business analyst interview questions
Most common interview questions for Business Analysts

Preparing for a Business Analyst Job Interview? Here are a few tips and the most useful and common business analyst interview questions that you might face. 
Before attending an interview for a business analyst position, one should be through about their previous experience in the projects handled and results achieved. The types of questions asked generally revolve around situational and behavioural acumen. The interviewer would judge both knowledge and listening skills from the answers one presents. Checkout the list of frequently asked important business analyst interview questions for freshers as well as experienced candidates that one could face during job interviews.

Top10 Business Analyst Interview Questions and Answers

1. What is the role of a business analyst?

Business analysts essentially work as a bridge between different stakeholders in any organisation. They clarify and finalize organisational requirements, assist in project planning, designing and validate developed components. They possess professional domain knowledge and help sort business needs amongst stakeholders of different domains. Ideally, Business Analysts also engage with business leaders to understand obtain data-driven solutions to improve efficiency. These changes are applied to processes, products and services. Altogether, they execute and implement ideas that are both technologically and financially feasible.

2. What is SRS? What are its key elements?

A System Requirements Specification (SRS) or a Software Requirements Specification can be defined as a document or set of documents that describe the features of a system or software application. SRS aims at providing a high-level idea of the system, its behaviour, business processes, and the performance parameters required for the system. 

Some key elements of an SRS are:

  • Scope of Work
  • Functional Requirements
  • Non-Functional Requirements
  • Dependency
  • Data Models
  • Assumptions
  • Constraints
  • Acceptance Criteria

3. What is a Requirement?

A Requirement is essentially a targeted solution created to achieve specific business goals and objectives. It acts as an input to various stages of SDLC, which is a  project validated by the stakeholders and business users before implementation. It is vital that every requirement is properly documented for future reference purposes.

4. How do you categorize a requirement to be a good requirement?

business analyst interview questions

A good requirement is the one that clears the SMART criteria, i.e., 
Specific – A perfect description of the requirement, specific enough to be easily understandable
Measurable – The requirement’s success is measurable using a set of parameters
Attainable – Resources are present to achieve requirement success
Relevant – States the results that are realistic and achievable
Timely – The requirement should be revealed in time 

5. What is Use Case?

A Use Case is a diagrammatic representation of a system describing the process of how a user uses a system to accomplish a set of goals. It is an integral part of software engineering and software modelling techniques, considering it targets the features and the resolution of any possible errors which a user may encounter.

6. What are the steps required to design a Use Case?

The steps involved in designing a Use Case are:

  • Identification of the system users
  • Creation of a user profile for each category of users. 
  • Identification of objectives associated with each user, and their significant roles.
  • Creation of use cases for every goal – with a use case template. 
  • Structuring the use cases
  • Review and validation of the users

7. What are the different types of actors in an use case diagram?

There are two main types of actors that are depicted in an Use case, they are:

  • Primary actors, that start the process
  • Secondary actors, that assist the primary actor

The actors can also be categorised into four types, they are:

  • Human
  • System
  • Hardware
  • Timer

8. List out the documents used by a Business Analyst in a project?

The various documents used by a Business Analyst are:
a. FSD – Functional Specification Document
b. Technical Specification Document
c. Business Requirement Document 
d. Use Case Diagram
e. Requirement Traceability Matrix, etc.

9. What is Scope creep? What are its causes? How can it be avoided?

Scope creep, or also known as a requirement creep is a term that is associated with uncontrolled changes or deviation in a project’s scope within the same resource range.  

Some possible causes of scope creep include:

  • Poor communication
  • Improper documentation 

Scope creep can be avoided by:

  • Proper documentation 
  • Organised change management
  • Prior intimation of changes to the associated parties
  • Refrain from Gold Plating, i.e. additions of extra features to existing functionalities

10. What is the difference between BRD and SRS?

business analyst interview questions

SRS (Software Requirements Specifications) – is an exhaustive description of a system that needs to be developed and describes the software – user interactions. While a BRD (Business Requirements Document) is a formal agreement for a product between the organization and the client. 
The difference between the two are:

11. Name and briefly explain the various diagrams used by a Business Analyst.

  • Activity Diagram: It is a flow diagram representing the transition from one activity to another. Here activity is referred to the specific operation of the system.
  • Data Flow Diagram: It is a graphical representation of the data flowing in and out of the system. The diagram depicts how data is shared between organizations.
  • Use Case Diagram: Also known as Behavioural diagram, the use case diagram depicts the set of actions performed by the system with one or more actors (users).
  • Class Diagram: This diagram depicts the structure of the system by highlighting classes, objects, methods, operations, attributes, etc. It is the building block for detailed modelling used for programming the software.
  • Entity Relationship Diagram: It is a data modelling technique and a graphical representation of the entities and their relationships.
  • Sequence Diagram: It describes the interaction between the objects.
  • Collaboration Diagram: It represents the communication flow between objects by displaying the message flow among them.

12. Name different actors in a use case diagram?

Broadly, there are two types of actors in a use-case:
a. Primary Actors – Start the process
b. Secondary Actors – assist the primary actor
They can further be categorized as:
i. Human
ii. System
iii. Hardware
iv. Timer

13. Describe ‘INVEST’.

The full form of INVEST is Independent, Negotiable, Valuable, Estimable, Sized Appropriately, Testable. With this process, the technical teams and project managers to deliver quality products or services.

14. What is Pareto Analysis

Also known as the 80/20 rule, Pareto Analysis is an effective decision-making technique for quality control. As per this analysis, it is inferred that 80% effects in a system are a result of 20% causes, hence the name 80/20 rule.

15. Describe the Gap Analysis.

It is utilized to analyze gaps between the existing system and its functionalities against the targeted system. The gap is inferred to the number of changes and tasks that need to be brought in to attain the targeted system. It compares performance between the present and the targeted functionalities.

16. Name different types of gaps that could be encountered while Gap Analysis

There are mainly four types of gaps:
a. Performance Gap – Gap between expected and actual performance
b. Product/ Market Gap – Gap between budgeted and actual sales numbers
c. Profit Gap – Variance between targeted and actual profit
d. Manpower Gap – Gap between required and actual strength and quality of the workforce in the organization

17. What are the various techniques used in requirement prioritization?

Requirement prioritization, as the name suggests, is a process of assigning priorities to the requirements based on business urgency in different schedules, phases, and cost among others.
The techniques for requirement prioritization are:
a. Requirements Ranking Method
b. Kano Analysis
c. 100 Dollar Method
d. MoSCoW Technique
e. Five Whys

18. What is BPMN? What are its basic elements?

BPMN is the abbreviation to Business Process Model and Notation. It is essentially a graphical representation of business processes. There are five basic elements of BPMN –

  • Data
  • Artifacts
  • Flow Objects
  • Swimlanes
  • Connecting Objects

19. What is Benchmarking?

Benchmarking is the process of measuring the performance of an organisation in order to compete in the industry. This process involves the measure of its policies, performance, rules and other such parameters.

20. What are some issues faced by business analysts?

Right from the initiation to post implementation of a project, a business analyst may face the following problems:

  • Employees related problems
  • Technology related problems
  • Access related issues
  • Business policies related issues
  • Business model errors

Stay tuned to this page for more such information on interview questions and career assistance. If you are not confident enough yet and want to prepare more to grab your dream job as a Business Analyst, upskill with Great Learning’s PG program in Business Analytics and Business Intelligence, and learn all about Business Analytics along with great career support.

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