Business Analyst Interview Question

How do you build a business case for a change?

What the interviewer is probing, how to structure your answer, and a spoken example you can adapt.

Quick answer

Quantify the current cost of the problem first, because every other number gets judged against it. Then set out options including doing nothing, with costs, benefits, and the assumptions behind each. Separate cash savings from time saved, since time saved is only real if the hours get redeployed. Be conservative, because someone will check the numbers a year later.

Why interviewers ask this

This tests commercial literacy, which increasingly separates senior analysts from junior ones. Interviewers want the do nothing option included, assumptions stated openly so they can be challenged, and a clear distinction between hard savings and soft benefits. Conservatism scores well here, because inflated benefit numbers are the reason many organizations stopped trusting business cases at all.

How to structure your answer

  • Cost the current problem before anything else.
  • Show the working so inputs can be challenged, not just the total.
  • Include the do nothing option honestly.
  • Separate cash savings from capacity released.
  • Be conservative and state your assumptions.

Example answer

Spoken example, first person

I start with the cost of the problem today, because every other number in the document gets compared to it. That usually means volumes times handling time times a loaded hourly rate, plus whatever the errors cost, and I show the working so anyone can challenge an input rather than the conclusion. Then options, and I always include doing nothing, both because it is often a legitimate choice and because it shows I am not just selling. The distinction I am careful about is cash versus time. If we save four hundred hours a year, that is only a saving if those hours become something else, and on a team of five it is not a headcount reduction, so I present it as capacity rather than money. I would rather be conservative and be believed, because someone will come back in a year and check, and I want the next business case I write to be trusted.

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Follow-up questions to expect

  • How do you value a benefit that is genuinely hard to quantify, like risk reduction?
  • What discount rate or payback period does your organization use?
  • What do you do when the numbers do not support the change leadership wants?

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