The role of data in the contemporary business landscape is paramount. Data plays a significant role when it comes to crucial decision making for businesses. Random future trends prediction has been limited by deploying data-driven decision making by organizations.
When dealing with data for businesses, the role of a business data analyst is indispensable. Let’s delve deeper into what a business data analyst is and what a business data analyst does.
What is a Business Data Analyst?
Business data analysts are professionals with a very dynamic role to play in an organization. The role of a business analyst is confused with that of a data analyst; however, the difference between business analyst and data analyst could be enormous depending on the organization. Business data analyst professionals act as a bridge between the technology domain and the business domain of an organization. So, what does a business data analyst do daily?
A business data analyst is trusted with the responsibility to analyze the business, document the organizational processes, evaluate the business models, and suggest new technological changes. In addition, a business data analyst is also responsible for improving the existing process, products, services and software, performing data analysis, and identifying the loopholes that prevail.
If you look at it from a broader perspective, the role of a business data analyst also entails saving money for the business by identifying the potholes and remedying the situation through complex data analysis techniques. Business data analysts are also responsible for overall business growth and expansion. Based on their research, they need to identify new avenues and customer base to expand the business.
What Does a Business Data Analyst Do?
Often, a Business Data Analyst is a jack-of-all-trades. All in all, they are in charge of crunching the numbers for businesses. They record and evaluate business and organizational processes, as well as the many business models that exist in the industry. In light of their findings, they provide advice on how to improve technology. A corporate data analyst is also accountable for refining current processes, goods, services, and software, undertaking data analysis, and discovering the gaps that persist.
Using data analysis to solve business challenges is one of the ways in which Business Data Analysts contribute to the success of businesses. In addition, they utilize their research to extend the consumer base of a firm.
Now that you have a fair idea as to what does a business data analyst does, you should explore why the role of a business data analyst is essential, business data analyst salary, and more.
The Importance of a Business Data Analyst Today
The role of a business data analyst is multi-dimensional and involves managing various aspects of a business. From acting as a bridge between the IT and business teams to finding profitable growth avenues, there’s a huge responsibility riding on the shoulders of a business data analyst. In the modern digital era, the significance of a business data analyst has grown even further.
The digital world has taken over the real one, and the power of data runs it. If you compare the volume of data stored and used today with the previous decade, you will be surprised. This demand for data analysis and use of data will continue to grow in the future. More and more business decisions will be taken after careful evaluation of the data metrics put in place by the organization.
Business data analysts assess historical data that helps them to optimize business operations by identifying the existing loopholes, leading to optimum utilization of resources and efficiency in the system, saving up a considerable chunk of expenditure for the organization. This frees up the organization’s monetary and human resources and gives more flexibility to indulge in new projects. This is also a key difference between business analytics and data analytics.
Business data analysts act as a bridge between the technological and non-technological departments; this means that they are responsible for understanding the demands of non-IT departments and carefully planning a solution for them without bringing up any differences. Implementing new technological changes also improves the functioning of the business and reduces the time taken to complete a particular task while enhancing the overall process.
Another important reason why a business data analyst is essential to organizations today is to make the digital transformation easier. They simplify the complexities of digital transformation and help organizations optimize on time and resources by using data-driven decisions.
The Role of a Business Data Analyst in a Team
Generally speaking, a Business Data Analyst is a data-driven professional that acts as an agent for the organization, ensuring that technology and business processes are in sync.
The purpose of these individuals is to regularly examine and analyze the data collected by the firm and, on the basis of this analysis, to provide recommendations for improvements in operations, products, and technology.
In general, this individual is concerned with developing improvement solutions that will position the organization in a leading position in the marketplace. As a result, just having data-related expertise is not sufficient.
It is critical for a Business Data Analyst to have a thorough understanding of the business's operations, the marketplace, and how to utilize data to place the organization in the best possible position to compete.
The function of a Business Data Analyst is one of vision and strategy implementation. In addition to identifying ideas and examining hypotheses, they devote a significant amount of their time to research. Along with predicting possibilities, this specialist assists in making judgments that are aligned with corporate objectives.
Business Analyst vs Data Analyst: Is There a Difference?
A frequently asked question is whether or not Data Analysts and Business Analysts conduct the same job. Despite the fact that they seem similar, the response is no.
Data and research analysis are performed by both experts, but their potential to impact decision-making is vastly different from one another. Furthermore, their origins are distinct, which places them in distinct situations when it comes to assuming jobs in corporations.
See the following sections for further information on these distinctions:
The duty of a Data Analyst is to examine large amounts of data in order to get new views and insights from it. They spend much of their time creating and providing reports to executives, who are the ones who make the final decisions.
Additionally, this professional's job requires them to take on more responsibility for database administration and maintenance. That's where the job's analytical and operational responsibilities meet.
In this profession, the primary distinction is the emphasis on business strategy. Business analysts devote considerable time identifying the areas of a firm that need to be improved than any other kind of analyst. They also look at procedures and make notes on how they might be improved upon.
This is a management-oriented role, and those who hold it have qualifications in Business Administration and Economics, among other fields. This expertise allows these individuals to become qualified in data analysis, putting them in a position to pursue a career as a business analyst.
This professional's ability to manage others is what gives them the freedom to make their own judgments. These professionals are able to identify secure and high-potential paths for businesses based on their analysis and insights gleaned from data.
What Skills Does a Business Data Analyst Need to Have?
You must be qualified to hold a job of this magnitude inside a business. Working with data necessitates a certain level of technological expertise. A Business Data Analyst's success hinges on his or her ability to understand the business world.
Because of this, employers will look for applicants that can meet the following criteria:
- Extensive knowledge of data, including investigation and analysis.
- The ability to use SQL databases.
- Advanced communication abilities, including the ability to work with people from various departments within the company.
- Knowledge of the project management process. In strategic business management, the ability to detect and deal with particular data will be crucial.
- SAP knowledge.
- Skills in statistics and mathematics.
- Presentation platforms, data administration in spreadsheets, and the development of reports are among the skills required.
How Does One Become a Business Data Analyst?
Being a Business Data Analyst does not need following a well-trodden route. You can't get the job by following a set of rules, but there are a few things you must keep in mind to get there.
Candidates that are well qualified will have:
- A bachelor's degree in a management-related field, such as Business Management.
- A specialist qualification in data analysis.
- Expertise in database management systems and the SQL programming language, among other things.
- An understanding of what it's like to work as an analyst at the starting level.
When it comes to corporate jobs, a Business Data Analyst has the potential to get to the top. Because of their crucial role in decision-making, they are now unavoidable.
When it comes to data-driven enterprises, you need employees who can assist you make strategic choices in addition to interpreting the data. Because of this, the more data knowledge you have, the better off you will be.
You can also take advantage of Simplilearn’s Post Graduate Program in Business Analysis, designed with the prestigious American Perdue University and is rated among the Top 5 Business Analysis Courses. This program can help you jumpstart your career as a Business Analyst.
Business Data Analyst Job Prospects and Salary
The demand for a business data analyst is rising on an unprecedented scale in the present scenario. However, there is a paucity of skilled business data analysts who can take up this challenging role. This has created a peculiar situation where the demand for business data analysts is higher than the current supply of talented professionals, making it a lucrative career prospect for those who are enthusiastic about business analysis.
Those who aspire to work as a business data analyst can enroll for a Data Analyst Certification Course to gain an edge over the competition. Business data analyst skills will often lead to a rewarding career opportunity by those seeking to learn and make a career in the field of data analysis.
The salaries for the role of business data analysts are very lucrative. The exact figure depends on various factors such as experience level, job location, industry, type of organization. In India, the average annual salary for the role is 7 lacs. In e-commerce giants like Amazon, the senior-level business analysts’ average earning is somewhere around 17 lakhs annually. It’s safe to say that Business data analytics jobs will continue to grow in demand and will see a spike in professionals’ annual earnings in this field.
As we move ahead in the digital era, the decision-making process will become more complex and fully data-driven. The role of a business data analyst will become indispensable for any organization that relies on the use of progressive technology to improve customer satisfaction. You can enhance and validate your expertise in data analytics by enrolling in our PG Program in Data Analytics in partnership with Purdue University, and aim for faster career progression and land yourself in your dream organization.