Business Analysis is a set of functions that helps you analyze, examine data, and figure out the most effective plan or priority for your company to attain your desired business goals. And for effective business analysis, there are different analytical tools that can be employed.
Business analytical tools are all about helping you understand trends, identifying problem areas and opportunities, and deriving insights from your data so that you can make tactical and strategic business decisions. These will help you understand the business structure and policies.
You can use one or more analytical tools depending on the nature of the business and problem. Analysts often use SWOT, PEST, MOST, Microsoft Power Bl, and Heptalysis before applying changes in the business. Some other tools are de Bono’s Six Thinking Hats, Five Whys, CATWOE, SCRS, MoSCoW, and VPEC-T.
Here are the top five Business Analytical Tools to understand your business:
1. SWOT analysis
In this analysis, there are four contributing elements that need to be examined to complete the analysis as they affect the performance of a company, namely internal factors – strengths and weaknesses, external factors – opportunities and threats.
Focusing on the strengths, identifying where the best opportunities are, spotting danger, and improving weaknesses, SWOT analysis helps the business to flourish.
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2. PEST analysis
This is a framework you can use to analyze the external factors that directly or indirectly have an impact on the business.
PEST, standing for Political, Economic, Sociological, and Technological, is a method used to analyze the effect of outside activities on the performance of any business.
3. MOST analysis
The name MOST stands for mission, objectives, strategies, and tactics. You can rely on MOST analysis for your business which might be looking for performing internal analysis.
The business needs to figure out where they want to drive their business to, what goals do they have to obtain the desired mission, what is the detailed plan, and how to perform this plan smoothly. MOST analysis helps to ensure that your business is on the right pattern.
4. Microsoft Power Bl
Power BI is a business analytical tool by Microsoft that aims to provide self-service data ingestion, processing, interactive visualizations, and business intelligence capabilities with a simple interface for end-users to create their own immersive reports and interactive dashboards.
Microsoft Power BI is a suite of products tailored to various business needs. Products are Power BI Desktop, Power BI Pro, Power BI Premium, Power BI Mobile, Power BI Report Server, Power BI Report Builder, and Power BI Embedded.
5. Heptalysis
This tool studies the important detailed factors of a business venture at the early stage of the assessment procedure.
This analysis is done by analyzing 7 different fundamental categories which are; market opportunity, product or solution, execution plan, financial engine, human capital, potential return, and margin of safety.
Conclusion
There are a lot of different tools available for your business while you want to conduct a business analysis. Because every analytical tool comes with a particular objective depending on the goal of your business and current status.
Once you select the best method for your business, it will be much easier in the long run while making any decisions or generating any strategic marketing plan.
So think carefully and choose the most effective analytical tool for your business.
