Essential Analysis

In 1984, McMenamin and Palmer wrote a landmark book called Essential Systems Analysis in which they refined work on structured design developed in the 1970s (Stevens et al., 1974). It was radical at the time because they suggested thinking about “systems” independent of technology—the what vs. the how. Although they didn’t use the phrase business requirements, they effectively recommended an approach to analyzing the business before designing the technology.

This conceptual approach to analysis is still the best approach for business analysis. Business analysis is about analyzing the business, not software or technology. The analyst should look at the business through “glasses” that filter out the technology. McMenamin and Palmer used the concept of perfect technology to help analysts don these “glasses.”

Perfect Technology

The concept of perfect technology was developed to help analysts understand and analyze a business process—independent of how it might be done (McMenamin and Palmer, 1984). Perfect technology implies that there are no limitations and the business process can be built to be ultimately efficient and effective. To use this technique, the BA and business stakeholders imagine a perfect world within which the business process is performed. They assume the following:

• No storage limitations or constraints (infinite storage is available)

• Completely error-free processing is available

• No performance limits or constraints (infinite speed is available)

• Technology is available at no cost (unlimited funds are available)

When a business process is looked at free of these limitations, a very different perspective is revealed. By imagining a business process in its purest or most essential form, the analyst can name and describe the true business process without technological limitations.

No Storage Limitations or Constraints

When McMenamin and Palmer defined the concept of perfect technology, it was radical. In the 1980s, storing data in a computer system was costly. Over the years, storage costs have decreased so dramatically that this assumption is almost true. There are few limits on electronic storage capacity. The importance of this assumption is to remove an artificial IT constraint when analyzing the business. As a BA asks questions about business processes and the data that support them, he or she should never say “Oh, we don’t have room to keep seven years worth of history.” If the business requirement involves keeping historical data, it will be kept in some form. There are many data archive options. The analysis that should take place around data storage is learning why the data is important, how often it will be accessed, and by what criteria it will be searched. Working to define the best place to store the data and the best way to retrieve it keeps the analyst focused on the true business need as opposed to limiting the solution.

Case in Point

Mortgage applications, appraisals, and underwriting approval forms must be maintained through the life of a mortgage plus 7 years to comply with U.S. tax regulations. For a 30-year mortgage, this requirement is 37 years! For a mortgage servicing company with thousands or millions of loans, this requirement translates to a huge amount of paper. Solutions have focused on efficient boxing strategies, microfiche, and document management systems. Over the years, the core business requirement has not changed. Understanding this core requirement allows the analyst to imagine many solutions using current and future technology. Scan the documents and store them on DVDs? Copy digital images onto microchips?