Projects are expected to address a business need and help an organization attain its goals. Business Analysts are expected to ensure that a project fits into the business context. Business Analysts must know how to carry out Enterprise Analysis including: - Conduct root cause analysis to determine business needs. - Identify goals and define objectives. -Identify capability gaps using Business Architectures. - Justify projects through feasibility analysis. - Establish the business case for a project.

1. The Strategic Business Analyst:
Aligning Projects with
Organizational Goals

2. 2
Motivation
 Projects are expected to address a business need and
help an organization attain its goals.
 Business Analysts are expected to ensure that a project
fits into the business context.
 Business Analysts must know how to carry out
Enterprise Analysis:
– Conduct root cause analysis to determine business needs.
– Identify goals and define objectives.
– Identify capability gaps using Business Architectures.
– Justify projects through feasibility analysis.
– Establish the business case for a project.

3. 3
BUSINESS ANALYSIS
Business analysis is “the discipline of identifying business
needs and determining solutions to business problems.
Solutions often include a systems development
component, but may also consist of process improvement,
organizational change or strategic planning and policy
development. The person who carries out this task is
called a business analyst or BA.”

4. 4
BUSINESS ANALYST
“A Business Analyst (BA) analyzes the organization and
design of businesses, government departments, and non-
profit organizations; BAs also assess business models
and their integration with technology.”

5. 5
Business Analysis Body of Knowledge
The Business Analysis Body of Knowledge™ (BABOK® for short) is a
guide to the different knowledge areas and associated activities and
techniques that a practicing business analyst should master.

6. 6
Enterprise Analysis Knowledge Area
Adapted from the BABOK® Guide, Version 2.0
Figure 1-2. Enterprise Analysis

7. 7
Defining the Business Need
 In its strategic planning, the organization, with the help
of the business analyst, must consider:
– What does the organization want or need?
– Has the customer focus changed?
– Does the organization need to change?
– Do business processes need to be revised?

8. 8
What is the Desired Outcome?
 Improvements in revenue
 Slowing the degradation of an existing business line
 Improved customer or employee satisfaction
 Compliance with regulations
 Improved safety
 Efficiency or cost savings

9. 9
Goals & Objectives
 Organizations have goals and projects have objectives
that support these goals.
 Objectives, to be effective, must be SMART.

10. 10
Converting Goals into Objectives
 Goals – Broad terms
 Objectives – Clear and concise, actionable
 Objectives should be SMART
Specific, significant, stretching
Measurable, meaningful and motivational
Achievable, agreed upon, attainable, acceptable, action-oriented
Relevant, realistic, reasonable
Time based, tangible and track-able

11. 11
Strategic Planning
$$$
Investment Portfolio
Mission/Vision
Strategic Goals
Objectives
Programs/Projects

12. 12
Business Analyst Responsibilities
 The business analyst must ensure that the desired
outcomes resolve the problem or exploit an opportunity.
 The desired outcomes must be aligned with the
business goals and objectives.
 The business analyst must define metrics that
demonstrate achievement of the desired outcomes.

13. 13
DEFINITION: STAKEHOLDER
A stakeholder is any person, group, team, or internal or
external organization that is affected by the initiative, has
influence over it, or is involved in constructing, deploying,
or managing the solution.

14. 14
Analysis Dimensions
• Position within the organization
• Role and responsibilities on the
project
• Needs, expectations, and
requirements
• Success criteria that they will
use to judge the outcome of the
initiative
• Communication needs
• Influence on the project,
solution, or initiative
• Attitude towards the initiative
• Impact of the initiative on their
role and responsibilities
• Interest in the project, solution,
or initiative
Stakeholders should be evaluated along a number of dimensions:

15. 15
Evaluating Stakeholders
 Stakeholders should be continually assessed along four
dimensions using the AI3 Method:
– Attitude toward the project or initiative
– Influence over the project or initiative
– Impact from the project or initiative
– Interest in the project or initiative

16. 16
Other Assessments: Acceptance & Risk
 Acceptance Criteria
– For each stakeholder, the business analyst must understand how
he or she will judge the success or failure of the project and what
the specific acceptance criteria are.
 Risk Assessment
– Any events or conditions that may endanger the success of the
project must be documented as risks.
– Each risk must be evaluated by determining its likelihood of
occurrence, its estimated impact on the project, and the cost to
mitigate or remove the risk.

17. 17
Stakeholder Matrix

18. 18
Root Cause Analysis Techniques
 Problems may have multiple causes.
 Techniques to determine the root causes include:
– 5-Whys Technique
– Modified Root-Cause Analysis
– Fishbone Diagrams
 These techniques are commonly applied in collaborative
brainstorming sessions.

19. 19
5-Whys Technique
 The 5-Whys Technique is a drill-down approach in which
the analyst seeks to uncover the causes underlying a
problem.

20. 20
5-Whys Example
At Springfield Airport the cost of security has increased by
20% in the past year.
1st Why: Why is it increasing?
We are hiring more personnel.
2nd Why: Why are we hiring?
Due to overwork.
3rd Why: Why are they overworked?
There are a lot of security checks that require
substantial manual work.

21. 21
Fishbone Diagram
Figure 2–2. Fishbone Diagram - Springfield Airport

22. 22
Problem Statement
The problem of Excessive wait times (In 58% of all customer service
calls, customers wait more than 6 minutes for service.)
Affects The loyalty of customers
The impact of
which is
Customers are hanging up and calling other vendors
A successful
solution would
Reduce wait times to under 2 minutes for 99% of all
customer service calls

23. 23
Three Steps to Gap Analysis
1. Determine the current capabilities of the enterprise.
2. Determine what new capabilities are required by the
enterprise to meet the business needs.
3. Identify the gap between the two.

24. 24
DEFINITION
“A description of an organization's business
processes, IT software, and hardware,
people, operations, and projects and the
relationships between them.”
BABOK® Guide, Version 2.0
ENTERPRISE ARCHITECTURE

25. 25
Initial Development
 Often, an enterprise architecture is created for one
project.
 If it is perceived to have value, it may become a
permanent organizational asset.

26. 26
SWOT Analysis
 Strengths, Weaknesses, Opportunities and Threats
 Helps frame possible solutions
 Provides a subjective assessment of an organization’s
current state

27. 27
SWOT Matrix
Strengths
(Internal Advantages)
• What are our core competencies?
Weaknesses
(Internal Disadvantages)
• What has caused us problems in
the past?
• What areas are outside our core
competencies?
Opportunities
(External Advantages)
• What advantages do we have over
our competition?
• What market needs can we fill?
Threats
(External Disadvantages)
• What competition do we face?
• What potential market downturns
are possible?
• What challenges could we face
from legal or regulatory changes?

28. 28
DEFINITION
“An evaluation of proposed alternatives to
determine if they are technically possible
within the constraints of the organization
and whether they will deliver the desired
benefits to the organization.”
BABOK® Guide, Version 2.0
FEASIBILITY STUDY

29. 29
DEFINITION
“The set of capabilities a solution must
deliver in order to meet the business need.”
BABOK® Guide, Version 2.0
SOLUTION SCOPE

30. 30
Solution Scope Includes:
 The scope of analysis (the organizational unit or process
for which requirements are being developed)
 Capabilities supported by solution components, such as
business processes, organizational units, and software
applications
 Capabilities to be supported by individual releases or
iterations
 Enabling capabilities

31. 31
Video surveillance images
Notification of suspicious events
Authorized
person
Enrollment data
Request for admittance
ID card
Permission to
enter
Unauthorized
person
Denial of permission
Security
Officer
Request to replay or
analyze video events
Security
Administrator
New enrollment requests
Approval of new
enrollments
Restricted
Area
Access
Control
System
Scope Modeling-Context Diagram
Request for admittance

32. 32
System Use Case Diagram - Springfield
Airport
Restricted Area
Access Control System
Authorized
person
Security officer
Gain admittance to
restricted area
Enroll in system
Trigger alarm
Unauthorized
person
Security
administrator

33. 33
Types of Feasibility Analysis
 Technical feasibility
 Operational feasibility (includes analysis of proposed
schedule)
 Economic feasibility

34. 34
DEFINITION
“The business case describes the
justification for the project in terms of the
value to be added to the business as a
result of the deployed solution, as
compared to the cost to develop and
operate the solution.”
BABOK® Guide, Version 2.0
BUSINESS CASE

35. 35
Components of the Business Case
1. Executive Summary
2. Business Need/Opportunity
3. Project Description
4. Benefits (how aligned with strategic goals)
5. Costs (and resources needed)
6. Assumptions and Constraints
7. Risks
8. Cost Benefit Analysis
9. Solution Assessment (how impact will be measured)

36. 36
DEFINITION
“An uncertain event or condition that, if it
occurs, will affect the goals or objectives of
a proposed solution.”
BABOK® Guide, Version 2.0
RISK

37. 37
Risk
 Risk not the same as an issue
 If you know about a risk, you can:
– Take action to avoid or reduce likelihood
– Soften its impact

38. 38
Conducting a Risk Assessment
 Evaluating each risk to determine likelihood that it will
occur, and impact if it does occur
 Approaches:
– Experts
– Review past projects
– Group-consensus-reaching methods