Integrating Business Analysis Core Concepts into Your Small Business
As a seasoned small business owner and now professional business analyst, I want to share the relevance and benefits of how the Business Analysis Core Concept Model (BACCM) as it is outlined in the Industry Standard – Business Analysis Body of Knowledge (BABOK® v3 Guide), can add important value to the growth and future of small businesses.
The core concept model is the foundational framework through which Business Analysts understand a business analysis opportunity irrespective of industry, perspective or methodology. It comprises what Business Analysis is and provides a common understanding to those who carry out Business Analysis work. It can be used to describe Business Analysis and more importantly define the relationships between the underlying concepts that are central to the profession.
The 6 core concepts in the BACCM
In reference to the BABOK® v3 Guide, the Core Concept model consists of six (6) key concepts defined as follows:
- Need: A need is a problem or opportunity to be addressed. The need must always be expressed with no references to a solution i.e., it should be solution agnostic
- Solution: A solution is a specific way of satisfying a need within a context.
- Change: Change is defined as the act of transformation in response to a need. The changes needed here are controlled and intentional through business analysis activity
- Stakeholders: Stakeholders are a group or an individual with a relationship to the change, the need or the solution. They are defined based on their impact, influence and interest over the change
- Value: The worth, importance or usefulness of something to a stakeholder within a context is defined as Value. Value can be seen as potential or realized returns, gains or improvements. Value can also be tangible or intangible.
- Context: Context refers to the circumstances that influence, are influenced by and provide understanding of the change. Changes occur within a context whether behaviors, environment, economy, weather, competition, whatever the case
These 6 core concepts form the foundation of Business Analysis and can therefore benefit small businesses in their strategic direction and growth activities.
The BACCM framework and Small Business
Small businesses are usually defined using different metrics. Sometimes, turnover is the defining metric, for others it includes the size of the workforce and/or size of premises. This article will serve any small business irrespective of how you are defined, as long as your business does not have a full-time business analyst appointed.
Having ran a small business for 14 years, I appreciate this Core Concept Model as a valuable tool that has a significant bearing on the decisions that impact change, growth and/or effectiveness of a small business. Simple questions around each one of these concepts can help you focus your efforts in a very clear and holistic way because it is largely an introspective tool. Below are three (3) ways the BACCM framework will help your small business:
#1 – Product Development
The BACCM is a great concept that allows you as a small business to think through the product selection process and it also ensures that you keep in step and focus throughout the product development process. It helps you answer the questions like: Which product should this business develop? What is the value expected? Who are the key stakeholders in the development and implementation? etc The framework can be used when dealing with both new products and existing products that are undergoing improvements.
#2 – Strategy Development and Implementation
When developing strategy, it is imperative to define your current state and then also define what you desired future state looks like. The BACCM framework will in a lot of ways give you as a small business a parallel guidepost to ensure that your strategic plan is truly in step with where you are and where you need to go in a holistic and balanced way.
#3 – Tactical Executions
These types of executions need to be beneficial to the organization and the one key way that you will ensure that you do not waste your time and resources is if you have a framework to guide your actions i.e. the BACCM conceptual framework. Call it a filter if you will, but it will help you in clarifying what you need to understand and check-off before you pull-off your urgent tactical executions.
In appreciating the fact that small businesses may not have elaborate business analysis resources and departments, they can still benefit from the BACCM framework and apply it in the various areas of their business activities as shared above. The BACCM framework will empower you as a business owner to clarify the change you desire in your organization, and the value you hope to generate by focusing on the other key elements that are drivers for that change and how they all relate to each other.
If you aspire to learn more about Business Analysis and related concepts, you can enrol in an introductory course here: Business Analysis Practitioner Course
Please feel free to share with me other ways you think the BACCM model can be of assistance to you in your business on email@example.com