Business Analysis

LIC of India
April 2018

Dr Pradeep Pendse
Director
Hauser Infotech Managers (P) Ltd
Dean IT/e-Business/Business Design
Welingkar Institute of Management
[email protected]
 What is Business Analysis

Set of tasks and techniques used to work as a liaison among stakeholders in

order to understand the structure, policies, operations of an organisation,
and to recommend solutions that enable the organization to achieve its
goals.

• IIBA BOK ver 2.0

 What is a Requirement

• a condition or capability needed by a stakeholder to solve a problem or

achieve an objective.

• A condition or capability that must be met or possesses by a solution

component to satisfy a contract, standard, specification, or other formally
imposed documents.
 Business Analysis Initiatives

• Feasibility studies
• Process Improvement
• Organizational change
• New software development
• Outsourced software development
• Outsourcing of Business Process
• Software Maintenance and enhancement
• Selection and implementation of COTS packages
 Evolution of the IT Industry

The 70’ - Craft

The 80’s - Mass Production
The 90’s - Process Enhancement
The 2000s - Mass Customisation

2010 and beyond Co-Creation

Co-creation requires a Holistic/ Solutions/ Consulting approach

- it is not just about delivery of software
-Business Analysts should become solution oriented and
Design Thinkers
 Typical roles for a BA
Account Mgmt
Tech Architect Project Mgmt Consulting

Project Lead
Tech Lead PreSales

Pure BA role

Functional Testing
Tech Analyst

The role of a BA can be blend of one or more of the above roles

depending on the company’s need and structure
 Business Analysis – what’s new?
Then Now ?

• Local Outcomes Business Outcomes

• Application focus Enterprise focus
• Fixed Structures Agile & Collaborative Models
• Automation Transformation
• Low Dependence Mission Critical
• Technology Focus Human focus
• Meeting Requirements Solutions to Business Problems
• Business Goals Business and User Experience Goals
• Service Provider Business Partner
• Solutions Innovation
 Effect on BAs role

Then Now

• Managing Reqts Managing Expectations

• Gathering Multi-sensing
• Gathering & Doc Analysis
• Analysis Solutioning
• Solutioning Innovating
 The Requirements Gathering Process

Gathering Understanding
Multi Sensing & the Context
Shaping Requirements and
and Expectations the Big Picture

Analysis
Insights
Visualisation

Gathering and Analysis/Modelling are iterative – Also study Context

 IIBA Knowledge Areas

Business Analysis
Planning &
Monitoring

Requirement
Enterprise Solution Management
Elicitation
Analysis Assessment &
& Validation Communication

Requirement
Analysis
 Understanding a Business Process
Ever Increasing number of Perspectives

• Process/ Workflows – • User View

– Data flows, BPMN, Activity – Life of a Hero
Diagrams, Flowcharts
• Information Needs – – Use Case View
– CSF/KPIs, – Personas
– Info Required for Decisions – Interaction/HCI Views
• Process Structure • Enterprise View
– Object/ Class Diagrams
– Business/ Orgn Metaphors
– Decision Tables
– Business Rules Diagrams – Enterprise Architectural Views –
• Dynamic Process Behaviour Zachmann etc
– Ethnography/ Observation • Security and Quality View
– Objects and Events – SQuaRE
– States and Transitions

Studying a Business Process is about understanding as many

perspectives as possible within the given time
Flow Perspective
 Flow Perspective

• Flow Charts
• Activity Charts
• Data Flow Diagrams
• Business Process Modelling Notation
• Service Scapes
BPMN – Collaborative Processes
BPMN - Example
BPMN Example
 Service Blue Printing

Customer Actions
Line of Interaction

Front end
Line of Visbility

Backend
Line of internal Interaction

Support Services
 Example of a Data flow Diagram
Client
Enquiry
Respond
Schedule Produce
to Enquiry
Prepare
Order Schedule Transfer Note

Accept
Order Despatch
Prepare
Invoice
Challan

Invoice
Client

Collect

Dr Pradeep Pendse 18
Determine Information Needs
 Information Needs - CSF Methodology

• Understand the broad workflow

• Draw a DFD to depict the data flows
• Identify CSFs
• Define suitable measures - KPIs
• Define Performance Standards for KPIs
• Identify systems which provide Info on actuals to support each KPI
• Identify changes in Info Flows & Processes
• Draw Revised DFD
• Define appropriate MIS Report Formats at the desired level
 Information Perspective – Decisions

Do people in the organisation get the Information they Need ?

Do they take decisions based on information provided by Systems?

The Purpose of IT is to not merely to support transactions

but to provide the right information to the right person …….
 Aligning Information to Business Strategy
--Information Needs keep changing

Identify what is Critical for Business success and align systems

Alignment needs to be done every year since critical success factors change
 Information needs to be Designed

Information is not
merely transmitted
But it is constructed
in the mind of the
reader who has
read it in a given
context
 Use of Information for Control
Build a Fact based Organisation

• 4 Uses of Information
– Reporting upwards
– Coordination across
– Monitoring others
– Self control loop
Self-Control
• Increasing emphasis on Using Information
for enhancing Self-Control – Develop
systems to help your people succeed

• Help people achieve all the above without

spending effort

• Capture data as it is created

• Generate control information based on

captured Data – NOT from EXCEL
Newer Dimensions of Information Needs

• Type of Data and Information –

• Informating & Learning
• Knowledge Discovery
• Innovation & its Process
• Customer Bonding
• Market Sensing
• Governance/ Risk/Compliance
• web2.0/ User Generated content
• New Organisational architectures
• Life Cycle View of Data and
Information
• Pervasive Technologies – mobile

• etc
Information Required for Decision Making

Information reqd v/s Information Available

 The Business Rules Perspective

• Business Rules are found in

– Data relationships
– Policies
– Practices
– Norms
– Procedures
 Object Relationships, Business Rules &
Innovation
Guides Project
0..10 Pen (1)

Teaches Student
Faculty
20..60
Cap (1) Body (1)
0..5
Mentors

Refill (1) Shell (1)

Why Should Faculty Mentor only 5 ? Why Should a Pen have 1 Refill ?
Process Innovation Product Innovation

Challenging a Business Rule leads to Innovation

 Business Rules and Process Innovation
Bill is Cleared for Payment

OR

Boss has recommended

AND

POD exists
Material OK
Bill Recd and OK

AND
Purchase Order
Exists

Qty Ok Quality OK

Process Innovation can involve strengthening the rule or Simplifying it

 Decision Table
Conditions
Old Customer
New Customer
Buys < 1000
Buys >= 1000
Actions
0 Discount
5% Discount
10% Discount
Dynamic aspects of a Business Process
 Analysing
the Dynamic Aspect of a Business Process

Situation

Input Output

Response

The Data Flow view

(Static View) The Object View
(Dyanmic View)
Store-flow and Transformation of
Data or information Situation and Response
 Object Analysis

• Identify Objects • Define appropriate

– Human Responses for each event
– Physical
– Transaction/ Docu
– Conceptual

• Identify Behaviours
– What can happen to the
object ?
– What can the object do ?
Dynamic Aspects of a Business process
Example of Lecture Process
 Dynamic Aspects of a Business Process
Object & Event Analysis

• Event Analysis can be used for

– Preparing checklists
– Scoping the system
– Quick Estimation
– Identify opportunities for Process Innovations and new Customer
Experiences

An Event is a Business reality – Response to the event is a matter of

User’s Choice/Design Choice and opportunity to Design a unique
experience

The more complete the List of Objects and their events the more
complete is the definition of the Business Process
 States and Transitions

On State Off State

State is a relatively Stable condition of an object

There can be activity even during a given state – eg electricity flow in the on-state
There needs to be a process to transition from one state towards another

Inspect States and Transitions of Key Objects to verify

completeness of analysis
States of a Bank Account
 Using States & Transitions
Customer Experience Design

States of a Shopper

• At the Window - Confused – Is this shop for Me ?

• Walking in – Un Comfortable – Am I looking Ok ?
• Inside the shop – Confused – Where do I go now ?
• At the Shelf - Unsure - Is this the right product ?
• At the Billing Queue – Idle - ?

States and Transitions are opportunities to provide a richer

Customer experience And A better business outcome

State Transition Analysis should be used for a few key objects to verify
Analysis done using other methods
Visualising an IT Solution
 Visualising an IT Solution

• Use Case Method

• Use of Metaphors for Visualising
 Visualising Use Cases

Purchase
Consumer

Stores

Stores Clerk Accounts/Auditor

Visualising a solution – Use Case

Chk Balance

Withdraw Identify Use Cases

Deposit

Mini Statement
 Visualising a Use Case

Normal flow
Customer ATM
Logs in customer
Selects Withdraw Option Displays menu screen
Types amount Display Withdraw Screen
Confirms Amount Seeks Confirmation of Amount
Processes Request
Collects Cash Dispenses Cash
Customer says ‘NO’ Asks if more transactions ? Y/N
Logs out customer, ejects card
Displays default screen
 Visualising a Use Case

Alternate flows and exceptions :

• Wishes to change withdrawal amount
• Requested Amount > Balance
• Requested Amount > cash in ATM
• Requested Amount > Cash limit for customer
• More than one withdrawal during the same day
• ATM fails – power, link etc
• Error in disbursal of cash
• Customer forgets to take cash
• Customer asks for more transactions
 Use of Metaphors for Visualisation

• Browsing • Folder /file

• Surfing • Desktop
• Windows • Button
• Pipes • Hour glass
• Filters • Avatar
• Pointing Etc
• Java/Java Beans
• Agent
• Broker
• Queue
• mail
 Human Computer Interaction & Useability

• Goals
– Business Goals
– IT Goals
– User Experience Goals

• Useability Goals
– Functionality
– Efficiency
– Attractiveness
– Making things simple and intuitive
– Ease of learning
– Safety and security
 HCI /Useability tools

• Ethnographic Studies
• Identification of Users and defining
personas
• Affinity/Cluster Diagrams
• Life of a Hero
• Task analysis
• Application of Design Principles
• Use of Metaphors and anologies
 HCI/Useability
New Subjects to learn

• Design principles/elements • Anthropology

– Colour • Semiotics
– Form • Semantics
– Shape • Typography
– Aesthetics • Visual Language
– Balance • Cognitive Psychology
– etc • Perception
• etc

A BA/Design Thinker needs to sensitise himself to

a host of new subjects