience and help you build your resume and portfolio — some even offer career guidance and mentorship.
Master’s programs
There are plenty of programs designed to provide a formal business analyst education. The type of degree you go for will depend on what area of BA you want to work in. If you have a business degree or a computer science degree, you might want to look at a master’s in business analysis.
Business analysis learning can be expedited by undergoing a formal training. Many colleges, universities, professional training institutes provide structured training on business analysis.
Business Analytics Job Description
Business analysts enable the enterprise to articulate its needs, the rationale for change, and design solutions that deliver value. They play a vital role in contributing to an organization’s strategy, offerings, revenue, and margins by identifying inefficiencies and opportunities for improvement. By leveraging data analysis, business analysts provide actionable insights to drive decision-making and optimize processes. The role offers opportunities to collaborate with various stakeholders, develop innovative solutions, and enhance existing ones.
Business analysts act as a bridge between business stakeholders and technology teams. They gather and analyze data, document processes, and confirm requirements with users, ensuring that the solutions align with business needs. By applying data analytics, they identify trends, predict outcomes, and support data-driven solutions. A good business analyst uses both business insights and data analysis to provide recommendations, whether implementing IT solutions or improving processes.
The role may vary across industries, but key responsibilities remain consistent: identifying business opportunities, analyzing data for performance improvements, and delivering insights for strategic decision-making. The integration of data analysis enhances a business analyst’s ability to evaluate business performance, assess risks, and recommend solutions that drive measurable value to the organization.
We will describe core responsibilities of 3 different types of business analysts below:
Job Description of Business Data Analyst- Identify Research Questions
- Define Business Problem or Opportunity
- Identify and Understand the Stakeholders
- Assess Current State
- Define Future State
- Formulate Research Questions
- Plan Business Data Analytics Approach
- Source Data
- Plan Data Collection
- Determine the Data Sets
- Collect Data
- Validate Data
- Analyze Data
- Develop Data Analysis Plan
- Prepare Data
- Explore Data
- Perform Data Analysis
- Assess the Analytics and System Approach Taken
- Interpret and Report Results
- Validate Understanding of Stakeholders
- Plan Stakeholder Communication
- Determine Communication Needs of Stakeholders
- Derive Insights from Data
- Document and Communicate Findings from Completed Analysis
- Use Results to Influence Business Decision Making
- Recommend Action
- Develop Implementation Plan
- Manage Change
- Business Decision-Making
- Guide Organizational-Level Strategy for Business Data Analytics
- Incorporate Organizational strategy, Talent strategy, Data strategy
Job Description of IT Business Analyst
- Plan business analysis approach
- Plan stakeholder engagement
- Plan business analysis governance
- Plan business analysis information management
- Identify business analysis performance improvements
- Prepare for elicitation
- Conduct elicitation
- Confirm elicitation results
- Communicate business analysis information
- Manage stakeholder collaboration
- Trace requirements
- Maintain requirements
- Prioritize requirements
- Assess requirements changes
- Approve requirements
- Analyze current state
- Define future state
- Assess risks
- Define change strategy
- Specify and model requirements
- Verify requirements
- Validate requirements
- Define requirements architecture
- Define design options
- Analyze potential value and recommend a solution
- Measure solution performance
- Analyze solution performance measures
- Assess solution limitations
- Assess enterprise limitations
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Recommend actions to increase solution value
Job Description of Agile Business Analyst
Requirement Elicitation: Translate business needs into user stories and backlog items.
Collaboration: Facilitate communication between business teams and development teams.
Continuous Feedback: Refine requirements and adapt during sprints.
Value Delivery: Ensure features deliver measurable value to the business.
Agile Practices: Support iterative planning and continuous improvement.
Jump Start Your BA Career with Adaptive US Business Analyst Bootcamp
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