Countless studies and articles have documented the consequences of communication failures between Information Technology and the Business Community. Much of what is often labeled “scope creep” is in fact the result of a failure to effectively translate an operational need into terms that Information Technology understands. This is the heart of the Business Analyst functionality. The CSBA must be fully “bilingual” speaking both Information Technology and Business fluently. Section 4.3 will provide a basic business vocabulary needed to communicate successfully with the Business community in their language.
Each organization must find ways to generate funds to cover the costs of staff, facilities, supplies, and all of the other expenses which are part of the “going concern”. For some organizations covering expenses is not enough, they are intended to be able to generate a profit for their stakeholders. The CSBA must understand how their organization obtains the funds it needs. Part of understanding funding, is the understanding of funding cycles, fiscal years and calendar years all of which can be very different. Project timing is one of the essentials for success in many organizations. Business Analysts who are not fully aware of the potential impact of a project on funding sources or timing may make the wrong decisions.
In Section 4.2 the CSBA learns the fundamentals of the organization. Now armed with a broader vocabulary and an understanding of the general funding issues, it is time to look at the external environment in more detail. Each successful organization must possess an intimate knowledge of their customers or business partners; what do they have, what do they need, how can the business fulfill that need. Likewise they must understand their suppliers; who are they, what do they offer, what do they need, and who is the competition. Business Analysts will need to factor this information into any project assessment in order to help make the difficult decisions on time, scope and quality.
Information Technology projects often represent the greatest potential expense and the greatest potential for growth an organization may experience in a year. Few organizations have the resources to execute all of the potential revenue generating or cost reducing projects that are identified. The CSBA must be able to investigate potential projects and translate the ideas into a format which can be used as the basis for evaluation. While the ultimate responsibility for the final product often rests with the Project Manager, the Business Analyst will be very involved. In organizations without a Project Management Office (PMO), more responsibility falls on the Business Analyst to perform these functions.
Businesses do not exist in a vacuum. For many organizations, both large and small, there are a myriad of legal and regulatory issues which create boundaries. The effective Business Analyst will be well aware of Industry specific issues and the legal issues. These issues, individually or taken in concert, can radically alter what is possible, what is necessary and when things must be done.
Cash flow projections alone are not enough to determine which projects should proceed and which should be tabled. This information needs to be evaluated and placed in context for effective decision making. The Business Analyst (often in concert with the Project Manager, or working at their direction) will bring all of the pieces together in products which communicate the financial, legal as well as technical issues to stakeholders.