Needs Assessment
Needs Assessment is the front end of business analysis. The exam tests whether you can define the business problem or opportunity before a solution is chosen: assess the current state, describe a measurable future state, identify gaps and options, and build a business case that supports a go/no-go decision.
Core rules
- Write a situation statement that names the problem, affected groups, and business impact.
- Baseline the current state with data, not opinion: volumes, cycle time, defect rates, cost per transaction, customer satisfaction.
- State the future state as outcomes and measures, not as a product.
- Use gap analysis to compare current and future states, then separate root causes from symptoms.
- Develop and compare options, including the do-nothing option, and test feasibility: technical, financial, operational, legal.
- A business case contains the problem statement, options, expected benefits, costs, risks, assumptions, and a recommendation.
- Identify stakeholders early, including those affected by the problem and those who control funding.
Worked example
A utility call center has a 12 percent repeat-contact rate. The sponsor asks for a new CRM. The BA baselines 12 percent repeat contacts, 8-minute average handle time, and $6.20 cost per contact. Root-cause interviews show 41 percent of repeat calls involve billing adjustments agents cannot authorize. The future state is written as outcomes: repeat contacts below 5 percent, handle time below 6 minutes, same cost base. Options are a self-service portal, expanded agent authority, or CRM replacement. Only expanded authority addresses the root cause. The business case projects $310,000 annual savings, $80,000 implementation, and six-month payback, with legal review as a risk. Recommendation: proceed with authority change and defer CRM.
Traps
Jumping to a solution, writing features instead of needs, skipping the baseline, treating the business case as a sales document, and confusing a symptom with a root cause.