Over the years, Business Analysis has emerged as a core business practice in the enterprise and IT sectors. It pertains to understanding the changing business needs, evaluating the impact of such changes, identifying and analyzing the requirements and documenting the same, and facilitating communication among all the stakeholders involved. This is essentially what Business Analysts do.
Business Analysts act as a bridge between an organization’s IT and Business domains and contribute actively to its profitability and sustainability. Since traditional methods no longer suffice for catering to the dynamic needs of the complex business environment, Business Analysis comes to the rescue. With their expertise, agility, and drive for innovation, Business Analysts guide enterprises in improving their processes and quality of products/services while ensuring the timely dispatch of client deliverables.
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What does it take to be a Business Analyst?
The fundamental job responsibility of a Business Analyst is to elicit, analyze, and validate the change requirements for business processes, information systems, and policies and to communicate them with all stakeholders.
- They interact with both the business partners and users to understand how data-driven changes to business processes, products/services, and software/hardware can enhance efficiencies and add value to the organization.
- They work in close collaboration with the IT and Financial reporting teams to design and implement new business models to support the proposed business decisions and to establish initiatives/policies to improve productivity and to optimize costs.
- They analyze what’s financially and technologically feasible for the company.
According to Robert Half Technology, the job description of a Business Analyst includes:
- Creating detailed business analysis and drafting problems, opportunities, and solutions for a company.
- Defining business requirements and reporting them back to stakeholders.
- Budgeting and forecasting.
- Planning and monitoring.
- Variance analysis.
Although a Business Analyst need not have an IT background, he/she must have a basic understanding of how IT systems function. What they need is a strong and in-depth understanding of the business domain. Prior experience in forecasting, budgeting, and financial analysis are highly commendable. Apart from this, it is beneficial to be well-versed with the regulatory and reporting requirements.
While for entry-level Business Analyst job roles, a bachelor’s degree in Business Administration/Management/Information Technology is enough, mid-level and senior-level positions often demand a master’s degree in business analytics or any other related fields.
Business Analyst Salary in India
The salary of a Business Analyst in India depends upon several factors like company size and reputation, job position, location, education qualifications, and experience. Usually, reputed companies like TCS, Amazon, Accenture, Deloitte, etc., pay higher salaries. Then again candidates hailing from reputed institutes/b-schools earn more than their counterparts. This holds true for work experience as well – the more your experience, the higher will be your market value.
Salary scale – Popular companies in India
Tata Consultancy Services (TCS), Accenture, Computer Sciences Corporation (CSC), and Capgemini offer the are some of the top companies with the highest salary packages for Business Analysts. While the average annual salary at Accenture is Rs. 7,04,965, Capgemini and TCS offer around Rs. 7,03,178 and Rs. 696,132 respectively. HCL, Wipro, and CSC fall on the lower end of the salary scale with the average annual salary standing around Rs. 5,21,246, Rs. 5,79,188, and Rs. 6,02,435, respectively.
Salary packages of reputed e-commerce platforms like Amazon are also great. In India, the average annual salary of a Business Analyst at Amazon ranges anywhere between Rs. 3,28,484 – 17,83,171, with senior-level roles earning the higher end of the salary scale.
Salary scale – Experience Level
Generally, the salary packages for entry-level roles remain anywhere between Rs. 3,50,000 – 5,00,000. For instance, the average annual Business Analyst salary (including tips, bonus, and overtime pay) at the entry-level in IT with less than 1-year experience is around Rs 3,59,807. However, the Business Analyst salary for those having 1-4 years of experience can earn an annual compensation of Rs 5,27,712.
The salary level increases as experience increases. While a Business Analyst having 5-9 years of industry experience can earn around Rs. 8,30,975, a Senior Business Analyst, with over 15 years of experience, can easily make Rs 12,09,787. Going further, the salary increases up to Rs. 16,54,946.
Salary scale – Location
Salary packages also differ considerably according to location as well. For instance, Business Analysts in Pune and Bangalore earn around 17.7% and 12.9% more than the national average. Noida (8.2% less), Chennai (5.2% less), and Hyderabad (4.2% less) record the lowest level salaries.
To conclude, Business Analysts have a decent pay scale in India. Companies across both IT and e-commerce sectors pay excellent compensation to deserving candidates who can add value to their organization. Apart from the regular educational qualifications and work experience, having advanced Business Analysis certifications also helps in bagging jobs that offer high-level salaries.
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Can Business Analysts freelance their services?
Business Analysts are responsible for screening and changing the organisation’s structural and functional issues for the better. The role of a Business Analyst is varied, involving many skill sets and learning. Companies need Business Analysts and may hire them on a short-term basis for consultation. The skills, knowledge, and experience as a Business Analyst are irreplaceable compared to simple freelancing services like content creation, virtual assistance, data entry, etc. Business Analysts can source a good amount of income through freelancing. Still, it also demands strong business skills from the Business Analyst to manage and succeed in multiple projects at a time.
Can a Business Analyst become a Data Scientist?
Analysing data is a part of the job for Business Analysts. They assess data to trace patterns in the operations and identify challenges the organisation faces. Data Scientists have data at the core of their job role. Data Scientists fragment data to peer into the organisation’s framework to identify possible issues through statistical operations and software programs. A Business Analyst works on the logistics of the organisational framework and uses data to improve the framework. Business Analysts can shift towards a career in data science with an edge in understanding business internally. A lot of effort towards learning software programs, terminologies in technology, and statistics is central to starting as a Data Scientist.
What do Business Analysts need to know about Information Technology (IT)?
Business Analysts work within the IT field. IT programmers delve deeply into big data, programming and focus on projects that require such knowledge. Business Analysts bridge the gap between software programmers and organisational growth. They screen the deficits and chart out the challenges and possible solutions. Hence, business analysts are a part of the IT sector with a more non-technology-oriented role. Although they are not as technologically sound as IT professionals, knowing data analysis is a prerequisite for Business Analysts. Hence, even though Business Analysts don’t need to know about Information Technology deeply, understanding the operations and terminologies involved can help them focus on pressing problems within the organisation.