Gap analysis by Business analyst
Gap analysis refers comparing the present state of the product, process, application, business or organization to the future desired state and identifying what needs to be done to bridge the gap between the present and the future state. Here in this article, I want to give detail about gap analysis and need for the analysis.
A thorough gap analysis of any process gives quantifiable data and realistic overview of what is actually needed to achieve the envisaged state. Based on this data the management of the company can
Convince all the relevant stakeholders about the scope of the work.
Prioritize the features they wish to get implemented.
Ensures that the future state meets strategic objectives and vision of the company.
Gap analysis also known as need analysis, and it is to be analyzed. Gap analysis can be performed either at the macro level or at the micro level as well. An individual who wants to upgrade her current technical skill set and department who wish would increase their monthly productivity. A company looking to enter a new field of specialization.
Other reason for gap analysis can be the following reasons:
1.Merger
2.Random
3.Process Improvisation
4.Product profile change
5.Market condition change
6.A strategic change
A successful gap analysis, the first step is to precisely define the goal, its features, characteristics and the tangible benefit of achieving the desired state
The goal should be SMART i.e., Specific, Measurable, Attainable, Relevant and Time bounded
And the second step is to identify the current state of affairs around the outlined goals. We can use the existing documentation, reviews, current metrics, historical data to gather the documents
The last step is finding the gap between the current state and the future state, and all the factors that contribute the gap should be listed too
There are some most frequently used tools that assist and conducting through gap analysis:
1.SWOT Analysis
2.Spreadsheets
3.5 Hows /Questionnaire
4.Fishbone Analysis
5.McKinsey 7s
Generally, gap analysis results in preliminary action items required to bridge the current and desired state gap and get the analysis rolling. However, analysis never substitute for more detailed analysis that they should carry out once the respective project has started
Analysts should perform gap analysis at the preliminary stages of any change related project
While obtaining information about the elements involved in gap analysis, always use more than one tool and then combine the results obtained. Such practice will ensure you are taking a holistic view of the scope of the change
All the data obtained around the change should be quantifiable so that it can be verified if needed. E.g., the effort of 500 person-hour, the implementation cost of $65,000 rather than “huge effort” and a “lots of money”
While collecting information, the concentration should be on the process, workflows, information and interdependencies rather than individuals. E.g. We need to implement a process that evaluates the product after every stage rather than we need to remove inefficient people.
Lost but most important, the end goal/future state and the respective scope of change has to be carefully defined as any mistake in doing so might turn the analysis into an altogether different direction.