Necessary Skills of a Business Analyst

Last Updated September 23, 2021

Pursuing a career in a field with high demand, such as business analysis, may not seem like a challenge; however, competition for business analyst positions can be intense. Despite the need for these skilled IT professionals, organizations try to seek out the best talent in a challenging economy and complex global business environment.

While the job outlook in the business analysis field has been steady, (14% projected growth through 2026, according to the U.S. Bureau of Labor Statistics) professionals who wish to pursue a business analyst career need executive training to augment business skills and personal attributes. Employers may look for the Certified Business Analysis Professional (CBAP®) certification or the Certification of Capability in Business Analysis (CCBA®) by the International Institute of Business Analysis (IIBA®), as well.

Seven Necessary Business Analyst Skills

  • Communication Skills
    By nature of the job, business analysts spend a great deal of time interacting with users, clients, management, and developers. A project’s success may depend upon the business analyst clearly communicating details like project requirements, requested changes, and testing results. Fluent language skills and written communication abilities are necessary to thrive in a business analyst career.
  • Technical Skills
    In order to identify business solutions, a business analyst should know what information technology applications are being utilized, what new possible outcomes can be achieved through current platforms and what the latest technology offers. Testing software and designing business systems are also important technical business analyst skills. Gaining respect and creating a sense of confidence among IT and business end-users requires a business analyst to speak with confidence about business and technology, and to demonstrate a strong technical aptitude.
  • Analytical Skills
    A business analyst’s skill set should include outstanding analytical skills so that a customer’s business needs are properly interpreted and translated into application and operational requirements. One aspect of the job is analyzing data, documents, user input surveys, and workflow to determine which course of action will correct the business problem. Strong analytical skills are beneficial in performing the business analyst’s job successfully.
  • Problem Solving Skills
    While the ability to create workable solutions to business problems is not unique to business analysts, it is a necessary skill for performing the job successfully. As with most IT roles, the business analyst’s career may be spent dealing with frequent and random changes. When these professionals are working to developing custom business solutions, nothing is 100% predictable – so finding ways to quickly resolve problems and move toward a project’s successful completion is important in the business analyst’s role.
  • Decision-Making Skills
    Another important business analyst skill is the ability to make decisions. As a consultant to management and advisor to developers, the business analyst is called upon for sound judgment in a wide variety of business matters, any number of which could determine the viability of the business. Professionals who wish to pursue a business analyst career should be able to assess a situation, receive input from stakeholders, and select a course of action.
  • Managerial Skills
    Another skill a business analyst should possess is the ability to manage projects. Planning the project scope, directing staff members, handling change requests, forecasting budgets, and keeping everyone on the project within allotted time constraints are just some of the management skills a business analyst should possess. Supervising projects of all sizes, from inception to implementation – and usually concurrently – can take a high degree of managerial skill.
  • Negotiation and Persuasion Skills
    A business analyst serves as a liaison between developers and users, clients and companies, and management and IT. Finding the balance between individual wants and business needs, and then interacting with a variety of personality types toward a solution that works for the business, takes professional persuasion skills. When competing for client projects, a business analyst’s negotiation skills come into frequent use, with the goal of achieving a profitable outcome for the company and a working solution for the client. Maintaining relationships within an organization and with external partners is an important function of a business analyst that requires strong negotiation and persuasion skills.

Job Growth Outlook for Business Analyst Jobs

Business analysts may enjoy ample job opportunities in the coming years. According to the U.S. Bureau of Labor Statistics, the fields of Management Analyst and Computer Systems Analyst are expected to grow 14% and 9%, respectively, over the next ten years.

Thinking of a Business Analyst Career?

Professional business analysts perform a crucial role in moving an organization toward productivity, efficiency, and profitability. From analytical thinking to negotiating and problem-solving, required business analyst skills can be developed through executive education programs. High-quality training and business analyst certification can also result in the confidence one needs to launch a successful business analyst career.