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A business capability is a description of what a business does independently of how or why. They offer a view into a business that is free of details such as processes and strategy. Capabilities may be captured at various levels of detail such as organizational, department or team capabilities. The following are illustrative examples of business capabilities.
Manage RiskA bank manages risk.Manage Credit RiskA bank's global credit department manages credit risk.Analyze Client Credit RatingsAn analyst team in a bank's global credit department analyzes client credit ratings.Sales Pipeline ManagementThe sales department of a telecom company manages a sales pipeline.
Qualify Sales LeadsA sales operation team qualifies sales leads before they enter a sales pipeline.Information Security ManagementAn IT department provides information security management.Security Risk IdentificationA security team identifies information security risks as a part of an annual audit.
PricingA marketing department prices products and services.Price TestingA marketing operations team is able to test different price configurations to optimize revenue and margins.Product DevelopmentA marketing department develops and launches products.Product DesignA design team designs products.Customer ServiceAn airline provides customer service.
Meal ServiceA flight crew provides meal services.Lost Baggage ClaimsAn airline operations team processes lost baggage claims.|
| Type | Business Analysis | | Definition (1) | A description of what a business does. | | Definition (2) | An organizational function. | | Notes | It is common to identify business capabilities at different levels that can be mapped to each other. For example, business capabilities may be identified at the organizational, department and team level and then mapped to each other. It is also common to identify business capabilities by product, region and other factors. | | Related Concepts | Business analysisOperations AnalysisRequirementsBusiness Architecture |
Business Capabilities
This is the complete list of articles we have written about business capabilities.
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