IIBA CBAP: What business analysis approach is Sally and her business analysis team using?

Table of Contents

Question
Answer
Explanation
Reference

Question

Sally is the business analyst for her organization. Sally and her business analysis team is currently using a business analysis approach to determine what the competition of her organization is offering prospective clients. She is trying to identify solutions to increase revenue by remaining competitive with the competition. What business analysis approach is Sally and her business analysis team using?

A. Business rules analysis
B. Functional decomposition
C. Focus groups
D. Benchmarking

Answer

D. Benchmarking

Explanation

Answer: D. Benchmarking

Comprehensive Explanation:

Sally and her business analysis team are using the business analysis approach known as “Benchmarking.”

Benchmarking is a systematic process of comparing an organization’s performance, processes, products, or services against those of its competitors or industry leaders to identify areas of improvement, best practices, and opportunities for increasing competitiveness. In this case, Sally is trying to determine what the competition of her organization is offering prospective clients to find solutions that can help her organization increase revenue and remain competitive.

Let’s briefly review the other options to understand why they are not the correct choices for the given scenario:

A. Business rules analysis:
Business rules analysis involves identifying, documenting, and analyzing the business rules that govern an organization’s processes, decisions, and activities. While this is an essential aspect of business analysis, it does not directly address the objective of comparing the organization’s performance with competitors to increase revenue.

B. Functional decomposition:
Functional decomposition is a technique used in business analysis to break down complex systems or processes into smaller, more manageable components or functions. It helps understand the relationships between various functions and their contributions to the overall system. However, functional decomposition is not the appropriate approach for comparing the organization with its competitors.

C. Focus groups:
Focus groups are used in market research and product development to gather qualitative data and insights from a selected group of participants. While focus groups can be beneficial for understanding customer needs and preferences, they do not specifically address the objective of benchmarking against the competition to increase revenue.

D. Benchmarking:
As discussed earlier, benchmarking is the correct answer. It is a strategic business analysis approach that involves comparing an organization’s performance, processes, products, or services against competitors or industry leaders to identify areas of improvement and gain a competitive advantage. By studying what the competition offers prospective clients, Sally’s team can identify potential gaps and opportunities to enhance their offerings and increase revenue.

In summary, Sally and her business analysis team are using the business analysis approach of “Benchmarking” to analyze the competition, identify strengths and weaknesses, and find solutions to improve their organization’s competitiveness and revenue.

Reference

IIBA Certified Business Analysis Professional CBAP certification exam practice question and answer (Q&A) dump with detail explanation and reference available free, helpful to pass the IIBA Certified Business Analysis Professional CBAP exam and earn IIBA Certified Business Analysis Professional CBAP certification.