Which approach is NOT effective for identifying business needs?

In the context of identifying business needs, a bottom-up analysis refers to a method where insights and requirements are gathered from lower levels of an organization or from specific operational areas before being consolidated into a broader picture. This approach can sometimes miss the strategic alignment and overarching goals that are crucial to understanding the business needs comprehensively.

In contrast, top-down analysis begins at the strategic level, ensuring that the organization’s high-level goals and objectives guide the identification of business needs. Comprehensive surveys gather input from a wide range of stakeholders and are effective in capturing diverse perspectives. External analysis considers market trends, competitors, and external factors that may influence business needs, offering a holistic view.

The bottom-up approach may inadvertently neglect these strategic considerations, making it less effective when the goal is to identify business needs that align with the overall direction and objectives of the organization. This limitation illustrates why it is not an effective approach for this purpose.