Some skills overlap between Product Managers and Business Analysts. The titles themselves can look different from one company to another. In some places, Business Analysts even take on responsibilities similar to a Product Owner. Both roles collaborate to build something valuable for consumers and businesses.
This blog explains the Business Analyst vs Product Manager difference in detail so you can see where they connect and where they do not.
Table of Contents:
What is Meant by Business Analysis?
Business analysis involves defining business requirements and finding effective solutions. These solutions involve updates to systems, processes, policies, or overall strategy. A business analyst is responsible for executing these tasks.
Who is a Business Analyst?
A Business Analyst evaluates business models or their integration with technology. They analyze enterprise or business areas and document requirements, processes, or systems. They use data analysis to help companies improve processes, products, and applications.
What is Product Management?
Product management oversees all stages of a product’s life cycle. It includes product creation, strategic planning, forecasting, pricing, launch, and promotion.
Who is a Product Manager?
A Product Manager is a professional in charge of evaluating market dynamics, determining product features or functions, and managing product development. Product Managers are responsible for optimizing a product’s impact on the market and the organization. For example, a solution might involve improving a software feature, updating a workflow, or changing a policy that slows teams down.
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Business Analyst vs Product Manager
Now that their roles and responsibilities are clear, here is a quick look at how the two differ:
| Factors | Business Analyst | Product Manager |
| Primary Focus | Internal processes, systems, and business requirements | Market needs, customer problems, product vision |
| Goal | Improve business operations and support teams | Build products that succeed in the market |
| Works With | Technical teams, business teams, and project stakeholders | Customers, leadership, design, and engineering |
| Core Strengths | Analysis, documentation, process optimization | Strategy, prioritization, product planning |
| Output | Requirements, documentation, process improvements | Product roadmap, features, product strategy |
Roles and Responsibilities: Business Analyst vs Product Manager
- A Business Analyst acts as an intermediary between business and technical teams, ensuring requirements are understood and met. They also ensure that everyone follows the guidelines and processes. A Product Manager can be considered the product’s CEO, owning the vision, roadmap, and overall strategy. They manage the roadmap and shape the product concept from idea to launch.
- Business Analysts focus on internal processes and structures, while Product Managers focus on market needs and customer experience. Business Analysts look at internal systems, processes, and workflows to ensure teams can work effectively. Product Managers study consumers, competitors, and the market to shape a product that stands out.
In simple terms, Product Managers solve problems for outsiders (customers), while Business Analysts solve problems for the company’s employees.
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Business Analyst Skills vs Product Manager Skills
A business analyst is a bridge between technical and business teams. The core business analyst skills include technical and statistical knowledge, and strong documentation abilities. Whereas a Product Manager is a bridge between customers and the company. Product Manager skills include analyzing market trends, understanding customer needs, and negotiating with stakeholders.
Both Business Analysts and Product Managers rely on soft skills like communication, critical thinking, problem-solving, and negotiation to keep everyone on the same page.
The main difference between the skills of both profiles is that a business analyst uses technical and analytical skills to understand and improve internal processes. Product Managers use market and product skills to build solutions for customers.
How Both Professionals Work in a Company
In a company, Product Managers and Business Analysts collaborate closely but focus on different areas.
First, a Product Manager identifies customer needs and market opportunities. They generate ideas for new or improved products and define the product vision. Their primary responsibility is shaping the product and ensuring it aligns with business goals and user expectations.
Then, a Business Analyst takes those ideas and turns them into actionable plans. They research, gather requirements, and work with technical and business teams to implement the solution. They ensure that the product development process runs smoothly, internal processes are optimized, and teams are on the same page.
In short, Product Managers own the idea, and Business Analysts own the implementation. Together, they ensure that projects deliver value to both the company and customers.
Steps Followed by Business Analysts and Product Managers in a Project
When a project begins, Business Analysts and Product Managers follow distinct but complementary steps. The Product Manager focuses on understanding customer needs and defining the product vision, while the business analyst ensures those ideas are implemented effectively within the company. The following outlines the typical steps each role takes to complete a project.
A Business Analyst adopts the following steps to complete the project:
- Understand Business Objectives: When a company receives a project, the Business Analyst first understands the business objectives. In this step, the professional focuses on the business requirements and finds solutions to the identified problems.
- Gather Requirements: Then, the Business Analyst identifies the requirements and coordinates with the team to decide which tools or systems will be needed for the project.
- Provide Suggestions: The professional also provides suggestions throughout the product development process. For example, in an app development project, a Business Analyst provides recommendations to improve usability or functionality based on research.
- Collect Feedback: The Business Analyst collects feedback from the users, evaluates it, and suggests improvements accordingly. Then, they make reports, exploring the performance of the product and also of the company, using data visualization tools like Tableau.
- Coordinate with Teams: The Business Analyst conducts meetings frequently with developers to make sure that everything is fine and as per the plan. Upon finding any errors, they can rectify them quickly in such meetings.
- Documentation and Reporting: Finally, the Business Analyst prepares documentation and presentations for the project.
The steps followed by a Product Manager are as follows:
- Analyze Market and Customer Needs: The Product Manager mainly concentrates on the user end. The professional works on market intelligence and finds out what the customer requirements are. Based on the facts, they design the product.
- Define Product Vision and Strategy: The Product Manager also designs the product concept and plans the business strategy.
- Collaborate with Business Analyst: By collaborating with the business analyst, the Product Manager decides on the idea for the project.
- Oversee Product Development: They work on the growth of the product development process and ensure that the product meets users’ expectations.
These are the differences in the steps followed by a Business Analyst and a Product Manager to complete a project.
Let’s now see how we can differentiate a Business Analyst from a Product Manager in this Product Manager vs Business Analyst debate based on the scope and salary trends of these professionals.
Business Analyst vs Product Manager: Scope and Salary Trends
To understand career prospects, consider the current job market and salary trends.
The scope of product management is broader compared to business analysis in India. As of now, there are around 18,195 Business Analyst jobs available on Naukri.com, while Product Manager jobs are around 14,989.
According to AmbitionBox, the average Business Analyst’s salary is ₹9.9 lakhs per year in India. Whereas, a Product Manager’s salary is up to ₹22.3 lakhs per year on average in the country.
Conclusion
In summary, Product Managers focus on product development, while Business Analysts focus on business capabilities. The product roadmap is the core responsibility of Product Managers, but Business Analysts need to focus on the growth of the company. The ultimate target for Product Managers is the product, while Business Analysts are in charge of identifying the criteria for bringing out business potential.
If you want to develop your skills, you can explore Intellipaat’s Product Management Course and get a master’s in the product management domain.
Frequently Asked Questions
Q1. What is better, a product manager or a business analyst?
Product Managers focus on products and customers, while Business Analysts focus on internal processes and requirements. Both roles have their own pros and cons, so it mainly depends on your interests.
Q2. Can a business analyst become a product manager?
Yes, many skills are similar, such as problem-solving, communication, and analysis. If you gain experience in product strategy, market research, and customer engagement, it can help you switch from a business analyst role to a product manager role.
Q3. Is a product owner higher than a business analyst?
No, both the roles are different and their seniority depends on the company. The Product Owner manages product priorities, while a Business Analyst handles requirements and processes.
Q4. How do Business Analysts and Product Managers collaborate?
Product Managers work on the product idea and vision, while Business Analysts gather requirements, coordinate with teams, and ensure proper implementation. Both roles work together to ensure project success.