BAC - Business Analyst Interview Questions With Answers

1. What is Business Analysis and Who is Business Analyst?
As per IIBA, Business Analysis is the practice of enabling change in an organizational

context, by defining needs and recommending solutions that deliver value to stakeholders.
One should not restrict the BA role to only being a link between Non-It and IT or only for
development projects. A BA is someone who is able to bring in improvements, changes
(technology, process, people etc.) in an efficient manner. So a BA could be part of the
marketing team who helps the marketing team in providing estimates/high level solutions for
a said project which is under the process of procurement. Or he could be someone involved
during the Requirement gathering/analysis once the project is initiated. Or he could be
someone who brings profit to the company by performing process improvement activities
ROIs at process level.
Last but not the least BAs could be domain specific as well.
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2. What is the career path for a Business Analyst?
A Business Analyst in the IT field has many varied directions among which to choose a
career path. The most direct would lead to a Lead Business Analyst position and then Project
Manager whereby the incumbent manages projects through the entire lifecycle from inception
to post-implementation including the management of business analysts system analysts
quality assurance analysts and most likely development project managers or team leads. That
path would then lead to Program Management perhaps PMO management or Product
Manager and on to Directorship. In addition a good Business Analyst may find they are
heading toward a Customer Relationship Manager position whereby they become the primary
IT interface to a given Business Unit (BU). This role most often leads to a position within the
BU as a Manager of Applications or a Process Management role. Process Management opens
many jobs including process re-engineering quality program development and large scale or
enterprise process management programs such as ITIL or Six Sigma initiatives. These roles
will continue to proliferate as companies realize the benefits of having a SME in process and
quality. And still many Business Analysts find their understanding of business process
entirely portable into purely system related positions in the business side that are only
peripherally related to IT. These of course may lead to quantitative roles manager roles or
operational roles such as supply chain logistics et cetera.Of central importance to a successful
Business Analyst is the interest in speaking to people. Face to face verbal communication is
paramount to support other tools such as surveys and diagrams. Incumbents must be
interested in understanding not only the pieces that comprise a system but the people that
comprise it and the realities that embrace the system. Briefly the Business Analyst must
understand and not judge the what should be and the what is.
3. How would you transform business requirements to functional requirements?
While preparing Business requirements documents you mention why you need to built a
system, i.e. problem statement. What you need to do while creating functional requirements
is you have to specify is, solution of the problem. Specify thoroughly business problem and
explain solution for the same.
Business requirement documents do not necessarily contain solution part, functional
requirement may contain it how end user wants the system to perform. Dont forget to add
non-functional requirements same doc.
Following is the instance of Business Requirement, Functional Requirement and NonFunctional Requirement.
Business Requirement
Functional requirement
Non-Functional Requirement
Sales order is made against

customers purchase order.
Sales order is given for
approval to upper authority
Sales order shall be made with

reference from Purchase order
and it should be approved
from upper authority.
Sales order should be in proper

format (Specify format) and six
copies of sales order should be
printed from printer in 1 minute.
4. How do you resolve issues?
I would rather focus on issues and the facts related. Origin of issue, severity of the issue,
implications and possible solutions to solve the issue. Try not to focus on the person who
brought up the issue.
Another important part is how to avoid similar issues in future.
5. What analysis and modeling techniques do you use to translate business
objectives into system requirements?
-initiation diagrams including business use cases, activity diagrams,

workflow diagrams, flowcharts
business diagrams
activity diagrams or other techniques
relationship diagrams from the use cases or other high level diagrams
g the other relevant types of
UML diagrams, detailed design entity-relationship diagrams, and decomposed dataflow
diagrams
cycle, and understand which diagrams are derived from others
intelligently on the topic and review diagrams that have been normalized or decomposed
6. Mention some of the tools commonly used by business analyst?
There might be various tools that you as a business analyst would be using depending upon
the work environment.
The primary tools are:
MS-Office (Especially Word)
MS-Visio (for visualizing the concepts, creating diagrams)
But a lot of bigger organizations have been using Rational Software. Rational software
licensing is expensive so you might not find it being used everywhere.
Rational Requisite Pro (for Requirement Management)
Rational ClearCase/ClearQuest (For change management)
I have also found that some places like using MS-SharePoint, telelogic DOORS and other
tools for document collaboration. I would say, keep a working knowledge of MS SharePoint,
at least.
Sometimes you might end up being a BA com QA. As such, it is nice to have a working
knowledge of creating Test cases, using Load Runner, QTP etc.
Except for these tools if you have knowledge of RDBMS, Oracle, SQL, different operating
systems, some OOP, it is always a plus.
7. Explain equivalence class?
Equivalence class a mathematical concept is a subset of given set induced by an equivalence

relation on that given set. (If the given set is empty then the equivalence relation is empty and
there are no equivalence classes; otherwise the equivalence relation and its concomitant
equivalence classes are all non-empty.) Elements of an equivalence class are said to be
equivalent under the equivalence relation to all the other elements of the same equivalence
class. For each equivalence relation there is a collection of equivalence classes. Any two
different equivalence classes are disjoint and the union over all of the equivalence classes is
the given set. Equivalence classes and their corresponding equivalence relation are defined in
set theory a vital foundation for mathematics and those fields that use mathematics. More
details can be found in a study of equivalence relation.
8. What are the problems solved by business analysis?

As a BA the most critical part is in gathering requirements (we should understand them very
well from a Business User /stake holder point of view!!!)
Reason: There might be a chance for the whole project to go in the wrong path due to wrong
understanding of the Business users/ Stake holders needs and the gathered requirements
created for the work following that step i.e. going from A to C instead of going from A to
B.
Notes: (Business Users: are the individuals who work in organizations in different
departments like Logistics accounting finance Inventory) in the company who wanted the
software in Place for them to work on to help the Customers.
Stake Holders: Someone who is related to the Project? 2 types of People are involved:
Direct Stake holders: business end users customers developers tech team.
Indirect stake holders: management etc.
The Project Manager responsibility (usually) identifies the stakeholders determine their needs
and expectations and more important must manage and take their help for the project success.
(You should Understand them well to provide them with right service for the right success of
the project)...
SMEs: are the Subject Matter Experts who know about that project and have in-depth
knowledge about that software application used and that particular business domain
knowledge like Finance (terms and permutations etc.) Accounting (Business Planning Ledger
maintaining Forecasting) Mortgage (Local banking rules Knowledge about compliancy of
applications forms/ applications that needs the authorizations of the local Government bodies
or counties Underwriting conditions (How flexible the Loan lending organizations at the
individuals credit check or History)
So The SMEs help the Project Manager or BA to help them understand about the necessities
or needs of the Business Users or Stake holders like/interests- (How the Project help save
time for the transactions or? how much secure/security is needed the application wise or
profitable over long run) and SMEs explain How the Stakeholders or Business Users want
the application to be or appear to be for the Customers or Business Users).
9. What is the difference between data model and an entity relationship diagram?
A data model is a model which shows how data is stored and used for e.g. a normal database
It has 3 main parts 1)Structural part:- how data is structured 2)Integrity part:- Rules
governing structure3)Manipulation part:- operators used to select, update, query that data, e.g.
select, update, delete commands in SQL. To further add Data Modeling is when we add this
theory to Live instance. ENTERPRISE DATA MODEL (ENTERPRISE RELATIONSHIP
MODELING):- This can be called as an conceptual model or semantic model The sub parts
of an ERM are 1) Entity:- It is an object, e.g. employees, computer 2) Relationship:- It
captures how two or more entities are related to each other 3)Attributes:- Every entity has its
own sets of attributes (e.g. PAN no in India for each employee or SSN in US). To clarify the
points look at example: An employee is an entity belonging to entity sets (All employees)
which has a relationship with department, and attributes is emp code
10. Who uses the output produced by business analyst?

The output will be used by the Both IT and Non-It People, as IT people use this document as
key for the building of the application and Non - It people use those document where they
can see prototype of their application.
11. What is the educational qualification required for a business analyst?
There is no specific qualification for a business analyst. Well, if you are a management
graduate it is an added advantage since you have they have better communication skills. One
important thing a BA needs to have is domain knowledge or business knowledge. Unless
he/she understands the client's business process thoroughly they cannot draft the requirements
properly.
12. Mention the components of UML?
UML uses many concepts from many sources. 1. For Structure: Actor, Attribute, Class,
Component, Interface, Object, Package. 2. For Behavior: Activity, Event, Message, Method,
Operation, State, use case. 3. For Relationships: Aggregation, Association, Composition,
Depends, Generalization (or Inheritance). 4. Other Concepts: Stereotype. It qualifies the
symbol it is attached to.
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13. Mention some of the important points a business analyst must take care while
preparing business plan?
While Creating Business Document, Make sure you start from small problems. Dont jump to
big problems right way. Keep the Business sponsors and IT folks in the loop. Make sure your
document clearly state Exceptions, Assumptions and Limitations. Sometime you need to keep
in mind the legal issues. Business document should be well written for usability and for
future projects.
14. Why is business analyst position vital in an organization?
The position is important because a BA is a peoples person when it comes to the users and
an IT person when it comes to the developers. He can communicate with the users in jargon
that they are comfortable with and is able to understand them in order to collect solid
business requirements. Simultaneously he can effectively communicate these requirements
and support them with documentation for a developers benefit.
15. Why excellent communication skill is essential for a business analyst?
A BA is one who sits with the client understands it and then tells the IT people what needs to
be done hence BA needs to have excellent communication skills
16. What are the industry and professional standards followed by business analyst?
Industry standards that have been set for the BAs to follow are OOAD principles and Unified
Modeling Language (UML). This is a common language used by business analysts all around
the world to draft the functional requirements.
17. What are the quality procedures followed normally by a business analyst?
For quality there is no specific mark of course Six sigma and ITIL (Information technology
infrastructural library United kingdom) are certain quality standard establishing organizations
and methods. But As a normal the following should be followed:
The quality of communication while gathering requirement should be excellent and
outstanding. Sometimes users are just looking for functionality in system and they are not
even able to say that what exactly will be their dream functionality which will be most
convenient to them. In that case BA should explore them and figure out the exactly demanded
requirements.
18. How is requirement analysis done by business analyst?

Requirement session is usually done through JAD session. Business Folks and Major
sponsors are always there along with some technical folks. Business analyst then goes
through each requirement and asks for the feedback. If Business Sponsors and Technical
Folks think that all the requirements are according to the business and wont be a barrier to
existing system. They get the official signoff on Business Requirement document. IT
manager and Business manager both do the sign off on that business requirement document.
19. Does the business analyst interact with clients directly? If so state the reason for
the same?
It depends on the project to project it is not always the same that we do interact with the
clients directly, some time there will be a team whom might be interacting with the client and
gives you the requirement and if have questions either we do talk with that team or our
manager.
20. Mention the difference between business process improvement and business
process reengineering?
Business process improvement implies changing a step sub step or any part of the process i.e.
process is not completely changed In BPR we actually study the business and find out what is
the best way I can carry out the process and change the whole way the process runs(business
process redesign)
21. What is UML?
The Unified Modeling Language (UML) is a standard language for specifying, visualizing,
constructing, and documenting the artifacts of software systems, as well as for business
modeling and other non-software systems. The UML represents a collection of best
engineering practices that have proven successful in the modeling of large and complex
systems
22. How is business plan evaluated?
A business plan is evaluated by checking the contents of the plan such as if the plan have
based on the resource planning and envisioning phase of the project.
23. What are the problems Business Analyst could face during gathering Business
requirements
The availability of the people (e.g. managers, supervisors and the end users) the BA wants to
talk with for gathering business requirements. These people have regular daily works to do
and their time to spend in the gathering sometimes hard to schedule and for this reason
gathering business requirements is delay.
24. What can a Business Analyst do differently than project or program manager
(Design Architect) with respect to successfully getting the project
implementation done?
Business Analyst role is not entirely different than Project manager role but Project Manager
is bigger role than business Analyst.
Project manager is responsible for all the deliverables like
- schedules/ timelines
- resources management
- risk management
- Daily/weekly status report to project stack holders etc.
where as business analyst sometimes report to project manager or may report to business
manager.
Business Analyst deals with business users to gather requirements prepare RD, FD and
coordinate with development team for development and then do the testing involve with users
in testing get the sign off and move component to live environment.
I hope this clarify the roles of PM & BA.
25. Where would you document Functional and Non Functional Requirements (i.e.
deliverable)?
Functional Requirements are documented in the SRS document / Use Case Document. Non
Functional requirements are listed in the SRS document.
26. How do you identify the basic flow? What would you do if someone was
struggling to determine the basic flow for a use case?
Basic flow for use case can be identified from Business Requirement Documents or
Functional Requirement Documents as these use cases are prepared on the basis of these
requirement.
27. What is the relationship between use case and test case?
A use case is written from a "user" perspective describing the interaction of a piece of
software between the user and the software. These are written in common language typically
from the business or user point of view and in enough detail for the developer to create a
piece of software. Typically written in a MS Word type tool. Use cases capture the
functional requirements of the system. It describes the expected interaction the user will
experience, in detail. The audience is the business, for signoff, and technology for
development.
A Test Case is written using the use cases for a source. It takes a use case to a deeper level so
that software testers can exercise every possible scenario that could occur, negative and
positive scenarios. One Use Case can turn into 10 test cases. 10 test cases make up a test
script. Typically Test Cases will be written in a testing tool like Test Director, but also can
be written in MS Word. The audience is QA testers.
28. What would you do if the client says that you and the other analysts cannot
directly talk to the users?
If this happens then explain the purpose of your talk (e.g. capture requirements) and why its
important to talk to users directly (e.g. the quality of requirements will be better if they come
directly from the users mouth). Explain them that it will be a high risk to the project if
analyst can't talk to the users directly. Client can give access to indirect (surrogate) users but
explain that the quality of requirements will be not good. Hopefully your client will agree by
now otherwise flag it as a higher risk in Business Requirement Document and highlight
during your meeting with your PM and Project Sponsors. Now, its your PM or project
sponsors duty to provide you access to those direct users. If they can't than you are safe
anyways.
29. We are going to a client on Monday to help them with their requirements. We
have just received a business case from the client, and they have no tools in place.
What would we do the first week?
First week in this case is always advisable to do a due diligence of the amount of work,
expectations, existing process, time lines with the constraints surrounding. One of major
constraints in this case would include lack of tools.
Depending on the project timelines, complexity and volume of the project present your
recommendations for tools to be used and the estimated budget allocation required.
Document the comparison of productivity and flexibility with and without tools used.
This should help the project sponsors to take a call on going for tools
30. Version control and configuration management are terms used widely in the
business industry, write short notes about the terms.
By definition, version control is essentially a subset of configuration management. It is
usually concerned with the handling changes arising in previous documents as opposed to
configuration management which essentially handles the individual components.
31. Good documentation management systems are highly recommended in system

development; briefly describe the factors that contribute to a good
documentation management system.
32. State the different software methodologies.

The term software methodology, software development methodology and software process
mean almost the same thing in computer software or system development, i.e. the activities
carried out by computer system engineers or computer software engineers in an attempt to
procure particular computer software that servers a certain function or purpose. This includes
the framework adopted, structure, plan as well as the control of the resources engaged in the
software or system development process.
There are so many software methodologies and the choice as to which one to adopt is usually
dependant on so many other factors such as the purpose of the given software, the prevailing
conditions regarding the software development environment and the will of the company or
the client procuring or intending to use the final software as some clients even look into the
software or system engineers methodology to as one of the factors determining whether to
contract him or not.
Regarding the purpose of the software, lets look at the following, example is a situation of a
safety critical system such as an aircraft navigation system and a business system, one would
find that in a business system, one can have its prototype done and users start using it as they
identify its weaknesses and tell the engineers to rectify whereas in an aircraft navigation
system, no weakness would be allowed at all for it can cause huge loss of property and life
thus all the possible identifiable weaknesses are eliminated first before that system comes
into operation. Much stories and arguments apart, the following are the available software
methodologies:
SLDC- Software Development Life Cycle: also understood as System Development Life
Cycle which encompasses activities such as Analysis, Design, Implementation, Testing,
Inauguration and Maintenance in that order and then back to Analysis, note that it is a cycle
hence once we get to the last stage, i.e. the maintenance we still go back to the analysis stage
and move along to the maintenance once more iteratively
The RUP The Rational Unified Process: which when looked into intuitively is an
iterative software development process framework that was created by the Rational Software
Corporation in the US which is a division of the IBM (International Business Machine).
However, this process is usually not considered as a single prescriptive framework yet as an
adaptable process which can be tailored by the development team or organization selectively
in order to end up with their respective results depending on the needs prevailing either on the
clients side, the industry standards or even the development constraints which involve time,
scope as well as the budget, Intuitively, this process has characteristics overlapping with
other development processes and methodology as will be seen when considering the other
methodologies below.
The iterative process: The basic idea behind this method is

to develop a system through repeated cycles (lterative) and in
smaller portions at a time (incremental), allowing software
developers to take advantage of what was learned during
development of earlier parts or versions of the system.
Learning comes from both the development and use of the
system, where possible key steps in the process start with a
simple implementation of a subset of the software requirements
and iteratively enhance the evolving versions until the full system is implemented. At
each iteration, design modifications are made and new functional capabilities are added.
The waterfall model:
The Agile:
The XP (Extreme programming):

33. Describe the abbreviation OOAD as used in Object Oriented Programming.
34. Describe the meaning of the term data mapping.
35. Describe the term black box testing.

36. Give the importance of using a flowchart.
37. Briefly explain the use case model.
38. What do you understand by the term UML?
39. Describe the importance of an activity diagram.
40. How many types of diagrams do you know and what do you know about them?
41. Describe your understanding regarding the so called alternate flow in use case.
42. Describe your understanding regarding the exception flow in use case.
43. Describe the meaning of the following words as used in the use case scenario:
Extends
Includes
44. What are the documents related to the use case?

45. Describe your understanding regarding logical data model.
46. Describe your understanding regarding high level and low level use cases.
47. Describe your understanding regarding the SDD.
48. Describe your understanding regarding the following terms
URS
FS
49. How is use case prepared?

50. Describe how you would participate in testing as a BA (Business Analyst).
51. Describe the main qualities of a good requirement.
52. What is the meaning of the word UML?
53. Describe the diagrams which should be known by the Business Analyst (BA).
54. Explain where you would use the rational rose and the requisite pro.
55. What is mean by logical data model?
56. What do u mean by high level & low level use case?
57. What do you know about SDD ?

58. What do understand by URS & FS ?
59. How do you prepare use cases?
60. How do you participate in testing as a BA?
61. What is the main quality of a good requirement?
62. What do u understand by UML ?
63. What are different diagrams to be known by a BA?
64. Where did u use rational rose & requisite pro ?
65. What do understand by version control & configuration management ?
66. What is meant by good documentation management system ?
67. What are different software methodologies.?
68. What is OOAD ?
69. What is UAT ?
70. What do u mean by Data mapping ?
71. What is black box testing?
72. What do u mean by white box testing?
73. What is bug?
74. How do u measure the quality of a product?
75. What is RAD ?
76. What is ETL ?
77. Types of testing?
78. Roles of a Business Analyst
79. What is Business Analysis?
Business Analysis, in summary, is the art of managing the requirements and the business
needs and synchronizing them in line with the strategic objectives of the organization. In
order to implement this management methodology, one needs to understand that Business
Analysis forms the base of the successful implementation of any business process or
software management event in an organization.
80. What is a Sequence Diagram
81. What is a Class Diagram
82. What is RUP (rational unified process)?
83. What is UML?
84. What is Class diagram
85. Business Analyst Roles and responsibilities
86. What is RUP (Rational Unified Modelling) ? with examples

What is JAD session
JAD session:
1
2
It brings together business area people (users) and IT (Information Technology)

professionals in a highly focused workshop.
JAD participants typically include:
o Facilitator facilitates discussions, enforces rules
o End users 3 to 5, attend all sessions
o Developers 2 or 3, question for clarity
o Tie Breaker senior manager. Breaks end user ties, usually doesnt attend
o Observers 2 or 3, do not speak
o Subject Matter Experts limited number for understanding business &
technology
Advantages:
o Shortening of the time.
o Improves the quality of the final product by focusing on the up-front portion of
the development lifecycle.
o Reducing the likelihood of errors that are expensive to correct later on.
87. What is GAP analysis

88. UAT (User Acceptance Testing):
89. Daily job duties of a business analyst:
90. What is a Communication Diagram?
91. Describe the basic classification of requirements as defined by the BABOK (v2.0).
92. What are the advantages and disadvantages of using screen mockups in the
requirements gathering process of a system solution?
93. What is a Context Diagram and what are the benefits of creating one?
94. When performing Cost-Benefit Analysis using discounted cash flows, how do you
select and appropriate discount rate?
95. What are the contents that go into the object model and domain model during
GAP analysis. how are the AS-IS and To-BE system documentation prepared
96. How do you follow business rules in a project while working on a project?
97. What is the difference between high-level and low-level use case? How business
analysts can performs that job?
98. What roles business analysts play during change management?
99. How would you assess your value as a BA?
100.
How would you influence people when you do not have decision making
authority?
Few business analysts have the final authority to make critical decisions on projects. Thats
why its so important for business analysts to polish their influencing skills.
The process used to influence people can be a formal, well thought out presentation, or it can
be an informal conversation. Either way, it never hurts to think through a standard
framework by which to structure your thoughts before attempting to influence someone. The
following is a concise 5-step framework that can be used for both formal and informal
communications that involve influencing another person or audience.
Define the What, Why, and Who

Prepare your case
Deliver your message
Obtain a commitment
Agree to a specific action plan
These 5 steps provide a framework to structure and plan your communication to maximize
your influence over a person or audience, but its the details of each step that will determine
how influential you will be.
1. Define the What, Why, and Who.
Its important for you to have a well define and thoroughly understood objective. What is
your goal or objective? Why are you championing your particular position? Who do you
need to influence? Answering these questions will focus your case.
2. Prepare your case.
Notice that I didnt say prepare your argument. Influencing is very different from coercion
or even selling. While there may be some selling involved, it should be a soft sell of the
benefits that you are espousing.
Consider how you can customize your case for the person or audience. What does the person
or audience value? What do you have to offer the person or audience? Do you have specific
technical knowledge? Do you have a strong network which could benefit the person or
audience?
For more formal communications, while you are preparing your case you should outline a
number of potential options for the action plan that might be used if you get the person or
audience to commit.
3. Deliver your message.
When delivering your message be direct in your thoughts and language. You want to come
across as respectful and open to the feedback of the audience, but do so without obscuring the
point of your message. Dont hint at what you want, but also dont demand.
Use powerful questions to engage your audience. Open-ended questions that lead the
audience to realize the advantages of your case work best.
4. Obtain a commitment.
Whenever possible, it is best to obtain a commitment immediately following the delivery of
the message while the benefits of your case are still fresh in the audiences mind. Steer the
conversation to help your audience arrive at the stage where they are comfortable committing.
5. Agree to a specific action plan.
Even with a commitment, you are only truly successful once youve realized your
objective. Thats why agreeing to an action plan is so important.
Develop milestones for reaching the final objective

Identify resources and assign roles and responsibilities
Develop a method for tracking progress
To re-iterate, if you are planning a formal communication or presentation you will have a lot
more time to spend thinking through the details of this 5-step process. However, even for
brief communications within a short conference call, mentally thinking through these steps
for just a few second can help guide your conversation and increase your degree of influence
with your audience.
101.
What is meant by Agile? Describe:
102.
What is SCRUM Method?
103.
Please describe the similarities and differences between UML and Object
Diagram

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1. What is Business Analysis and Who is Business Analyst?

As per IIBA, Business Analysis is the practice of enabling change in an organizational

3. How would you transform business requirements to functional requirements?

Sales order is made against

Sales order shall be made with

Sales order should be in proper

-initiation diagrams including business use cases, activity diagrams,

6. Mention some of the tools commonly used by business analyst?

Equivalence class a mathematical concept is a subset of given set induced by an equivalence

8. What are the problems solved by business analysis?

10. Who uses the output produced by business analyst?

18. How is requirement analysis done by business analyst?

31. Good documentation management systems are highly recommended in system

32. State the different software methodologies.

The iterative process: The basic idea behind this method is

The XP (Extreme programming):

35. Describe the term black box testing.

44. What are the documents related to the use case?

49. How is use case prepared?

57. What do you know about SDD ?

86. What is RUP (Rational Unified Modelling) ? with examples

It brings together business area people (users) and IT (Information Technology)

87. What is GAP analysis

Define the What, Why, and Who

Develop milestones for reaching the final objective

What is meant by Agile? Describe:

What is SCRUM Method?

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