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18 Examples of Gap Analysis

 , updated on August 30, 2023
A gap analysis is the process of identifying the difference between where a business is and where it wants to be. This typically takes the form of comparing the current state of strategy, structure, capabilities, processes, technologies, practices and services with a target state based on an organization's goals. The following are illustrative examples.
Identifying inefficiencies in a business process.
Determining why customers give a product low rankings.
Identifying sales deals that were not profitable.
Determining why a firm has higher IT overhead costs than the competition.
Identifying practices that have caused safety incidents on a worksite.
Determining why high performing employees have a high turnover rate.
Investigating why a product has a high rate of customer returns.
Determining the source of defects on a production line.
Identifying how employees really feel about a firm and how this differs from the firm’s target culture.
Investigating patch management processes and how some critical security patches have been missed.
Identifying gaps in customer communication.
Exploring the end-to-end customer journey to identify problems with the customer experience.
Determining why some students in a school system have low academic performance.
Comparing production costs with a competitor to identify cost disadvantages.
Comparing brand perceptions with a competitor to identify branding issues.
Investing project management practices to determine why projects have failed.
Investigating the perception that performance reviews are inconsistent across a firm.
Identifying practices that are inconsistent with a firm’s environmental values.
Detailed examples of a gap analysis:

Strategy

An ecommerce company looks at the gaps between its strategy and the structure of the firm. It discovers that the firm has a stated goal to improve customer satisfaction but has failed to scale support technology and staffing with revenue, resulting in declining customer service levels.

Practices

An airline performs a gap analysis considering customer service practices and culture. They interview both employees and customers with particular attention to dissatisfied customers. They determine that front line employees need more authority to grant certain exceptions. The also recommend that managers be freed from dealing with exceptions to focus on serving customers to lead by example.

Process

A telecom company performs a gap analysis to understand why a number of orders have been delivered late to customers. They map out the current process and identify manual steps, redundant work, overly complex dependencies, bottlenecks, technology pain points and process risks and document them as gaps. The gap analysis also produces an optimized target state process that cuts days from order provisioning time, reduces cost and mitigates risks.

Capabilities

A retail bank requires hundreds of capabilities across dozens of products and channels. A gap analysis delivers a heat map that shows the status of each capability for each product and channel combination. For example, it shows the status of a capability such as fraud detection for a product such as credit cards for a channel such as telephone banking.
Overview: Gap Analysis
Type
Business Analysis
Definition (1)
The process of identifying suboptimal or missing strategies, structures, capabilities, processes, practices, technologies or skills and recommending steps to optimize for an organization's goals.
Definition (2)
The process of identifying problems and issues.
Related Concepts
Next: Problem Analysis
More about business analysis:
Audience Analysis
Baseline
Behavioral Requirements
Benchmarks
Best In Class
Black Box
Bottleneck
Bottom-Up
Brand Analysis
Budget Planning
Business Analysis
Business Architecture
Business Attributes
Business Case
Business Conditions
Business Models
Business Needs
Business Needs Analysis
Business Plan
Business Requirements
Business Rules
Business Strategy
Business Swot
Business Theory
Capabilities
Capacity Planning
Choice Architecture
Competitive Intelligence
Context Of Use
Cost Benefit Analysis
Success Factors
Data Analysis
Data Dredging
Data Mining
Decision Analysis
Estimates
External SWOT
Feasibility Analysis
Fishbone Diagram
Forecasting
Gap Analysis
Ishikawa Diagrams
KPIs
Management Accounting
Market Research
Mece
Metrics
Needs Analysis
Net Present Value
Operations Analysis
Organizing Principle
Pain Points
Performance Analysis
Premortem
Problem Analysis
Productivity Analysis
Project Charter
Proof Of Concept
Qualitative Analysis
Quantification
Requirements
Requirements Gathering
Scenario Planning
Situation Analysis
Specifications
Statement Of Work
Statistical Analysis
Story Points
Strategic Drivers
SWOT Analysis
Technology Analysis
Terms Of Reference
Total Cost Of Ownership
Use Case
User Stories
Voice Of The Customer
What-if Analysis
Workflow Analysis
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