Analysis in Context

Performing an analysis can be described as an attempt to understand needs defined by stakeholders and searching for possible solutions to those needs. Although most solutions are more or less associated with IT systems, the overall solution is typically composed of multiple components, and not all of them have to be IT-related. For example, the solution may include a legacy system modification, a business process change, or the creation of a new version of a document.

Business need: A problem or opportunity of strategic or tactical importance to be addressed.

The need may take two forms: it could be a problem the organization is facing or an opportunity the organization would like to seize. Needs may also differ in their complexity. They can represent something rather trivial, such as modifying a contract template because customers have been complaining about its current form. On the other hand, they may also define a complex problem, for example, implementing a legal requirement to delete all customers' personal data after five years. Such an issue could involve changes to dozens of business processes, modifications to several banking systems, and may lead to several subprojects.

Another aspect is the context of the need. While some needs specify high-level business problems whose solutions could be, but are not necessarily, IT-related, others may be limited to an IT context where meeting the need implies using an IT solution.

The example on the left represents a valid business need. It states why a change to the organization is required: because working with document templates is ineffective. Analyzing problems within a business context requires a wide range of skills, both business and IT-related. On the one hand, it is necessary to have a broad view of the organization and to understand its structure, capabilities, processes, and systems. In this context, the analyst's knowledge typically spans across various departments, as they need to see the "big picture," unlike business representatives who often operate only within the boundaries of their own department. On the other hand, to effectively solve problems using technology, the analyst must have a solid understanding of IT systems. They need to know their capabilities and limits to recommend the right solution, whether by introducing new systems or by modifying legacy ones.

The picture on the right is an example of a need limited to an IT context. Analysis of such a need typically starts with a request to change a component of the IT architecture, for example, to create a new feature or to modify an existing application. In this case, the analyst is responsible purely for analyzing the requested system. The goal is to determine what capabilities the system should have and how it is supposed to be integrated with other parts of the IT infrastructure. Analysts are not expected to concern themselves with impacts on current business processes, company policies, etc. They are responsible only for the technical solution, and it is assumed that the business impacts have already been considered by someone else.

The context is determined by the input that triggers the initiative. If it is a high-level business need, most of the analytical work is done within a business context, involving the study of business capabilities, structures, or processes. If the input is a low-level request to create a new software feature or modify an existing one, the analyst works more within an IT context, focusing on finding and designing the right technical solution.

The context also influences the range of possible solutions. While defining a need for a new system or identifying a flaw in an existing one typically leads to software implementation, in a business context, the best solution might be to change a business process or simplify the organizational structure. The business context is about finding the best way to address a business need, and using software is just one of the alternatives. For example, informing clients who have recently reached VIP status could be handled by manually finding them in the system and calling them, or by implementing a sophisticated report that feeds an automated campaign.