In the changing world of business, Business analysts and market researchers have emerged as top players who are in huge demand cutting across a wide variety of industries. Many young professionals with corporate aspirations are capitalizing on the huge demand for Business analysts by taking up either a top-rated Business analyst course or a Market analyst course. As Business analysis is a relatively new field, there is a lot of speculation about its future, scope for growth, and career potential. In this article, we will discuss the future of business analysis as a profession and try to understand whether or not it is a lucrative profession to pursue in the long term.
What is Business Analysis?
Business Analysis refers to a set of practices and technologies that are used to solve business problems using statistical methods, data analysis, and various other quantitative methods. Data analysis often translates to methodically and iteratively analyzing an organization’s data to make better decisions. Modern companies treat data as the new equivalent of oil and collect and analyze it meticulously. The success of business analysis depends upon the quality of the data collected, the competence of the analysts handling the data, and a strong commitment to using the insights derived from data to make business decisions.
Traditional Business Analysis methods
Business analysis can be dated back to the initial development of the first programmable computer in the 1940s. However, it did not develop into a full-fledged domain until the 90s, when businesses began using computers and software on a large scale. It soon became apparent that without a proper communication bridge between the business stakeholders and programmers, large sums of money had to be spent on code rewrites, software updates, code maintenance, and resolution of software defects. Regardless of how much expertise the business users and programmers had in their respective domains, communication between them was a challenge as business users could not understand the technicalities of programming, and programmers failed to grasp business needs in their true essence. This communication bridge necessitated the employment of professionals who could clearly understand business needs and translate them into programmable tasks. Hence, Business analysis was born!
However, business analysis initially followed a waterfall method in which business analysts studied and documented client requirements extensively and then worked with the development team to create programmable algorithms and pseudocodes that would serve as roadmaps for software development. However, this process was time-consuming and cumbersome, often leading to faulty outcomes due to human errors. This led to the introduction of tools and technologies that specifically cater to Business analysis. Today, Business analysts are at the forefront of identifying market needs and translating these needs into technology solutions. This was largely supported by the development of AI & ML-powered tools for analysis and analytics. Moreover, new business concepts like Agile and Lean methodologies have also aided the development and growth of Business analysis as a domain. In the next section, let us look at the top technology and business trends that will drive business analysis in 2023.
Top 5 Growth Trends in Business Analysis in 2023
Let us now look at what are the major business ideologies, practices, and technologies that are going to drive the Business analytics sector forward in 2023.
1. Agile methodology
Agile principles have had so much impact on most modern businesses that over 70% of all companies have shifted to employing agile methodologies and practices in one way or another in their workplace. The growing popularity of Agile is only set to increase in 203. So, if you are an aspiring BA, Agile practices are one thing you would learn religiously and try to apply in your organization. Moreover, nowadays, a good Business analyst is often expected to play the role of a scrum master or a product owner in the Agile environment. So, thorough proficiency in Agile concepts is essential to effectively fill in these shoes.
2. Data Analytics
The trend of Business analysts using data to drive the business forward by making better decisions was too useful to be discarded by the end of last year. In fact, this trend is predicted to grow and diversify significantly in the coming few years. As more and more individuals and businesses are establishing online footprints and more effective ways of collecting and analyzing data are rolled out, Data analytics is one trend that BAs must constantly be on top of. Business analysts who are proficient in advanced Data Analytics skills and technologies will see a rapid surge in employment opportunities and pay scales in 2023.
3. Artificial Engineering and Machine Learning
Artificial Intelligence is defined as the technology for enabling machines to make intelligent decisions and perform creative tasks emulating human behavior. Machine learning is a subset of artificial intelligence that uses algorithms and data sets that will help machines learn in the same way humans learn by gradually improving its accuracy over multiple iterations and trials and errors.
In 2023 as well as the coming years, AI and ML are going to be the primary tools of Business Analysts because AI and ML is rapidly and significantly changing the landscape of many businesses by improving efficiency, cutting costs, and producing better results overall. So, BAs who wish to remain at the top of their game must follow the latest trends and technologies in Ai and ML.
4. Business Transformation
Nowadays, every major industry is undergoing a digital transformation, be it banks, educational institutions, healthcare networks, or even government organizations. In most organizations, it is business analysts who are identifying, driving, and engineering this transformation. Digital transformation is one example of how BAs drive business transformation in organizations. Similarly, any major opportunities for positive change and transformation in the industry must be identified and implemented by Business Analysts. This process includes introducing changes or sometimes completely rethinking and redesigning business processes, models, systems, and technology to make the organization competitive and growth driven. So, staying ahead of the curve in noticing and analyzing potential business transformation trends is an essential part of being a successful BA.
5. Cross-functional Collaboration
The process of cross-functional collaboration is even important for a BA, and this is going to remain the same in 2023 as well. A Business Analysis aspirant must work across and collaborate with many teams within the organization to effectively implement transformative changes. Developing the skills and tools for cross-functional collaboration will thus ensure your continued success as a business analyst.
Digital transformation and the proliferation of companies across the web have come with its own set of challenges. One of the main challenges is the threat of cybercrimes, especially in financial institutions and organizations handling confidential information. As Business analysts deal with creating tools and applications for furthering the companies’ business prospects, they must simultaneously be mindful of the cybersecurity aspects of these applications and solutions. For this, BAs must be well-versed in the best cybersecurity practices and must be capable of designing robust and secure systems and processes for the organizations. Moreover, they must stay abreast of the ever increasing world of cybercrimes to remain aware of any new threats and take timely solutions to thwart them.
In a nutshell, Business Analysts must remain at the top of the technology and business processes driving the industry forward. They must constantly learn and assess any new tools, technologies, and practices released to assess if they can bring about a positive change in their organization. Moreover, BAs must be effective communicators who are able to handle cross-functional responsibilities. Finally, a successful BA must be able to foresee any threats to the organization, whether it is a business threat or a cyber threat, and be able to take necessary measures to contain them.