In business analytics jobs, a person has to analyze and interpret large amounts of data by conducting extensive research to assist the organization in making decisions. The field of business analytics jobs offers multiple opportunities, such as business analyst, financial analyst, marketing analyst, data analyst, data scientist, and business intelligence analyst. In this article, we will explore the roles and responsibilities of each type of job within the specialization. Before going deeper into these career options, let us understand the concept of business analytics and its types, needs, and importance it carries.
What is Business Analytics?
Suppose there is a small retail store running only in a city. But after some years the retail store expanded into a big departmental store with multiple branches along with an online market presence across many states of the country. Now they have to manage and organize lots of data to compete and stand in business.
To support their growth and increase their revenues, they require business analytics to analyze sales and purchase data, inventory data, customer behavior and needs, market trends, website traffic, and more. By implementing the techniques and strategies of business analytics the departmental store can get insights into the area for improvement, optimize their performance, stay ahead of the competition, and increase growth and profitability.”
Business Analytics is the process of gathering and analyzing all relevant information or data and transforming them into insights to improve decision-making. Businesses of all sizes produce considerable amounts of data through multiple sources.
Business Analytics is utilizing the benefits of statistical, quantitative, and operational methods along with set skills and technologies to analyze and interprets past and present data which aid the organization to gain insight into business operations.
The General Process of Business Analytics is:
- Data Collection – A process of gathering information and data forms various sources such as database which holds past and present data, survey, social media platforms, and more.
- Data Management – A process of managing the collected data and providing accurate and up-to-date data when the organization required it.
- Data Mining – A process of extracting and analyzing large data volumes by implementing statistical, machine learning, and quantitative techniques.
- Data Visualization – A process of presenting information and data in a visual format such as graphs, infographic images, charts, diagrams, video formats, and more.
- Predictive Modelling – A statistical and mathematical technique used in business analytics to predict future trends and outcomes based on historical facts, data, and patterns.
- Optimization – A process of finding a solution to problems that were discovered by leveraging the techniques and strategies of business analytics.
Types of Business Analytics
There are four segments of business analytics, each with its specifications.
Descriptive Analytics –
It is a branch of business analytics usually conduct in the preliminary stage of business planning. This branch is focusing on answering the question “What happened”? In this stage of business analytics, the organization review, analyze and interpret historical and present data to get a better understanding of the past and present performance of the concerned organization.
It also helps in identifying the latest trends, market patterns, customer behavior, business performance, and many other vital factors. Data collection, data mining, data visualization, statistical analysis, and reporting are the techniques used in descriptive analytics to help the organization in gaining better insight into the business operation and decision-making.
Diagnostic Analytics –
It is a branch of business analytics also known as discovery analytics which involved analyzing and interpreting data volumes to determine “why something happen” and helps the organization to get a better understanding of factors and reasons for past and present performance or events.
For example – it allows you to understand why sale increases or decreases, and why customer satisfaction increases or decreases. Diagnostic analytics helps to identify relationships, patterns, and the root cause of specific problems or events in data by enabling various techniques including machine learning, data mining, correlation analysis, and regression analysis.
By gaining insights from diagnostic analytics the organization can address and optimize the problem along with improving customer satisfaction and ultimately leading to better business performance.
Predictive Analytics –
This branch of business analytics helps organizations in predicting future outcomes by utilizing various techniques such as statistical and mathematical modeling, machine learning, decision tree, regression analysis, and neural network.
Leveraging these techniques or identifying patterns and relationships in data, an organization can predict future sales, customer behavior, and market trends, detect risk, future opportunities, and many other variables, and determine “what is likely to happen?”
Prescriptive Analytics –
Prescriptive analytics is closely related to descriptive and predictive analytics because it focuses on actionable insights rather than monitoring the data problems when they occurred.
This is the most mature branch of business analytics which uses various techniques to help an organization in decision-making, determining optimal pricing strategy, reducing production cost, increasing efficiency, identifying market trends or channels, and achieving specific business objectives.
Prescriptive analytics leveraging techniques including advanced modeling, simulation, decision analysis, and optimization algorithms to evaluate multiple business scenarios and suggest favorable outcomes in various courses of business operations along with answering the question of “what action should be taken to achieve desired business goals” also recommend best action in a variety of available choices
By Implementing all these modes or channels of business analytics an organization can get their data and information efficiently analyzed and interpreted with the main goal of developing solutions to all kinds of business problems that many organizations face nowadays.
Needs and Importance of Business Analytics
Now we are going to understand the need and importance of business analytics for all kinds of business sizes.
Business Planning –
In every type of organization and industry, business planning plays a critical role in making businesses achieve specific objectives and goals. Business planning is incomplete without business analytics because planning needs data and information through which an organization planned its futuristic business objectives.
Business analytics contributes to business planning by analyzing data and information, identifying opportunities along with risks associated, forecasting and budgeting, competitive insights, customer insights, performance tracking, and more.
Decision Making –
In business analytics, big volumes of data and information are analyzed or interpreted with the help of various techniques, technologies, and strategies. These data are based on historical facts and present information on the economy of an organization and industry.
It is also considered an important tool in a competitive business environment by making data-driven decisions, providing precise and accurate information, improving accuracy, real-time decision-making, strategic decision-making, risk management, and more.
Increasing Efficiency –
Business analytics helps by providing insights via identifying areas of improvement in the business organization while conducting an in-depth analysis of data and information which ultimately results in increasing the business performance and generating more profits.
There are many ways through which an organization can streamline its business operations such as optimization of resources, real-time monitoring, automation with the help of machine learning algorithms, predictive measures, and more.
Risk Management –
As you already know that business analytics analysed or interpret bulk amounts of data which were based on past and present information. By analyzing data and information, an organization can identify market patterns and trends along with the economic situation of the business which may indicate potential risk.
Business analytics can help an organization or industry by providing insights about risks that may occur in the future and also enables one to perform scenario-based analysis to calculate different types of risk in a specific scenario.
An effective risk management strategy or technique helps an organization in identifying and managing potential risks, prioritize risk management efforts, optimum utilization of business resources, and more, which may result in enhancing business performance and reputation.
Competitive Advantage –
In business analytics, by analyzing data and information, an organization can gain insights into market trends, the latest fashion, customer behavior, industry performance, competitor activities, and more. These insights help organizations to differentiate themselves from competitors, compete on the market level, make informed decisions, and more which eventually lead organizations to stay ahead of their competitors.
Enhance Customer Experience –
Organizations or industries irrespective of their sizes can enhance their customer experience by implementing techniques and strategies of business analytics.
In business analytics, by identifying or analyzing customer data, tracking customer feedback, and customer behavior patterns along with anticipating their needs by leveraging predictive analytics, an organization can obtain insights into their preferences, requirements, and intriguing points which can help them to enhance their products and services.
Identifying and optimizing the areas of improvement, eliminating obstacles in the sales and service process, responding to their feedback in the best possible way, providing personalized recommendations, and more which ultimately lead to increased customer satisfaction and loyalty along with generating more revenues and promoting business growth.
Innovations are the sole requirement of every type of organization and industry to stand in today’s competitive market. Without innovation, no organization or industry can survive. Business analytics contributes a major role in the area of innovation through its futuristic techniques, technologies, and strategies.
Business analytics helps organizations to obtain insights into emerging trends, changing market trends and patterns, identifying new opportunities along with developing innovative products and services which ultimately lead an organization to achieve its goals.
- Business Analytics Career
- Business Analyst Salary
- Business Analytics Tools
- Business Analytics Techniques
Career Opportunities in Business Analytics Jobs
I would believe that you understand the concept, types, needs, and importance of business analytics. Let us explore career opportunities in the field of business analytics jobs. Here are some major career opportunities given below.
1. Business Intelligence Analyst
Average salary: INR 4,00,000
Qualification and Skills Required:
- Bachelor’s degree in Business Administration, Information Technology, Statistics, Applied Mathematics, or other related fields.
- Strong analytical skills.
- Problem-solving skills.
- Knowledge of statistical methods and machine learning
- Excellent communication and presentation skills.
Business Intelligence Analyst is a profession in which an individual analyst work in harmony with all respective sector of an organization and industry such as sale and purchase, marketing and distribution, finance, inventory management, and production.
An analyst should have a strong knowledge of data mining, data warehousing, data visualization, statistical modeling, information technology, and descriptive analysis because they are responsible for gathering, analyzing, and interpreting large volumes of data and information from multiple sources.
Business Intelligence Analysts leverage various kinds of analytical techniques and strategies to collect all kinds of relevant and significant information to create reports, track performance, provide recommendations to improve business operations, and identify market trends and patterns in data which eventually help organizations on various stages. Due to the high demand for this profession, every type of business size hire Business intelligence Analyst.
2. Data Analyst
Average salary: INR 4,00,000
Qualification and skills required:
- Bachelor’s degree in Computer Science, Engineering, Mathematics, Statistics, and other related fields.
- Knowledge of programming languages such as Python, R, and SQL.
- Critical thinking and decision making.
- Data analysis and statistical methods.
- Willingness to learn and upgrade new skills and technologies.
To become a Data Analyst, above mentioned qualifications and skill sets are required. In the profession of Data Analyst, an individual analyst has the responsibility of collecting, processing, analyzing, and interpreting large volumes of data to extract meaningful insights that help an organization or industry in improving business strategy and promoting business growth while making informed decisions.
Data Analysts leverage multiple analytical tools to identify trends and patterns in data, relationships in data, and areas of improvement along with the authenticity of data and present their insights concisely to the decision maker.
3. Data Scientists
Average salary: INR 10,00,000
Qualification and skills required:
- Bachelor’s or Master’s degree in Computer Science, Mathematics, Statistics, Data Science, physics, and other related fields.
- Knowledge of programming languages such as Python, R, JAVA, and SQL.
- Strong analytical and problem-solving skills.
- Familiar with machine learning algorithms and techniques.
- Critical thinking and delivering insights to stakeholders.
Data Scientists are expert professionals who are responsible for extracting meaningful insights from raw, unorganized, and unstructured data by implementing scientific methods, statistical models, and algorithms. They help organizations or industries in promoting business growth and improving business strategies by collecting, analyzing, and cleaning complex and raw sets of data developing predictive models, and collaborating with cross-functional teams.
4. Data Architect
Average salary: INR 12,00,000
Qualification and skills required:
- Bachelor’s or Master’s degree in Computer Science, Information Technology Statistics, Applied Mathematics, or other related fields.
- Deep understanding of database management systems such as MySQL, Oracle, or Microsoft SQL server.
- Knowledge of programming languages such as Python, Java, and SQL.
- Proficiency in data designing or data modeling.
- Strong analytical and communication skills,
Data Architects are senior-level professionals who work with business analysts, data analysts, developers, and IT managers to understand the data requirement of an organization and industries also responsible for creating, designing, and maintaining data models, data integration, data storage, and security. They help the organization by leveraging data or ensuring significant information is accessible efficiently and securely in a clear concise manner and presented to the stakeholders for informed decision-making.
5. Market Research Analyst
Average salary: INR 4,50,000
Qualification and skills required:
- Bachelor’s degree in business administration, marketing, and statistics.
- Industry Knowledge
- Strong analytical and communication skills
- Deep knowledge of research techniques and strategies.
- Documenting and reporting skills.
Market Research Analysts are professionals responsible for gathering, analyzing, and interpreting data and information from complex reports, surveys, opinion polls, and customer feedback which are related to market trends and patterns, industries, competitors, customer behaviors, and other factors affecting business performance.
They leverage various techniques and statistical analysis to obtain insights and help organizations or industries in making informed decisions about products and services, developing marketing strategies, and understanding market opportunities in the best possible way.
Here are the best business analytics courses:
- Business Analytics Courses in Kolkata
- Business Analytics Courses in Pune
- Business Analytics Courses in Mumbai
- Business Analytics Courses in Bangalore
6. Financial Analyst
Average salary: INR 6,00,000
Qualification and skill required:
- Bachelor’s or Master’s degree in Finance, Accounting, Business Administration, and related fields.
- CA, CFA, or CPA professional certification would be a plus point.
- Knowledge of industry trends and regulations.
- Familiar with financial software such as Excel or Bloomberg.
- Excellent communication and analytical skills
- Financial modeling skills
Financial Analysts are professional individuals who work in harmony with multiple sectors of an organization and industry including marketing, sales, accounting, and auditing to gather financial information such as financial statements, economic and market data, industry trends, and patterns to provide insights and recommendations for informed decision-making and help organizations in investment, budgeting, managing risk, identifying new opportunities and more.
Above mentioned career opportunities are in high demand in the field of business analytics jobs. Many organizations or major industries are hiring freshers and expert professionals according to their requirements and business size.
These organizations or industries also conduct training and development sessions for entry-level individuals which help employees in understanding the work, develop new skills, and enhance their in-built skills.
If you climb up on the ladder of these professions, you would get prompted to higher positions such as Business Analytics Manager. Chief Data Officer, Marketing Analyst Manager, Chief Analytics Officer, and more.
Frequently Asked Questions:
Question: What are the top three skills required in business analytics jobs?
Answer: The top skills required are as follows:
- Critical Thinking
- Decision Making
Question: Are business analytics jobs high-paying?
Answer: Yes, business analytics jobs are high-paying. A fresher in business analytics can get a salary between 3 to 7 lakh per annum or an experienced individual can earn between 8 to 20 lakh per annum. In some cases, the salary can go above 50 lakhs per annum only for veteran business analysts.
Question: Are business analytics jobs tough?
Answer: Yes, business analytics jobs require deep knowledge of data and information to help organizations in achieving business objectives so it is not an easy job. It is a challenging and demanding job that requires the ability and skills of critical thinking and statistical or mathematical modeling to gain insights to improve business operations.
Question: What is the difference between a business analyst, a Data scientist, and a Data analyst?
Answer: A business analyst is an individual who analyses and interprets data to identify business problems and opportunities for improvement in an organization whereas a Data Analyst is an individual who leverages various analytical and statistical techniques to analyze large volumes of data, identify patterns, and trends which will help organizations for informed decision making, On the other hand, Data Scientist is an individual who is responsible for analyzing, designing, developing a complex algorithm to extract insights from data and information by implementing various analytical techniques.
Question: Have analysts required knowledge of SQL in business analytics jobs?
Answer: Yes, SQL knowledge is required by every type of analyst. In business analytics jobs, analysts have to do deep research to extract significant information from large volumes of data.
Question: What are the types of software analysts use in business analytics jobs?
Answer: Microsoft Visio, Tableau, PowerBI, Bokeh, Plotly and Infogram are major software used by analysts.
Question: Who hires business analysts, data analysts, and data scientists?
Answer: Today every sector private or public and organizations and industries irrespective of their business size hire these analysts. For example, Management firms, healthcare and hospitality industries, IT-related industries, Financial firms such as the banking and insurance sector, and more.
Question: What are the top 5 business analytical companies that offer business analytics jobs?
Answer: The top business analytical companies are:
1. Mu Sigma Analytics.
2. Fractal Analytics.
4. Latent View.
5. Tiger Analytics
In this article, you learned and understand the concept of business analytics its types, and its importance in today’s business world. And I hope that my article will help you to explore career opportunities in this demanding field of business analytics jobs. With the help of business analytics professionals, an organization or industry can grow its business, avoid any possible risk, improve business performance, make data-driven decisions, and more.