Both roles help the business achieve its goals and objectives, but these roles differ in how they accomplish these goals. In the business analyst vs data analyst context, each brings unique skills and approaches to drive success.
Business Analyst Vs Data Analyst
Most businesses today are propelled by data. They depend on data for effective decision-making, insights and achievement of their objectives. There are two key roles that are crucial in any organization: Data Analysts and Business Analysts. Conversely, they have different characteristics despite their few similarities. This article will focus on the differences between Data Analysts and Business Analysts.
What do Business Analysts do?
Business analysts define business problems, gather requirements and analyse them. Business analysts also assist in deriving the solutions that meet the objectives of the organization. Additionally, they also work together with stakeholders to understand the business processes and find ways of making improvements.
Some of the key tasks of Business Analysts are:
- Performing Gap Analysis
- Creating Business Requirement Documents
- Development of Project Plans
- Cost Benefit Analysis
- Risk Assessment/Opportunity Identification
What do Data Analysts do?
Data analysts, on the contrary, use techniques and tools to collect, analyze, and interpret large volumes of data. They employ various methods for collecting insights from the information that allows users to understand the data and make decisions. This highlights the difference between business analyst and data analyst, as the former focuses on identifying business needs and requirements, while the latter concentrates on data interpretation and analysis to support decision-making processes.
Some of the key tasks of Data Analysts are:
- Data Collection and Scrubbing
- Data Visualization and Dashboards
- Create Predictive Models
- Analyse Trends and Patterns
- Discover areas of Improvement
Skills required for Business Analyst Vs Data Analyst
For Business Analysts and Data Analysts to succeed in their respective positions, there are some skills that they must acquire. Superior communication and problem-solving abilities are essential for Business Analysts. Furthermore, they need to be familiar with concepts of business processes, project management, and data analysis. Understanding the difference between business analyst and data analyst roles is crucial for developing the right skill set for each position.
Skills needed to become a Business Analyst:
- Good Communication
- Analytical and Problem-Solving Skills
- Domain Knowledge
- Technical Aptitude (Optional)
On the other hand, data analysts require good analytical and technical skills. Thus, they should have a good knowledge and experience in using data analysis tools, and techniques as well as data visualization and statistical analysis.
Skills needed to become a Data Analyst:
- Database and Programming Language such as SQL, Python, and R
- Visualization tools such as Power BI, Tableau
- Data manipulation
- Statistical analysis
Salary offered for Business Analyst Vs Data Analyst
- India’s average salary for a Business Analyst is 6,87,421 INR per annum compared to the United States, where it is $74,849, and in Canada, it is C$70,665 per year, according to Payscale.com. Understanding the difference between business analyst and data analyst is important not only for salary expectations but also for recognizing the distinct roles and responsibilities each position entails within an organization.
- In India, the average salary of a Data Analyst comes to INR 6,72,000 every year with higher salaries for those with advanced skills and experience according to Glassdoor.co.in. In the US it is $67 314 and C$62 009 in Canada.
One must be aware that the salary range will vary significantly based on factors such as total experience and industry.
Sources:
Business Analyst, IT Salary in India in 2024 | PayScale
Business Analyst, IT Salary in Canada in 2024 | PayScale
Business Analyst, IT Salary in 2024 | PayScale
Salary: Data Analyst in India 2024 | Glassdoor
Data Analyst Salary in 2024 | PayScale
Data Analyst Salary in Canada in 2024 | PayScale
Career Prospects of Business Analyst Vs Data Analyst
As per the recent survey by the U.S. Bureau of Labor Statistics, the demand for data analyst jobs is estimated to grow by 23% between 2024 and 2032. In fact, the global data analytics market is expected to witness expansion, with projections showing it skyrocketing from $61.44 billion in 2023 to $581.34 billion in 2033. This growth highlights the difference between business analyst and data analyst, as businesses increasingly rely on data-driven insights to inform their strategies and decisions, underscoring the distinct roles each analyst plays in organizational success.
Source:
Global Data Analytics Market Size To Exceed USD 581.34 (globenewswire.com)
Business Analyst Career Road Map | IIBA®
Prerequisites for Business Analyst Vs Data Analyst
- To be a Business Analyst, one must possess at least a bachelor’s degree in computer science, business administration, or any other related fields. They can also undertake certification courses in Business Analysis to become experts in their domain. Understanding the difference between business analyst vs data analyst is essential, as the educational requirements and skill sets may vary significantly between these two roles, reflecting their distinct contributions to organizations.
- To be a Data Analyst, you need to have a bachelor’s degree in computer science, statistics, mathematics, or a related field. Expertise in tools and techniques for data analysis, such as SQL, Python, R, and Excel, is also required. Alternatively, showcasing certifications on your resume can help you score a data analyst job. Understanding the nuances of business analyst vs data analyst roles is important, as each position has its own specific educational requirements and skill sets tailored to their distinct functions within an organization.
What can we do for you?
One can take up Certified Business Analysis Professional (CBAP), CCBA, or ECBA from IIBA, among other certification courses, to become a successful Business Analyst. To become a Data Analyst, one may pursue certification courses such as IIBA CBDA, Microsoft Power BI, Tableau, and Certified Analytics Professional (CAP). Understanding the business analyst vs data analyst landscape can guide you in selecting the right certifications for your career path, ensuring you acquire the necessary skills for the specific role you wish to pursue.
We at Techcanvass provide the below pieces of training:
For Business Analyst:
For Data Analyst:
- Data Analytics Fundamentals Course
- Data Analytics Certification Training
- Data Visualization with Power BI
- Data Visualization Training in Tableau
- IIBA CBDA training
- Exploratory Data Analysis using Excel
In summary, the roles of Data Analysts and Business Analysts overlap to some extent but differ in terms of the skills required, job specifications, and payment scales. Understanding the business analyst vs data analyst distinctions is essential for organizations to allocate resources effectively. Overall, these two positions are crucial for companies to achieve their business goals.
