Business Analysis
What the exam tests
Business analysis tests whether you can move from a business problem to a validated requirement and a measurable solution. Expect stakeholder analysis, process mapping, business cases and requirement traceability in a DFI lending context.
Core rules and concepts
- Elicitation: interviews, workshops, document analysis and observation; distinguish business requirements, functional requirements and non-functional requirements.
- Process mapping: AS-IS and TO-BE flows, handoffs, cycle time, controls and failure points. In lending, map origination, appraisal, credit committee, documentation, disbursement and monitoring.
- Stakeholders: sponsor, borrower, credit, risk, legal, compliance, operations and IT; each has different success criteria.
- Business case: costs, benefits, assumptions, sensitivity, payback, NPV and risks. Benefits must be measurable, such as lower turnaround time or reduced rework.
- Traceability: requirement to design to test to acceptance. Change control prevents scope creep.
Worked example
An e-appraisal workflow costs ₹2 crore and cuts loan turnaround from 20 days to 8 days. Annual benefit from faster disbursement and lower rework is ₹4 crore; recurring licence and support cost is ₹0.5 crore. Net annual benefit = ₹3.5 crore. Payback = 2/3.5 = 0.57 years, about 7 months. First-year ROI = 3.5/2 = 175%. The reasoning is valid only if the benefit is attributable to the workflow and the regulatory checks remain in the TO-BE process.
Traps
Do not jump to a solution before defining the problem. Do not confuse a business requirement with a screen layout or database field. Do not omit compliance and audit controls from the TO-BE process. Do not claim benefits without a baseline.