Business runs on information, regardless of the industry. The quality and timeliness of information assist business owners with critical decisions. In order to make wise and profitable decisions, it is imperative to have a thorough business analysis. Similar to the general practitioner, a business analyst is trained to perform an exhaustive diagnostic study of the business. The analyst and support team have experience with similar business operations. An in-depth examination is performed including financial, operational and sales functions of business to identify strengths and deficiencies and provide recommendations for improvement.

Expectations Of Your Business Analysis
The process begins with an opening interview, which takes approximately an hour to an hour and one-half. During this time period, you and the business analyst participate in an in-depth discussion of your business, its history, your long and short-term personal and business goals, as well as other corporate areas of focus.

What Areas Of My Business Will Be Analyzed?
On the basis of your opening meeting, the business analyst conducts a quantitative and qualitative review of your business and identifies problem areas and appraises their effect on the revenue and profit of your business. Examples of what the business analyst reviews include:

• Operations: How often do you receive operating statements and what key information is tracked and utilized to measure productivity?
• Administration: Is there a developed percentage basis budget? If so, how are the results tracked? Do administrative systems and procedures meet current requirements? If not, what are the ramifications of non-compliance?
• Material Cost: What effects do waste and rejects have on material costs and how do these affect margin contribution? Who is responsible for negotiating material contracts, managing costs and overrun controls? How are these employees measured and held accountable in their performance of their jobs?
• Labor Cost: How does labor cost fluctuation affect production scheduling? How do you compensate for work center loading? What effect does overtime have on profitability and how does this factor in the decision to add or maintain personnel?
• Overhead: How is overhead application accounted for in the pricing matrix and what methodology is used to track and measure the implications of adding overhead costs to cash flow requirements and profitability?
• Incentives: Is there a productivity-based excess profit incentive plan? If not, how are employees rewarded and how is the effectiveness of those rewards measured in profit and productivity?
• Productivity: Are there established quantifiable productivity standards? How are productivity based performance standards measured?
• Cost Controls: Are costs measured and compared to predetermined standards? What systems or procedures are in place to control costs and quantify results?
• Material Flow: How is material throughput analyzed and what effect does it have on productivity and waste? Does a perpetual inventory record for raw materials, supplies, and work-in-progress and finished goods exist and how is it maintained?
• Break-even Utilization: Is there a break-even analysis by product group, sales personnel or service offering? How are break-even calculations used and how is it utilized for bidding, pricing and market strategies?
• Cash Flow Management: Is there a system in place to forecast and manage payables and receivables to maximize current assets and increase vendor leverage?
• Tax Planning: Is after tax income maximized with proper planning? Is your estate plan structured to minimize estate taxes?
• Organization Re-engineering: Is the company set up on a functional basis and do all employees have a clear understanding of their role in the success of the business? Do you, as a business owner, have a clear understanding of your responsibilities to create a positive cash flow, generate a substantial profit and create a good quality of life for you and your employees?
• Sales and Marketing: Are you able to determine margin contribution and operating profit by salesperson, product, product line and territory? Are you getting a reasonable return on your advertising and promotion investment? How do you quantify your return?
• Web Site: How does your Web presence enhance marketing objectives? What type of search engine optimization (SEO) are you utilizing? How is the success of those efforts measured?
• Any Other Unique Concerns: What other issues impede your ability to create a good quality of life for yourself and your employees?

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