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Difference between a Business Analyst and a Project Manager

March 22, 2022 by Mike Jacobsen

Many companies hire Business Analysts as well as Project Managers to help in different aspects of the business. Both the roles share some similarities, so, many Business Analysts choose a Project Manager role as their next step in career. 

There are also certain differences in responsibilities of each role. Ascertaining the differences in each role will help companies to recruit someone with specific skill sets that are suitable for that role. 

It can also help people to identify their area of interests and upgrade their skills to switch roles. Let’s look at the differences in their responsibilities, salary, their demand in the job market, and skills. 

Business Analyst

Business analysts specialize in determining the needs of the business and provide necessary solutions to help companies achieve their target. They look at business and strategy in broader perspective so as to understand the problems, and communicate with cross-functional teams, higher authorities, and stakeholders to arrive at a solution. Some of their responsibilities include:

Identifying problems: They have to identify the needs of the companies and then look at the problems that come along with the needs.

Research business opportunities: They should look for a niche in which their business wants to step into and analyze if their company can perform well in that niche.

Analyzing data: Their recommendations and solutions should be backed up by analyzing the available data.

Implementing solutions: Bring up appropriate solution for the needs and problems, and implement it in a right way.

Salary: On an average the pay is $70,000 per year. 

Growth market: There are over 2.7 million jobs offered so far, and this field is expected to grow by 11% in the near future.

Skills: Communication, interpersonal, forward thinking, and problem-solving skill. 

Project manager

 Project managers specialize in initiating, executing, and completing the project within the provided budget and timeline. They appoint suitable resources, lead the team, and ensure that the project goal aligns with the business goal. 

Determining the needs of the project: They have to identify the material needs, resources, costs, and scope of the project.

 Intermediate between team and management: Have to establish mutual understanding between team members, production team, development team, and upper management.

Organizing the team: They organize resources and materials and motivate them to ensure the smooth flow of the project.

Risk management: Analyze the project for any risks and notify the team and management to take necessary precautionary steps.

Project completion: Ensure that the project is completed before deadline. 

Salary: On an average they earn $77,633 per year.

Growth market: 1.4 million project manager job opportunities given so far. Around 6% increase is expected by 2029.

Skills: Leadership skill, communication skill, interpersonal skill, organizational skill, and negotiating skill.

While there might be some overlapping skills for these roles, it cannot be determined that these roles are similar. They both are different domains because project manager focuses only on the project and the business analyst covers the entire aspect of the business. 

Filed Under: Business Analysis

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