The terms ‘Business Analyst’ and ‘Data Analyst’ are often used interchangeably by many different companies. This can cause a great deal of confusion.
Superficially, the responsibilities and tasks of these roles may look similar, but there are also differences between these two occupations. This article aims to provide a clearer idea about each of these individual roles.
What are the duties of a Data Analyst?
Data Analysts predominantly work with data. Data in this instance means rough numeric information, statistics, and facts.
All companies run their businesses based on all available quantitative and qualitative data. If the data is considered ‘rough’ and has not been collated, progression within the business would be difficult as the relevant departments and staff would be unable to understand the information provided.
Therefore, Data Analysts gather and measure the data provided in order to analyze and present said data to the appropriate areas of the business so that an informed decision for the betterment of the company can be made.
In order to become a Data Analyst, a successful candidate must have excellent presentation and communication skills, extensive experience with Microsoft Excel and SQL (Structured Query Language), as well as a background with Python programming language.
- Gathering relevant data needed for a particular project
- Removing or cleaning the unnecessary data
- Measuring the quantitative data
- Identifying patterns in qualitative data
- Analyzing each round of data for tracking trends
- Segregating data into appropriate groups
- Visualize and present it to the stakeholders of the companies and/or relevant departments
- Maintaining entire database
- Troubleshooting the problematic data
Business Analysts are generally considered as problem solvers and critical thinkers. Strong analytical skills and interpersonal expertise are essential to effectively perform their role within a business.
People who are Subject Matter Experts (SMEs) in their fields often can become Business Analysts. A competent Business Analyst will work across different departments in identifying problems and issues to enable companies to progress further by defining the needs and then recommending suitable solutions.
The solutions that are devised are based on the data available. There are different types of Business Analysts such as: Operations Research Analyst, Market Research Analyst, Management Analyst and Financial Analyst.
- Identify the existing problems in companies business and technical sides
- Evaluating the possibilities to bring appropriate solutions
- Researching available data and market trends
- Communicating with different team members and departments to share their insights
- Identifying opportunities to make improvements
- Presenting the findings to the company’s stakeholders
- Introduce strategic operations and recommendations to enhance the efficiency of the company
Data Analysts and Business Analysts both perform their duties using the data available.
A Data Analyst works predominantly with raw data in order to present it in a suitable manner and they are considered as responsible for maintaining the entire database. From collecting data to presenting it to the relevant department and/or stakeholders, a Data Analysts’ responsibilities stop there.
However, a Business Analyst uses the provided data to identify the needs of the business and provide correct solutions based on the analysis.
To be precise, a Business Analyst uses the collated data as means to identify issues and present solutions whereas Data Analysts visualize the data to interpret the business performance.
We can see from the above points that both Business Analyst and Data Analyst have a lot of differences. Whilst there are differences, both the positions are required in many industries.