What They Do
A business analyst uses both economics and business administration to assist managers, clients and stockholders in the analysis of business practices and identification of potential problems and trends. Business analysts take this research and data and make suggestions or provide financial or managerial solutions to potential and current problems. Business analysts are important because they can foresee problems like wasted costs and help management to streamline a business or organization’s strategic plan.
There are different kinds of business analysts who specialize in one aspect of business. Financial analysts, for example, focus on the financial side of an organization. Many financial analysts work in securities, commodity contracts and other financial investment firms. Budget analysts further specialize in spending habits and other related data in order to determine the best use of money that ensures profitability. Budget analysts mostly work in federal government. Management analysts, or management consultants, work in management consulting services to suggest ways to improve the efficiency of an organization. This includes strategizing on how to make organizations more profitable and how to balance morale and productivity for staff and administration.
Career Growth
The occupational group of business analysts is projected to grow almost 10 percent by 2024. Financial analysts and management analysts are expected to increase in demand by 12 percent and 14 percent respectively, while the projection for budget analysts is 3 percent.
Salary Potential
The average salary for a business analyst is $77,740. Budget analysts earn around $71,590, while management analysts and financial analysts make $81,320 and $80,310 respectively. Generally, these professionals work for consulting firms and are paid a base salary with an end-of-the-year bonus. Some are self-employed and are paid directly by their clients either by the hour or per project.
Education Required
Though business analyst positions generally require a minimum of a bachelor’s degree, career prospects increase when a job candidate has earned a master’s degree like a Master of Business Administration. MBA programs provide not only academic knowledge but also training for those who want to pursue careers as business analysts. An online Master of Business Administration builds on students’ practical experience and education in order to expand their foundations in business. Graduates are able to think critically, plan and research issues relating to the field of business as well as apply business theory to problems.
In addition to academic achievement, business analysts are expected to have professional experience. They may consider certification in business analysis to increase their marketability.