Business Analysis Definition Simplified

Let's break down the definition of Business Analysis using the 6 core concept model with a simple, everyday example to make it relatable for someone with no industry experience.

Example: Organizing a Family Vacation

Imagine you're planning a family vacation, and you want to make sure everyone has a good time. Let's use the 6 core concept model to explain how Business Analysis works in this scenario.

1. Stakeholders

• Definition: The people who are involved or affected by the decision or solution.
• Example: In our vacation example, the stakeholders are the people going on the trip: you, your family members (parents, siblings, or children), and maybe even your pets if they’re coming along.

In Business Analysis: The BA identifies who is involved, similar to how you think about who’s going on the trip.

2. Need

• Definition: The reason why you're doing something or the problem you're trying to solve.
• Example: The need here is simple: everyone in your family wants to take a break, relax, and have fun together. So, the problem you're solving is: How can I plan a vacation that meets everyone's expectations?

In Business Analysis: The BA defines the problem or opportunity. In this case, the need is a fun, relaxing vacation for the whole family.

3. Context

• Definition: The environment, limitations, or circumstances around the need.
• Example: The context for the vacation might include things like your budget, how much time you all have, what each person enjoys doing (some might like the beach, others prefer hiking), and the current weather. You also have to consider the availability of flights, hotels, or even pets if they're involved.

In Business Analysis: The BA always considers the circumstances, like budget, time constraints, or regulations. In your vacation example, context is understanding the limits you have (money, time, preferences).

4. Solution

• Definition: The answer or approach to meeting the need or solving the problem.
• Example: After talking to your family and looking at the budget, the solution could be a beach vacation in a nearby city where you can all relax and have fun, but also do some activities like swimming or sightseeing that everyone enjoys.

In Business Analysis: The BA develops or suggests the solution to meet the need. Here, your "solution" is choosing a vacation spot that fits the budget, time, and everyone's preferences.

5. Change

• Definition: The transition or implementation of the solution.
• Example: Once you decide on the destination and book the trip, the change is making sure everyone adjusts their schedules, packs appropriately, and is ready for the trip. You might have to remind everyone to prepare and handle any last-minute changes (like someone getting sick or a change in the weather).

In Business Analysis: The BA helps manage how the solution is put in place. For your vacation, you're helping the family prepare for the trip and dealing with any changes that come up along the way.

6. Value

• Definition: The benefit or positive outcome of the solution.
• Example: The value of your planned vacation is that everyone gets to relax, have fun, and make good memories together. Everyone feels refreshed and happy, which was the goal from the beginning.

In Business Analysis: The BA measures if the solution is delivering value. For your vacation, the value is that the family enjoyed their time, met their expectations, and feels the trip was worth the effort.

Putting it All Together: Business Analysis Definition

So, Business Analysis is the practice of understanding who is involved (Stakeholders), figuring out what the problem or need is (Need), considering the situation and limitations (Context), coming up with a solution (Solution), making sure the solution is implemented (Change), and finally measuring whether the solution brings value (Value).

In your vacation planning:

1. You identified who's involved (your family = Stakeholders).
2. You understood the need (a fun, relaxing trip = Need).
3. You thought about the context (budget, preferences, time = Context).
4. You came up with the solution (a beach trip = Solution).
5. You helped the family prepare for the trip and adjusted to any last-minute changes (reminding them, packing = Change).
6. After the vacation, you measured the value by how happy and relaxed everyone felt (Value).

The mindset is the same whether you're planning a family vacation or working on a big business project. Business Analysts use this model to ensure that the right problem is solved in the right way, with the best possible outcome for everyone involved.