35+ Business Analyst Interview Questions

Business intelligence is simply a phrase for a tool that aids a user in making decisions about how to manage a business or crucial business-related issues.

The administration of any organization for the expansion of a user’s business is made easier.

With the aid of the pertinent reports and data of any organization, BI assists the user in making the choice that results in growth in their firm, which is crucial.

So you want to work in business intelligence and have a desire or aim to do so, but you’re not sure how to pass the business intelligence interview or what the likely questions will be.

Every interview is unique, and every job has a unique set of requirements. In order to assist you to succeed in your interview, we have created a list of the most often asked questions and their respective answers.

You can quickly and simply answer these business intelligence interview questions.

1. How do you define business intelligence?

Business intelligence can be defined as a synthesis of Data Analytics and the processes of data gathering, storage, and administration.

It seeks to analyze and transform raw data and information into actionable and useful insights.

These insights have a favorable influence on the organization’s many types of business decisions. In the simplest terms, a Business Intelligence definition would refer to an umbrella that encompasses data tools, data visualization, data mining, infrastructure, data analytics, and so on, in order to provide simple and understandable summaries that can assist organizations in making data-driven decisions.

2. What distinguishes a business analyst from a data analyst?

Data Analyst:

• More problem-solving and data analysis abilities are needed for the position.
• In the organization, it plays a larger operational function.
• Data mining, SQL, statistics, and other skills are needed.

Business Analyst:

• Data visualization and decision-making abilities must be improved.
• In the organization, it serves a more strategic function.
• For this position, you must have knowledge in business intelligence, data warehousing, analytics, etc.

3. What are the most common Business Intelligence (BI) tools employed by Business Analysts?

• Tableau
• SAS
• Pentaho
• Business Things
• OBIEE
• QlikView
• Hyperion
• BI for Microsoft
• Cognos
• Dundas BI
• Google Analytics
• MicroStrategy

4. What does the business analytics universe consist of?

Between the database and user interface, there is a form of semantic layer called the universe. It is really one of the interface layers that connect the client (business user) with the data warehouse.

It defines a whole relationship between different tables in a data warehouse.

5. What professional strategies will you use to implement a BI system?

Take the raw data out of the company database. There can be several heterogeneous databases where the data is accessible.

The data is then cleansed in order to be placed in the data warehouse by joining the table and creating data cubes.

The last thing that business analysts can do is extract business insights from clean datasets utilizing BI systems, request ad-hoc reports, evaluate them, and forecast business choices.

6. What exactly is a feasibility study?

A BA should study and comprehend the needs and issues of a business or project before establishing a scope for the challenge.

A business problem’s suggested solution’s viability (probability of success) is determined through a feasibility study. It supports project focus and fresh opportunity identification.

7. Describe data warehousing.

Data warehousing can be considered as a system used as a repository to store, organize, and report data from several heterogeneous sources.

These data can basically be found in SQL Server, Excel sheets, Oracle databases, or Postgres databases. Business analysts can get all previous reports pertaining to that data by using the repository method, which Data Warehouse uses.

8. What exactly is OLAP?

Online Analytical Processing, or OLAP, is a technical term used to describe a technology used in many BI tools and applications. This facilitates the completion of difficult analytical computations.

Additionally, it analyzes trends, completes complex computations (summation, count, average, min, max), and applies advanced data modeling in a BI system. Additionally, the primary goal is to speed up the calculation of reports and decrease the time it takes for questions to be answered.

9. INVEST – What is it?

Independent, Negotiable, Valuable, Estimable, Appropriately Sized, and Testable is referred to as INVEST. Project managers and business analysts both use this phrase to refer to delivering high-quality services and goods.

10. Online Transaction Processing (OLTP) – what is it?

You can think of OLTP systems as a massive assemblage of insert, remove, and update tiny data transactions. These databases are functional and can handle a query quickly.

The consistency and integrity of data are also under its control. It also functions as a way to gauge how effective an OLTP system is by the number of transactions it processes each second.

11. Tables of Fact and Dimension: what are they?

A fact table in data warehousing is made up of the numerical values and dimension keys of a business process. Quantitative data used for analysis are presented in a fact table.

As opposed to fact tables, which are quantitative dictionary tables, dimension tables include details on the various ways the information in the fact table can be examined.

12. What are some of the characteristics of a Data Warehouse?

• Decision-makers utilize processed and analyzed data from a data warehouse to make tactical and strategic judgments.
• It is a distinct database that is kept apart from an operating database and is charged with the duty of storing information records.
• Company analysts can observe current business trends by analyzing data stored in the warehouse.
• Additionally, it is in charge of compiling historical data analysis.

13. What is the purpose of data normalization?

Data normalization is the technique of arranging and structuring data such that all records and fields have a consistent appearance. Data normalization has a lot of advantages.

The procedure, for instance, aids in maintaining referential integrity and the removal of duplicate data. Additionally, because they are already familiar with the way the business organizes its data, analysts can swiftly browse across various datasets.

14. What exactly are aggregates?

It is possible to think of aggregates as a type of data that can be found in the aggregate table. Different aggregate functions are applied to the calculation of these aggregates.

These comprise the maximum and minimum values as well as the average count and other values.

15. How many different types of SQL JOIN functions are there?

SQL joins are frequently a topic of discussion. The INNER JOIN, RIGHT JOIN, LEFT JOIN, and OUTER JOIN are some of the most crucial ones to be able to name.

16. Describe the pivot table.

One of the most popular methods for processing data is a pivot table. Large amounts of data are compiled in a two-dimensional table using this method.

The ability to swiftly alter the way data is shown is one of the main advantages of pivot tables, which can also speed up the process by which business intelligence analysts can extract meaningful information from enormous datasets.

17. Do you know about alternative methodologies like MoSCoW and SWOT?

MoSCoW is an acronym meaning “Must, Should, Could, Would.” In order to prioritize the framework requirements, a business analyst should put this strategy into practice by contrasting each demand with other demands.

For instance, is this criterion a must-have or a should-have?

The most popular method for allocating resources effectively in enterprises is the SWOT analysis, which stands for Strengths, Weaknesses, Opportunities, and Threats.

Any corporate framework’s strengths and weaknesses should be able to be identified by a business analyst, who can then transform those findings into opportunities and threats.

18. What are the functions of UML?

Unified Modeling Language, often known as UML, offers a uniform approach to conceptualizing the system and is a general-purpose, developmental modeling language.

To identify and get rid of faults and bottlenecks, it is used to justify how the system behaves.

19. Define ERP in business intelligence.

Enterprise Resource Planning, or ERP, is the official name. In the field of business intelligence, this is crucial. It is used to combine the data and processes of an organization into a single system, to put it another way.

The combination of hardware, software, and databases can also be seen as a mechanism to store data in a number of ways in line with organizational divisions and needs.

20. In terms of business intelligence, how would you describe SCM?

In a market with fierce competition, retail businesses already faced difficulties from rising product demand and limited pricing increases. Because of this, Supply Change Management (SCM), which is not exclusive to manufacturing firms, is the key to any successful manufacturing company’s success.

Business operations and strategies are defined using the SCM. However, working with SCM manufacturing firms helps them forge strong bonds with their clients, enabling them to provide on-time, high-quality deliveries at the appropriate cost.

Additionally, it supports consistency of performance.

21. Can you describe SRS and its main components?

System or software requirements specifications are referred to as SRS. It is a collection of documents outlining the characteristics of a piece of software or a system.

It contains a variety of components that the consumers and stakeholders need in order to persuade the end users.

An SRS’s main components are:

• Scope of Work
• Dependencies
• Assumptions and Constraints
• Acceptance Criteria
• Data Model
• Non- functional and functional requirements

22. Describe BRD. What distinguishes it from SRS?

Business Requirement Document is referred to as BRD. It is an official agreement between the company and the client for the creation of a particular product.

SRS is a descendant of BRD.

BRD is a functional software specification, but SRS is something that both BAs write after having direct client contact.

In contrast to SRS, which is produced based on technical skills and requirements, BRD is developed by a business analyst following their direct connection with the clients.

23. Explain the concept of e-commerce in terms of business intelligence.

The term “e-commerce” refers to the activity of purchasing and reselling goods and services using electronic channels, such as the Internet. A combination of the online transaction process, supply chain management system, inventory management system, EDI system, online banking system, and data collecting systems make up the e-commerce system. The World Wide Web serves as the primary e-commerce channel (www). The Business Intelligence used in e-commerce websites, however, aids in boosting sales. This can give all the information about a product’s availability in a single location, a user-friendly interface, a flexible payment method, alluring vendor programs, etc.

24. What exactly is the RUP methodology?

A strategy for improving product applications called the Rational Unified Process (RUP) has several tools to assist in coding the most recent product and assignments chosen with this goal in mind.

RUP is an object-oriented methodology that ensures effective project management and high-caliber software creation.

25. What exactly is RAD methodology?

The Rapid Application Development (RAD) paradigm is an example of an incremental model. The various project phases are developed independently in concurrently.

The project’s advancements are timeboxed, delivered, and then put together to create a functional model.

26. What exactly do you mean by requirement? Can you tell the difference between needs and requirements?

A concentrated strategy and representation are required to achieve certain company objectives. Stakeholders evaluate the project before it is put into action using specified standards and requirements.

Each component is fully documented for use as a reference. The overall example of the words and the result is needed.

For example, you must find work as a business analyst. You need a resume, academic credentials, and interviewing experience in order to apply for this position.

27. Describe data drilling.

Data drilling is a method of processing data and extracting the required information from a database (or data warehouse) by using different relational, tabular, or multidimensional data operations.

28. How can you describe a requirement as being perfect or good?

When a requirement satisfies all three SMART criteria—Specific, Measurable, Attainable, Relevant, and Timely—it is considered to be ideal.

Specificity should be used in the description of a condition, and all success criteria should be quantified. Every resource required for the project should be available and pertinent. Timely disclosure of all terms and conditions is required.

29. What exactly is an executive information system (EIS)?

A tool for giving consolidated and summarized reports regarding current business activities inside the company might be thought of as the executive information system (EIS).

Additionally, the EIS presents the information in a graphical interface and is designed to enhance the caliber of tactics utilized by higher-level management to speed up the organization’s growth.

It also includes several methods for obtaining, processing, converting, and displaying the data as graphical reports.

30. What is scope creep, and how can it be avoided?

When a project’s scope steadily encroaches beyond its intended confines, it can become problematic, a situation known as scope creep.

This may occur owing to a number of factors, such as modifications to the project’s criteria or goals, or it may simply occur as a result of inadequate preparation.

Although it might be challenging, preventing scope creep is crucial for keeping a project on schedule

. One approach to do this is to ensure that the project’s scope is defined clearly and succinctly from the beginning and that all stakeholders concur with this definition.

In order to ensure that any modifications to the scope are thoroughly evaluated and agreed upon by all pertinent stakeholders, it is also crucial to have a well-defined change management procedure in place.

Last but not least, maintaining continuous contact with all parties involved can assist to guarantee that everyone is aware of the project’s present constraints and goals.

31. Dimensional Modeling (DM) – what is it?

DM is employed to facilitate end-user queries and create a data warehouse. The DM employs two key concepts: the first is “FACT,” and the second is “Dimensions.”

The statement also includes measurements, which are often represented by numerical figures. And by “dimensions” we mean a set of terms used to describe facts.

Every step of the dimensional modeling process produces some information, which can be used to pinpoint precisely what is included in the data warehouse.

32. What exactly is requirement prioritization?

An essential step in the requirements collecting process is prioritizing the needs. It guarantees that resources are used efficiently by setting priorities for the most pressing demands.

To prioritize demands in a certain order, a variety of techniques can be utilized, including stakeholder analysis, cost-benefit analysis, and value-based prioritization.

33. Do you believe testing should involve a business analyst?

The level of business analysts’ involvement in testing will vary depending on the specific project and firm, therefore there isn’t a single, generally applicable answer to this question.

However, in general, business analysts should participate in testing since they can offer insightful analysis of the requirements and guarantee that the finished product satisfies the demands of the company.

34. What are the many forms of hierarchy?

There are two different kinds of hierarchies:

• Default hierarchy: The sequence in which the dimension objects are provided in the class is reflected in its content.
• Customized hierarchy: From the default hierarchy, a custom hierarchy is produced.

35. Describe Pareto analysis.

When there are several elements that contribute to an issue or objective, Pareto analysis might be applied.

It is particularly beneficial in business and quality management contexts, where it can assist in identifying the key areas to concentrate on in order to achieve the largest improvement.

It is necessary to first identify all the relevant components and then rank them in terms of relevance before doing a Pareto analysis.

Then the most crucial aspect is handled, then the next most crucial, and so forth.

36. Describe Kano’s analysis.

A quality management method called kano analysis aids companies in determining the wants and needs of their clients. It can be applied to enhance marketing tactics, consumer happiness, and product development.

37. The Agile Manifesto: What Is It?

The Agile Manifesto is a collection of software development guidelines that prioritize people over procedures and tools, customer participation over contract negotiations, and adapting to change instead of sticking to a schedule.

38. Gap analysis: What is it?

A common approach in business analysis is gap analysis, which is used to identify and evaluate the gaps between the target system and the current system’s functionality.

It might also be seen as a comparison of the performance levels of the target functionalities and the present functionalities.

Conclusion

You can succeed in the job interview for business analysts by using all these crucial Business Intelligence interview questions and answers. If you practice the answers to the aforementioned questions, you shouldn’t have any trouble passing the interview.

The next step is to take action in line with your goals. For interview preparation, check out Hashdork’s Interview Series.