CEB Applications Leadership Council

Building an Effective Business Analyst Community 

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Content Publishing Solutions

Print DesignerSupriya Mer Dhasmana

Contributing DesignersKunal Anand Samira Haksar

EditorNidhi Vikram Choudhury

Directors Christiane Groth Tim MacintyreCandice Kenney Weck

Associate DirectorsKarolina Laskowska Alicia Mullery

Quantitative Analysis GroupEmily ByersHarsh GuptaPetya Kehayova Marina MurrayRumki Saha

General ManagerWarren Thune

Executive DirectorShvetank Shah

Managing DirectorsJaime CapellaDavid Kingston

Practice ManagerMark Tonsetic

Project ManagerJohn Hillery

ConsultantAndrea Moreland

Senior AnalystPallavi Goel

Senior DirectorsMiles GibsonKristin SherwoodAlex Stille

CEB Applications Leadership Council

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TABLE OF CONTENTS

Executive Summary • iv

Taking the BA Effectiveness Diagnostic • vi

Additional CEB Support for BA Community Development • vii

OVERVIEW: THE CASE FOR A BUSINESS ANALYST COMMUNITY • 1

1. DEFINING THE BA ROLE • 7

2. HIRING BAs • 11

3. BUILDING A COMMUNITY CULTURE • 19

4. RESOURCING AND TEAM MANAGEMENT • 33

APPENDIX • 43

© 2013 The Corporate Executive Board Company. All Rights Reserved. AEC5126313SYN

 iv

EXECUTIVE SUMMARY

Business analysts (BAs) in nearly 60% of organizations report they lack a collaborative community to support them in their critical role and enable success. Fewer than one-third have formal opportunities or channels to share best practices or participate in training, leaving them in silos and struggling to grow the competencies required for “new world” projects such as mobile or analytics. Last year, a confluence of business and IT changes pushed the BA role into the spotlight. We advised numerous organizations on this shift, helped clarify the role, and defined what drives BA effectiveness.

For many BA leaders, the next step is to invest in creating a stronger BA culture and community. Why does it matter? Our dataset of BAs reveals that a collaborative environment fosters BA effectiveness more than support for individual performance such as rewards or incentives. This finding reinforces a broader theme we’re seeing: high-performance results from “network performance”—the ability to inflect the performance of others.

The BA Effectiveness Diagnostic

CEB developed the BA Effectiveness Diagnostic on nine core competencies that distinguish a BA role. By surveying over 700 BAs from large enterprises, we identified the factors that drive high performance.

We have identified four ways to improve the culture and instill a sense of community across BAs.

1. Clearly define the role on nine competencies. The lack of a common understanding of the role impedes the development of a BA community. The average BA in our dataset has five years of experience, but 20% have one year or less. Although organizations have established BA roles, BAs are often distributed across business and IT. Not surprisingly, newer BAs consistently misunderstand their role. We have

identified nine core competencies that present the basis for a development plan to truly differentiate BA effectiveness.

2. Establish hiring criteria for BAs that reflect the skills and competencies critical to success in the BA role. Applications groups struggle to understand who is a good fit for the BA role, particularly when the role involves a broader range of responsibilities and candidates apply from a variety of backgrounds. Organizations need to redefine their hiring criteria based on the skills, qualities, and experience that truly matter in determining future success as a BA.

3. Build a community culture that enables BAs to learn from managers and one another. BAs who work in a team-oriented and collaborative work environment are 76% more effective than BAs who don’t. But few Application organizations capture synergies across BA groups and promote a culture of collaboration and peer-to-peer learning. Allowing BAs to build and personalize virtual networks, and providing opportunities for professional development across the talent lifecycle, can help establish a strong culture of collaboration.

4. Manage and develop BAs who can respond efficiently and effectively to diverse portfolio needs. Few, if any, individuals can meet all the demands of business sponsors on all the new project types moving into the portfolio. Many BAs are already playing specialized roles, but few organizations are focused on developing such opportunities. Identify specializations to narrow BAs development focus and efficiently scale work to the changing portfolio.

© 2013 The Corporate Executive Board Company. All Rights Reserved. AEC5126313SYN

 v

WHAT DEFINES AN EFFECTIVE BA COMMUNITY?

An effective BA community is an active network that provides opportunities and support to grow BA competencies. Effective BA communities create the following:

■ A common understanding of the role and responsibilities p. 7

■ Clear criteria for identifying individuals fit for the BA role p. 11

■ Development of BAs through knowledge sharing, training, and coaching p. 21

■ Career development opportunities p. 33

 vii

© 2013 The Corporate Executive Board Company. All Rights Reserved. AEC5126313SYN

ADDITIONAL CEB SUPPORT FOR BA COMMUNITY DEVELOPMENT

Additional resources are available through your organization’s membership with the CEB Applications Leadership Council to further support BA community development initiatives.

Implementation Resources

Tools and Templates

Benchmarks Training

Optimizing the Role

of the Business Analyst 

Business Analyst’s

Handbook

Business Analyst

Effectiveness Diagnostic 

Business Analyst

Learning Series

Business Analyst Skills

and Training

Business Analyst

Competency Model 

Building an Effective Business Analyst Community 1

© 2013 The Corporate Executive Board Company. All Rights Reserved. AEC5126313SYN

Overview: The Case for a Business Analyst Community

Building an Effective Business Analyst Community 2

© 2013 The Corporate Executive Board Company. All Rights Reserved. AEC5126313SYN

BAs ARE OFTEN DISTRIBUTED AND LACK A STRONG COMMUNITY CULTURE

Prevalence of BA RolePercentage of Organizations

BAs are distributed across both IT and business units and don’t feel that they are a part of a single community.

■ Within IT, BAs may be distributed across Applications and PMO organizations.

n = 185.

39% BAs in IT and Business Units

37% BAs Only in IT

24% Do Not Employ BAs

DERF 12-5102

Catalog # AEC4138412SYN

Title

Source: CEB, Applications Budget Outlook, 2012–2013.

Source: CEB, BA Learning Series, 2012.

n = 49 BAs.

Does your organization have a strong community or BA culture?Percentage of Respondents

57% No Community

Culture

43% Yes

OVERVIEW DEFINING THE BA ROLE HIRING BAs ESTABLISHING

THE BA COMMUNITYRESOURCING AND

TEAM MANAGEMENT

Building an Effective Business Analyst Community 3

© 2013 The Corporate Executive Board Company. All Rights Reserved. AEC5126313SYN

59% Yes

41% No

DERF 13-2387

Catalog # AEC5630313SYN

Title

FEW OPPORTUNITIES TO COLLABORATE

Does your organization provide centralized resources for BAs?Percentage of Respondents

Although organizations provide centralized resources with tools and templates for some BA activities, a majority lack broader collaboration opportunities.

Source: CEB, BA Learning Series, 2012.

Source: CEB, BA Learning Series Polling Results, 2012.

n = 49 BAs.

n = 39 BAs, multiple responses allowed.

Missing Collaboration OpportunitiesPercentage of Respondents

14% Yes

27% Yes

33% Yes

37% Yes

We have rotational programs to learn different business areas and technology domains.

We have centralized training opportunities.

We actively share information through collaboration tools and social media.

We actively share information and practices through in-person meetings.

OVERVIEW DEFINING THE BA ROLE HIRING BAs ESTABLISHING

THE BA COMMUNITYRESOURCING AND

TEAM MANAGEMENT

Building an Effective Business Analyst Community 4

© 2013 The Corporate Executive Board Company. All Rights Reserved. AEC5126313SYN

0.0

30.0

60.0

30.9

54.5

THE BEST BAs THRIVE IN A COLLABORATIVE ENVIRONMENT

BA Effectiveness by the Type of Work EnvironmentMedian BA Effectiveness Index

BAs at organizations with a strong collaboration-focused culture perform significantly better.

■ BAs who have a very team- oriented and collaborative work environment are 76% more effective than BAs who don’t.

Source: CEB, BA Effectiveness Diagnostic, 2012.

n = 408 BAs.

Not at All Team-Oriented or Collaborative Work

Environment

Very Team-Oriented and Collaborative Work

Environment

DERF 13-2387

Catalog # AEC5630313SYN

Title

OVERVIEW DEFINING THE BA ROLE HIRING BAs ESTABLISHING

THE BA COMMUNITYRESOURCING AND

TEAM MANAGEMENT

∆ = 76%

Building an Effective Business Analyst Community 5

© 2013 The Corporate Executive Board Company. All Rights Reserved. AEC5126313SYN

ESTABLISHING A BA COMMUNITYProgressive organizations establish a collaborative culture among BAs by providing opportunities for professional development across the talent lifecycle.

Process Steps Key Success Factors

1. Defining the BA Role ■ Reassess the skills and competencies that truly differentiate the BA role.

■ Identify and embed core competency areas that are critical to BA’s success.

■ Ensure BAs understand what is expected and what is in scope for their responsibilities.

2. Hiring BAs ■ Create screening criteria that reflect the skills and competencies critical to success in the BA role.

■ Establish compelling career paths for BAs.

3. Building a Community Culture

■ Promote a culture of collaboration and peer-to-peer learning.

■ Pair training and coaching approaches.

■ Promote behaviors in managers that support the development of effective BAs.

4. Resourcing and Team Management

■ Support specialization to narrow BA development focus and efficiently scale work across a changing portfolio.

OVERVIEW DEFINING THE BA ROLE HIRING BAs ESTABLISHING

THE BA COMMUNITYRESOURCING AND

TEAM MANAGEMENT

© 2014 CEB. All rights reserved. CIO9884614SYN

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