What Is an Operations Analyst?

An operations analyst, sometimes called an operations research analyst, analyzes an organization's systems and procedures to help its management improve how the company functions and eliminate operational problems. This career field is growing because, according to the US Bureau of Labor Statistics, this area of employment is expected to increase by 23 percent from 2022 to 2032 [1]. This position is also generally considered a somewhat high-paying job. It's ideal for someone who has a mind for math, data, critical thinking, and problem-solving. 

Discover the abilities necessary to succeed as an operations analyst, including your skill set and educational background.

Read more: Operations Management: What Is It and Why Does It Matter?

What does an operations analyst do?

Operations analysts develop solutions to problems and create new goals for organizations that will improve their overall operations. You'll use math, logic, data, statistical modeling, forecasts, and critical thinking. 

Operations analysts can work in a wide variety of industries, though, according to the US Bureau of Labor Statistics, the largest employers are usually [2]:

• Professional, scientific, and technological services

• Finance and insurance

• Management of businesses and organizations 

• Manufacturing and the federal government, particularly within the Department of Defense 

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Operations Management, Analytics, Spreadsheet Software, Descriptive Analytics, Forecasting, Probability Distribution, Predictive Analytics, Simulation and Simulation Software, Process Optimization, Business Operations, Risk Analysis, Business Analytics, Demand Planning, Decision Tree Learning, Decision Making, Data-Driven Decision-Making, Microsoft Excel, Operational Analysis

Roles and responsibilities of an operations analyst

Your roles and responsibilities as an operations analyst can vary depending on the industry and job. You may work with a company's entire operations process or focus on a specific aspect, like the distribution of resources or the supply chain. For example, you may focus on risk management if you work in banking or finance. Either way, you'll find some universal tasks you'll likely perform as an operations analyst, no matter your specific role or organization. They might include:  

• Identifying problems within an organization 

• Assessing the company’s current practices and determining ways to improve

• Collecting data from a variety of sources

• Interviewing employees and clients

• Analyzing any data and information you gather 

• Conducting internal audits

• Utilizing software programs for modeling and analysis

• Developing and implementing new policies and procedures

• Augmenting workflows as well as interactions across departments

• Researching and staying on top of current market and industry trends

• Writing reports and sharing your findings with management and organization executives 

Where do operation analysts work?

You'll likely spend a lot of your time working in an office setting, but you also observe business operations and gather information beyond your office or attend meetings and conferences. That being said, working in this profession tends to create less stress than other professions and typically provides flexibility and a good work-life balance. 

Operations analyst skills 

As an operations analyst, you must possess various technical and workplace skills to help you succeed throughout your career. Workplace skills are those you aren't necessarily taught but that you hone through experience. Technical skills are the ones you typically learn through some type of educational experience.  

Read more: What Are Job Skills and Why Do They Matter?

Workplace skills

As an operations analyst, you'll likely work and collaborate with various team members. You will interact with team members and likely find yourself sharing results and findings with management through written and oral communications. Other workplace skills you can focus on as an operations analyst include:  

• Analytical thinking 

• Leadership and mentoring

• Attention to detail

• Problem-solving

• Multitasking 

• Time management  

• Critical thinking 

• Communication

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Technical skills 

Having good math skills is a must for an operations analyst. You'll spend much time reviewing data, models, and statistics. Algebra and calculus can be especially valuable to your career, so focus on taking math classes in high school and college. Other technical skills you may want to focus on include:  

• Microsoft Office (particularly Excel)

• General computer skills

• Enterprise resource planning (ERP) systems proficiency

• Business strategy

• Financial analysis and reporting 

• Supply chain knowledge 

• SQL programming language

• Inventory management systems 

• Data science and analysis 

• Project management 

Pathways to becoming an operations analyst

The requirements for every operations analyst job will differ from organization to organization, but at minimum, you typically need a bachelor's degree. Some businesses may prefer you to have some entry-level work experience, and you can consider earning a professional certification, which might encourage potential employers to hire you.

Educational experience

Operations analyst jobs typically require a bachelor's degree in a related field, like computer science, business administration, finance, information systems, or engineering. Some schools even offer a bachelor's degree in operations research and management. No matter your major, you'll want to take various math and computer science courses before starting your career.  Also, keep in mind that some jobs may require a master's degree, which can help make you a more competitive candidate even when employers don’t require it. 

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Work experience 

Whether or not you'll need entry-level work experience depends on the job and organization you apply to. Completing an internship after you earn your bachelor's degree is one way to gain some work experience. Taking on a junior operations analyst role at a company is another option. Also, look for entry-level positions as a process analyst or operations coordinator. Some companies may even offer on-the-job training, allowing you to learn while advancing your career. A military background may also help set you up for a role as an operations analyst. 

Professional certifications

Earning professional certifications may be optional for your career as an operations analyst, but they may help you stand out from other candidates as well as help you improve your skills. One popular option is the Certified Analytics Professional (CAP) certification. This certification is designed for early- to mid-career individuals; it helps verify your ability and competencies that data science professionals possess [3]. 

Salary and job outlook for an operations analyst

According to Glassdoor, the estimated total pay for an operations analyst in the US is $90,836 per year [4]. This figure includes an average base salary of $67,914 and $22,922 in additional pay. Additional pay may represent profit-sharing, commissions, or bonuses.

The US Bureau of Labor Statistics (BLS) reports that this field's demand is rising. As previously mentioned, it is estimated that between 2022 and 2032, the need for operations analysts is likely to grow at a rate of 23 percent, a rate that’s significantly faster than many other careers [1]. 

Operations analyst career advancement opportunities

As an operations analyst, you have options if you choose to advance your career. Some analysts go on to work in management, and doing so may mean earning a more advanced degree. Because the skill set for an operations analyst can transfer to various roles, you may pursue other career options such as:

• Data analyst

• Finance manager

• Business analyst

• Project manager

• Controller 

• Supply chain analyst 

• Operations manager

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The need for operations analysts is on the rise, making it a great field to consider if you're considering what you want for your professional future. Consider taking online courses or earning Professional Certificates on Coursera.

The Google Data Analytics Professional Certificate helps you prepare to be job-ready for an entry-level position in analytics. You can also enroll in courses like Data Analysis and Visualization offered by the University of Buffalo or Operations Analytics offered by the Wharton School at the University of Pennsylvania.

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course

Operations Analytics

This course is designed to impact the way you think about transforming data into better decisions. Recent extraordinary improvements in data-collecting ...

4.7

(5,133 ratings)

125,816 already enrolled

Learn More

Average time: 10 hour(s)

Learn at your own pace

Skills you'll build:

Operations Management, Analytics, Spreadsheet Software, Descriptive Analytics, Forecasting, Probability Distribution, Predictive Analytics, Simulation and Simulation Software, Process Optimization, Business Operations, Risk Analysis, Business Analytics, Demand Planning, Decision Tree Learning, Decision Making, Data-Driven Decision-Making, Microsoft Excel, Operational Analysis