Data analytics uses a combination of technology and statistical questions to find patterns in large amounts of data. When a business implements data analytics as part of their overall strategy, they develop more efficient methods of gathering and storing data. This information would be valuable in creating a plan to grow the business.
On the other hand, business analytics is more focused on the business side of things. It uses the same big data tools like data analytics, but rather than it is the actual process of storing and gathering data, business analytics is the process used to make important decisions about a business.
It’s important to understand the difference between data analytics vs. business analytics because businesses will be developing strategies to improve both. They do both share the same overall goal though – boosting company efficiency through data. For example, the Research Optimus Company has teams built around both data and business analytics. Brands will need to do the same thing.
The Difference Between a Data Analyst and Business Analyst
To better understand the difference between the two, we need to take a look at the experts behind both. Their skillsets and other important highlights will show us the skill demand behind the job itself.
Data analysts work to discover insights that are not available to the naked eye. Their primary job is to develop systems to collect, process, store, and analyze data. They will spend most of their time working in the data itself. Data analytics do not care as much about the business side as they do the information itself.
So they develop systems to make this information readily available to the leaders who make important decisions. The key here is that the data analytical expert can present the information in a way that is understandable by anyone in the company.
Some roles include data mining, data cleansing, statistical analysis, data management, and fixing certain inefficiencies within the data itself.
Data analysts must have a strong background in computer science, statistics, and math to develop the right skill set for this important job. They will also need to learn certain software skills, like Python and SAS. Having all of these skills will create a well-versed toolkit that can then be used to not only develop systems that gather data but finding ways to make it visual.
Business Analysts are a Bit Different
Let’s flip the coin on this whole data analytics vs. business analytics topic and take a closer look at the requirements for a business analyst. Of course, the entire concept of business analytics is constantly changing, so these requirements might change as well. Right now, business analysts use a combination of data-driven insight and managerial insight to make business decisions.
While business analysts require a lot of knowledge in data, they are not creating the data strategies for a business. They are creating systems that are used to apply data to important decisions.
Business analysts must have a solid grasp of business practices, information technology, management, and computer science. Since business analytics uses a lot of different sources of data from a lot of different topics, business analysts who have a diverse background are going to be better equipped.
With that said, the most important skill is communication. If business analytics is to do a business any good, then the data must be effectively communicated to the proper departments.
Data Analytics vs. Business Analytics
|Type||Data Analytics||Business Analytics|
|Focus||Data Analytics would search for patterns in the data and build models to see how responsive it is to their models. Their task is to find patterns and communicate them to the proper area.||Business Analysts use the data to create reports and check key performers. They verify whether patterns in the data are trends and help the company make important decisions.|
|Transform||Transformations to data are done within the database itself, and if there is a need to enrich or correct data, then it’s done immediately.||Data transformations are carefully planned and done upfront.|
|Data Models||Data analysts tend to depend more on probabilities than practice. Since they are using a data-only approach, they would base theories on statistical probability.||Business analysts look at data as only a single source. They have other markers to use as a basis for important decisions.|
|Process||Data analysts create new data mining techniques and experiment with them to provide business leaders with the best visual representation possible.||Business analysts create studies based on the data and build comparative studies.|
|Particulars||If a data analyst were to find patterns in data that were not a part of their previous set, then they would find more reliable sources for this set of data and add it to the current collection method.||Business analysts plan their sources of data well in advance, and they are not as able to change it on the fly. But they do have a better understanding of what’s necessary for their business.|
|Data Quality||Data analysts tend to depend more on probabilities than practice. Since they are using a data-only approach, they would base theories on statistical probability.||Business analysts look at data as only a single source. They have other markers to use as a basis for important decisions.|
Data Analytics vs. Business Analytics Skillset Comparison
Data Analysts Skillset
- Data mining experience
- Knowledge in machine learning
- Full understanding of R and SAS language
- Database design experience
- Utilization of statistical methods
- Problem-solving using analytics
Business Analysts Skillset
- Data mining
- Advanced problem solving using analytics
- Knowledge of survey tools
- Exceptional creative thinking skills
- Firm understanding of statistical analysis software
- Computer programming skills
- Business intelligence skills
- Exceptional communication skills
Both data analytics and business analytics have the common goal of improving the efficiency of a business. They use different skills to accomplish the same overall goals. Data analysts tend to focus more on the data itself while business analysts are looking for insights to assist in making important decisions.
About the Author
Gracie Myers is a content writer at Research Optimus. She enjoys writing on various topics mainly associated with Research. Her famous articles are on the topic of Business Research, Market Research, Business Analytics and many more.
Top Rated Articles
Over the last couple of years, technological innovation has brought about a rapid change in the customer service landsca
Marketing automation software can benefit your business in a number of ways. It is a great way to increase traffic, enco
"Keep your customers always on the frontline," this is a key philosophy to running a successful business. Customers are
How to Create a Business Proposal for a Bank Loan When a startup submits a loan proposal at a bank, the quality of that
If you are a business owner, your customers are extremely important to you. They are the ones that provide you with inco
Over the past 6 months the incredible team at MMP have supported us to shift our attitude towards our business & month on month our revenue is increasing to the point we will be able to employ additional staff to support our business goals long into the future. Do not regret our decision one single bit!
Working with my coach has enabled me to see the areas where my business is failing. This was pretty confronting to me to be honest. MMP has the tools to improve these areas and the guidance on how to implement them.
I have been working with Max My Profit for approx 3 years now, and over that time I have learnt a lot of things about not only what it takes to run a business, but I have also learnt things about myself. I don't believe i'd be the person or have the business I have today if it wasn't for Max My Profit and our Business Excelerator. Great team to work with if you want to take your business serious!
As a new client for Max My Profit (MMP) it has taken no time at all to realise the benefits of business coaching. Despite many years of senior management experience starting a new business requires best practice systems and processes built on a solid platform of detailed planning. I look forward to the benefits of adopting the formula being shared by MMP.
Max My Profit Are truly awesome at what they do. They have helped me over the past 12 months to get off the tools in my business and start working on my business. I am looking forward to 2019 with enthusiasm not concern. Thanks so much.
If you are committed to Growth the Max My Profit Team has the tools and expertise to excelerate all areas of your life. They Care, They Listen, They Understand You as an Individual first then they focus on Your business. Thank you Max My Profit my rating is a 6/5 - Kindest Regards The Mr Handyfix Team
The team at Max My Profit are an absolute pleasure to deal with. I love working with a team who is on top of what they are doing and have a clear view of what they are working on with you and helping ensure you get to the end goal.
I have been working with MaxMyProfit over the years and what they do for SME's in growing their business is fantastic. Also due to there knowledge and their supporting material for companies across the 5 lifestyle stages and assisting them through this process day in day out is extremely comforting as a small business owner and have referred them many businesses over the years.
Working with a business coach from MaxMyProfit has been one of the best things I have done for my business. I had several other coaches before MaxMyProfit but these guys are a step above the others. I have seen a significant increase in sales, now have a business that can run itself and the coaching program has paid for itself many times over.
Much more than just business coaches. There is an absolute treasure chest of business knowledge in their members site.
Max My Profit are unique as they really partner with you to develop and implement a plan that will drive success for the business. I was hesitant to proceed as previous business coaches tell you what to do and rely on you to implement.
I attended one of Max My Profits introductory events in Melbourne. Having been an accountant for almost 30 years, I was somewhat sceptical. Boy was I wrong. I not only enjoyed the presentation, but I gleaned so much from just that session.
These guys are an absolute wealth of knowledge for Small Business. The programme and support networks they have set up ensure learn more every day and can take your business from good to great. Thanks so much.