August 2020

In recent years, organizations have come to understand the critical importance of projects to drive business results, which has led to the widespread acceptance of the profession of project management and the emergence in its own right of the profession of business analysis. These developments have prompted project sponsors, team leads, and team members to consider how these two professions fit into the project framework. Unclear roles and responsibilities, confusion over job titles, and differing organizational expectations for project management and business analysis roles can create confusion and conflict that contributes to less successful project outcomes. For project managers, there may be a perception that business analysts are collecting requirements without effective coordination. There is a fear of being left “out of the loop” and that the business analyst may create unrealistic expectations among project stakeholders regarding project commitments. For business analysts, there may be a perception that project managers do not understand the breadth and complexity of defining, analyzing, and managing requirements and are unwilling to fully investigate and address stakeholder needs.  

While the focus of the project manager is on the scope of the project, the focus of the business analyst is on the scope of the product, which is the solution to be delivered by the project. When projects and programs allocate the roles of project manager and business analyst, success often depends on how well these individuals collaborate. Both serve in critical leadership roles in projects and programs. Each must work together to build successful outcomes and relationships because business analysis activities are indeed focused on projects and programs. In fact, 83% of the work in highly mature organizations is in support of projects and programs. 

For many organizations, effective business analysis is not an integral part of their project work. That contributes to projects not delivering the intended value. However, driven by the rise in project complexity, we see that business analysis is becoming a key competency to project success. When business analysis is properly accounted for and executed on projects and programs, high-quality requirements are produced; stakeholders are more engaged; the solution delivers intended value; and projects are more likely to be delivered on time, within scope, and within budget.

Organizations can utilize business analysis to positively affect projects and programs in order to realize stated objectives and achieve expected results. Simply assigning resources to perform business analysis activities is not enough. Business analysis is a foundational competency that enables successful outcomes in project, program, and portfolio management. While the project may deliver the solution on time and on budget, there is a high probability the solution will not address the business need or deliver the intended value when business analysis is not embraced.

When senior management values business analysis, it sets a precedence. Project teams may champion and support business analysis, but support at the tactical level is not enough. When senior managers truly understand the untapped potential that a highly mature business analysis practice can provide their organization, process changes can be made that ensure business analysis is incorporated into activities inside and outside of the project life cycle. 

To achieve repeatable project success, Matthew W. Leach, Senior Director, Business Analysis Practice at NTT Data, Inc. feels organizations need to focus their attention on making business analysis efforts and outcomes consistent and predictable. “Improving business analysis maturity accomplishes this goal,” he said. 

Business analysis connects an organization’s strategy and objectives with tactics and execution, ensuring business value is realized from the solutions delivered during program and project execution,” added NTT’s Mr. Leach.

Organizational strategies are achieved through the successful completion of projects and programs, and
business analysis ensures this success. Business analysis guides the organization toward solving the right problem
or pursuing the right opportunity. It ensures the best solution is pursued through proper analysis. Mature organizations are also achieving higher success rates from their projects and programs by ensuring the development of business cases. Business analysis activities involve developing a business case to:  

• Communicate the rationale for funding a project or program
• Present the viable options for addressing the business need
• Emphasize the value the organization seeks from the investment

The business case is a tool that drives the product team and key stakeholders to have discussions about these factors and, ultimately, to communicate the decisions to be made. The process to develop a business case is an important opportunity for the strategic resources—including portfolio and program managers—to collaborate with the business analyst to work through the definition of the business need and viable options.

In conclusion, successful projects require a high level of collaboration between both the project, program, or portfolio manager and business analyst. Risks are minimized and project and product success rates improve when these critical roles are aligned and operate in partnership. When this alignment is missing, project performance, customer satisfaction, team morale, and the end product will be adversely impacted.