What is Business Analytics?
Business analytics (BA) is the method of iterative, methodical exploration of an organization’s data, stressing more importance on statistical analysis. Business analytics is required by companies who are committed to data-driven decision-making strategy for their day to day operations.
The concept of business analytics is usually followed to gain insights which inform business decisions. This can be used to automate and optimize business processes. Data-driven companies treat their data as a corporate asset and leverage it for a competitive advantage. Successful business analytics depends on data quality, skilled analysts who understand the technologies and the business, and an organizational commitment to data-driven decision-making.
Skills Required to be a Business Analyst
Analytical Skills: To be a Business Analyst, you need to be good with analytical tools. This is important to efficiently design and implement the process of forecasting and gap analysis in an organization.
Computer Skills: As a business analyst in this era of technological advancement, you should be able to work on different data-oriented software. Also, you should know Microsoft Office Suite, Visio, SharePoint, and Software Design Tools. You should stay updated with the latest developments in IT and tech sectors.
Problem-Solving Skills: To be a business analyst, you have to understand the problems of business and come up with strategies that would resolve those particular issues.
Critical Thinking Skills: While working on a project, you must evaluate several choices before leading your team towards a solution. You need to thoroughly review data, the workflow, and user input surveys. There might be examining questions until each issue is evaluated in its totality to know the best resolution.
Interpersonal and Communication Skills: Interpersonal and Communication skills help you and your team to work together and provide quality service in an organization. Such skills include giving presentations, resolving conflict, facilitating meetings, along with having the ability to negotiate, and influence others.
Reasons to Pursue an MS in Business Analytics
The concept of business analytics is implemented in most of the world’s major companies and notably with start-ups, where business owners are keen to exploit any data-driven advantages.This will also help them to compete with other businesses in the mass market.
Due to the increasing interest in business analytics in the tech sector, more business schools have begun to offer a master’s program in business analytics. This rise has mainly been driven by American universities and schools, which clearly explains why the majority of schools in the QS Business Analytics Rankings are from the US.
Over 1 billion people use Facebook every day, trillions of photos are being taken, and billions are shared. By the year 2020, it is estimated that there will be over 6.1 billion smartphone users. Also, 1/3rd of all data will be transmitted through the cloud platform. Apart from these, there is a lot of data involving online banking, business, movies, television, music, and games.
Companies collect all these data but lack professionals who can use these data effectively. It is essential to capture, analyze, and generate meaningful business insights from the data gathered. Once businesses have a plan for collecting all the desired data, organizing the data, and analyzing it, they are in a position to develop strategies to have a competitive edge in the market. Some of the popular reasons for which people pursue a masters program in business analytics are as follows-
High in Demand: While Masters in Business Analytics is more or less comparatively new, it’s regarded as quite popular among the world’s major MNCs. The companies not having their in-house Business Analyst need to outsource and take the services of Business Analytics companies. It is due to the rise in interest in Business Analytics in the IT sector that various Business Schools have started to offer Masters in Business Analytics.
Short Duration: Master in Business analytics is 12 to 14 month (Full Time) long program. It is regarded as one of the shortest masters programs for an in-demand job.
Higher Salary: Usually, the pay scale for candidates who have Masters in Business Analytics is quite large. The average salary is approximately around $80,000. In the US, the employment rate for Masters in Business Analytics graduates is about 69.4%.
Various Job Profiles: Even if you hold a degree in Masters in Business Analytics, it doesn’t necessarily mean that you have to be a Business Analyst. There are different job profiles, such as Financial Analyst, Statistician, Market Research analysts, and others. So, you are free to explore according to your wish! Graduates having a masters in Business Analytics work at large companies, or start their businesses, work in banks or FinTech, go for web-based companies, retail and food companies, media companies, and marketing companies.
Higher Growth: According to surveys and studies by the US Bureau of Labour Statistics, jobs as a Business Analyst are estimated to increase by 20% by 2020. To sum up, the job opportunities for Business Analysts are already growing and will continue to prosper over the years.
Is MS in Business Analytics a STEM course?
STEM is a curriculum which is based on the idea of educating students in four specific disciplines. This includes science, technology, engineering, and mathematics. This is in an interdisciplinary and applied approach.
Business Analytics is generally part of the School of Business at a University. So it is a Business Career. However, a great deal of the curriculum is math and technology, so it is also regarded as a STEM area. MSBA has been recognized as a STEM course by the majority of the universities across the world.
The following is a part of the business analytics course curriculum:
1) Probability, calculus and matrix algebra refreshers (M)
2) Optimization and graph theory (M)
3) Regression (M)
4) Linear programming (M)
5) Programming (T)
6) Data warehousing (T)
These then give rise to capabilities:
1) Machine learning and predictive analytics(T + M)
2) Data visualization (E + M)
3) Statistical modeling (M)
4) Ongoing model maintenance and testing (S + M)
What are the requirements that students must meet to pursue their MS in Business Analytics?
Work experience is not necessary to pursue an MSBA program. The programs are usually structured to cater to people from all backgrounds and all levels of work experience, unlike an MBA program where work experience is a must.
The admission eligibility for this particular program differs according to the requirement of different universities across the world. The required eligibility criteria by the top universities are mentioned below:
- A four-year bachelor’s degree completed from a recognized educational institute. Candidates are required to have educational qualification of 16 years and must have completed their undergraduate program.
- Candidates with 3-year undergraduate degrees will be regarded for admission based on a complete review of their profile.
- An undergraduate GPA of 3.0 is required for either all four years or for the period of the last two years.
- GMAT or GRE scores: The score criteria for these tests usually vary for each university. Target a good rating as it will increase your chance to get admission to a top university.
- English Proficiency documents: TOEFL and IELTS score generally differ according to universities. But a good score will inevitably boost your profile.
- Knowledge of calculus is also asked for in some of the universities. A candidate who has not completed their undergraduate calculus course may fulfill the requirement by completing Quantitative Foundations in Business.
- For some colleges, students opting for the Master of Science in Business Analytics degree program are required to achieve one semester credit hour of Professional Development course or some other equivalent.
- Working knowledge of computers, including word processing, networking, spreadsheets, and database management systems.
- Also, knowledge of programming languages such as C, C++, Python, Java, and HTML, as well as experience in using statistical software packages are required.
- General knowledge of data science/business analytics as a career and field.
Apart from these to send the application at the respective school, you also need:
Letter of recommendation: Two letters of recommendation are required from previous faculty members or knowledgeable employers who can support your candidature for the program. The proposals should provide proof of your academic potential and demonstrated abilities as a potential graduate student.
Statement of Purpose: The statement of purpose should speak about why you are interested in pursuing a masters program in Business Analytics program. It will also talk about your background, academic details projects that will talk about your success in the program. Also, career goals and how the program will assist in attaining your objectives is a must add to your SOP.
Resume: You also need to submit a current resume in reverse chronological order of your work (if any), education, and other relevant experience.
Upon admission to the program, you need to send original or attested copies of all transcripts, diplomas, mark sheets, and certificates directly to the program office in an official, sealed envelope. Also, where the original documents are not issued in English, an official English translation of each certificate must be provided.
Studying Business Analytics
Which country is best for Business Analytics?
The USA is considered as the best country to study business analytics. Ranking first in the world for its Master of Business Analytics degree program, Massachusetts Institute of Technology (MIT) is well known for employability, alumni network, and leadership.
Sloan’s Master of Business Analytics degree prepares students to interpret and use data science to solve business challenges. It also offers them the skill set needed for a career in a varied range of industries like management, financial services, consulting, technology, and healthcare. During the course, students need to take part in an Analytics Capstone Project, where they’ll work on real-life data science problems along with industry specialists.
Which colleges offer some of the best business analytics programs?
The top ten universities offering a masters program in business analytics are follows:
- MIT Sloan School of Management – Master of Business Analytics
- Imperial College Business School – MSc Business Analytics
- The University of Texas at Austin McCombs School of Business – Master of Science in Business Analytics
- ESSEC/CentraleSupélec – MSc in Data Sciences & Business Analytics
- ESADE – MSc in Business Analytics
- USC Marshall School of Business – Master of Science in Business Analytics
- Alliance Manchester Business School – MSc Business Analytics
- Warwick Business School – MSc Business Analytics
- Warwick Business School – MSc Business Analytics
- University of Edinburgh Business School – MSc in Business Analytics
- University of Minnesota Carlson School of Management – Master of Science in Business Analytics
Cost of MS Programs in Business Analytics
The approximate cost for the MS program in business analytics are as follows:
Canada- 50, 000 Euro/year
UK- 30, 000 Euro/year
USA- 56415. Euro/year
Germany – 20,000 Euro/year
Australia- 30, 000 Euro/year
What are the subjects in business analytics?
The Master in Business Analytics curriculum is an ideal combination of business knowledge and analytical training. The rigorous and fast-paced program comprises of fundamental business courses, along with advanced classes in analytics methods, technical skills courses, and problem-solving. It is a 12 or 14 months program depending on the different university.
Master in Business Analytics Curriculum:
- Analytics for Competitive Advantage
- Financial Accounting
- Introduction to Statistics for Data Scientists
- Programming for Data Science
- Marketing Management
- Big Data Analytics
- Building and Managing Teams
- Data Management, Databases, and Data Warehousing
- Exploratory Data Analytics and Visualization
- Predictive Analytics
- Data-Driven Experimentation and Measurement
- Advanced Issues in Business Analytics
- Modeling and Heuristics for Decision Making and Support
- Experiential Learning
- Project Management of Analytics Projects
Masters in Business Analytics is a beneficial program for students who are interested in business research and data analysis. This gives you the right platform where you can explore both of these concepts. The demand for this particular program is continually increasing, owing to its growth and a lucrative salary. It has become the most in-demand program amongst the youth these days. USA, UK, and Australia are some of the best countries to study this program.
What is the average salary for a business analyst?
In the United States, the average business analyst salary is $94,881. The median expected annual salary is $71,865 for an Intermediate Level Business Systems Analyst.
According to the US Bureau of Labor Statistics, it is estimated that in the next ten years, about 96,500 new Management Analyst jobs will be created, which is on an average of 12% of growth in the industry. The average starting salary is about the US $81,330.
What is the role of a business analyst?
A business analyst (BA) is an individual who analyzes an organization or business domain and records its business or processes or systems, after assessing the business model or its integration with technology.
The role of a business analyst can also be defined as a connection between business problems and technology solutions. The business problems can be anything like business systems, for example, a model, process, or a method. Technology solutions can also be the use of technology architecture, tools, or software applications.
Business analysts are required to analyze, transform, and ultimately resolve the business problems with the help of technology. Skilled business analysts also use requirements to drive the design or review of test cases, process change requests, and manage a project’s scope, acceptance, installation, and deployment.
- Figure out the operational objectives of an organization by analyzing business functions, collecting information and then evaluating output requirements and formats
- Prepare workflow charts and diagrams after studying system capabilities and writing specifications as and when required
- Improve systems by examining current practices along with devising modifications
- Recommend controls by recognizing problems and then write improved processes
- Define project requirements by classifying project milestones, different phases, and elements, then forming a project team along with establishing a project budget
- Supervise project progress by tracking activity, resolving issues, publishing progress reports and then recommending the right actions
- Maintain user confidence and protect operations by storing all the confidential information
- Prepare technical reports by collecting, analyzing and summing up all the required information and latest trends
- Validate resource requirements and develop cost estimate models
- Conduct and organize financial, product, market, operational and related research to establish strategic and business planning within the various departments in an organization
- Interpret and evaluate research data and develop an integrated business analysis for incorporation into strategic decision-making
- Plan and regulate the development of primary and secondary market research studies to support strategic planning and specific marketing initiatives.
- Perform daily, weekly and monthly reviews and analyze current processes with the help of operational metrics and reports
- Understand and then communicate the financial and operational impact of any the change in an organization
- Create informative, actionable and repeatable reporting that highlights relevant business trends and opportunities for improvement
What are the kinds of jobs I can get after an MS degree in Business Analytics?
Some of the typical job profiles after an MS degree in business analyst are as follows:
A business analyst is an interdisciplinary expert skilled in computer science and statistics. They mine and analyze data to get valuable business insights based on the data collected. Business analysts are primarily interested in strategic planning, evaluating business models, optimizing workflows, and systems analysis.
Operations Research Analyst
An operations research analyst makes use of concepts like data mining, modeling, and statistical analysis, and optimization to help organizations function more efficiently and economically. They look for ways to cut down the waste, streamline operations processes, and also optimize sourcing models.
A quantitative analyst usually works in finance to evaluate risk and generate profits through trading strategies. They design and make use of mathematical models which allow financial firms to price and trade securities. The required skills along with an aptitude for mathematical finance, stochastic calculus, probability, statistics, and machine learning are foundations of a career as a quantitative analyst.
Market Research Analyst
Market research analysts usually study market conditions to understand the potential of a new product or service or to optimize its impact/revenue. These experts research and forecast market trends, measure the success rate of marketing programs and perform a detailed analysis to figure out target markets. They also help to identify a company’s position in the market place by completing meticulous competitive analysis of the same.