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Closing the Gap: An Expert Guide on Gap Analysis for Business Analysts


As a business analyst, your expertise in identifying opportunities for improvement and driving strategic initiatives is vital to your organization's success. One of the most valuable tools at your disposal is gap analysis, which enables you to pinpoint discrepancies between your organization's current performance and its desired goals.

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In this article, we will delve into the intricacies of performing a gap analysis, its benefits, and how to utilize its results to propel your organization towards success.

Understanding Gap Analysis

Gap analysis is a systematic methodology employed by business analysts to identify the disparities between an organization's present state and its envisioned future state. These gaps may span various dimensions, such as performance, resources, processes, or technology.

By unearthing these gaps, organizations can devise actionable plans to tackle them and achieve their objectives.

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Advantages of Gap Analysis

  • Informed decision-making: Gap analysis offers valuable insights into areas that warrant improvement, empowering organizations to make well-informed decisions and allocate resources judiciously.

  • Augmented efficiency: By pinpointing inefficiencies and redundancies, gap analysis assists organizations in streamlining their processes and bolstering overall productivity.

  • Heightened competitiveness: Gap analysis can unveil areas where competitors may hold an edge, enabling organizations to confront these issues and maintain a competitive advantage.

  • Risk mitigation: Identifying and addressing gaps can help organizations anticipate potential risks and adopt appropriate measures to mitigate them.

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Steps to Conduct a Gap Analysis

The following steps will guide you through the process of conducting a comprehensive gap analysis, empowering your organization to effectively bridge the gaps and achieve its desired goals.

  • Establish your objectives: Initiate the gap analysis process by clearly outlining your organization's objectives. These could encompass financial performance, customer satisfaction, market share, or other key performance indicators (KPIs). Ensure that these objectives adhere to the SMART criteria (Specific, Measurable, Attainable, Relevant, and Time-bound).

  • Assess your current state: Upon establishing your objectives, evaluate your organization's current performance. This involves collecting data on various aspects, such as financial performance, customer satisfaction, employee engagement, and operational efficiency. Employ tools like surveys, interviews, and data analysis to gain a comprehensive understanding of your current state.

  • Pinpoint the gaps: Armed with a clear grasp of both your objectives and current performance, you can now identify the existing gaps. Compare your current state against your desired future state and highlight the areas where discrepancies are present. These gaps could pertain to processes, resources, technology, or any other aspect of your organization.

  • Formulate an action plan: Having identified the gaps, formulate an action plan to address them. This plan should encompass specific steps, timelines, and resources required to bridge the gaps. Ensure that your action plan is pragmatic and achievable, considering your organization's constraints and capabilities.

  • Execute and monitor: Implement your action plan and consistently monitor its progress. Track the relevant KPIs and gauge the effectiveness of your strategies. Modify your plan as required to ensure that you're progressing towards your objectives.

  • Reassess and iterate: Gap analysis is a continuous process, and it's crucial to regularly review and update your objectives, current state, and action plans. Persistently evaluate your organization's performance and adjust your strategies to ensure that you're consistently working towards your desired future state.


Conducting a gap analysis is an indispensable step for organizations striving to enhance their performance and attain their goals. By following the steps delineated in this article, you can adeptly identify the gaps that exist in your organization and develop strategies to address them.

Bear in mind that continuous improvement is the key to success, and routinely reviewing and updating your gap analysis will ensure that your organization remains on track to achieve its objectives.

Infographic listing top 5 business analysis techniques for gap analysis


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