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No matter what your company creates or sells, you need to know your target audience's demographics and habits. You also need to understand current trends in your industry. Without this data, you'll have a hard time determining the best marketing and business strategies for your company.
That's where data analysts come in. As seasoned information technology (IT) professionals who gather, clean, and study data, data analysts can help you answer questions about your industry, company, and customers. For example, they can help you discover:
However, hiring the right data analyst for your company remains a challenge. Although there's a glut of data analysts on job sites like Indeed, many lack the skills and experience to help your company succeed.
Read our comprehensive guide to learn how you can hire data analysts. We'll cover what data analysts do, how they differ from data scientists, how they can help you reach your business goals, and how to hire one. We'll also provide tips for writing compelling data analyst job descriptions and interview questions.
A data analyst is an IT professional who collects and interprets data to solve specific problems. After they've thoroughly analyzed the data, they will communicate their findings to the rest of your team.
Although data analysts and data scientists both analyze data to understand your company and industry, they have different approaches. Data analysts examine data to understand the past better, while data scientists analyze data to make assumptions about the future.
Other differences include:
A data analyst's duties vary depending on the company, but most companies require data analysts to:
Analysts must know the following tools, concepts, and skills to perform their duties:
Having a skilled data analyst comes with a plethora of benefits. Here are the main reasons for hiring one:
Hiring a data analyst can present many advantages, including a better understanding of your company, industry, and past decisions. A skilled data analyst can also help you evaluate existing systems for efficiency, problems, and inaccuracies and promote a data-centric work culture.
However, before you start hiring, you need to ensure that your company is ready for a data analyst. You also need to consider prospective hires' skills, qualifications, experience levels, and salaries.
First, you need to determine whether your company is ready for a data analyst. Specifically, you need to evaluate your company's:
If your IT infrastructure isn't set up properly, data analysts won't be able to do much. So make sure your IT infrastructure can do the following before deciding to hire a data analyst:
Next, you need to examine your company's data culture. Does your company have a strong data culture? Companies with strong data cultures:
You also need to look at how much data your company has. If you only have small datasets, you don't have to hire a data analyst. Data analysts need lots of data to derive useful insights about your company.
Finally, you need to consider the type of data in your databases.
If your data is structured and only comes from a single source, a data analyst is a good pick for your team.
However, you should consider hiring a data scientist if your data is mostly unstructured and comes from various sources. As mentioned previously, data analysts typically don't have the skills or experience to work on unstructured datasets from different sources, since these datasets require expert knowledge of SQL, databases, ML, and AI.
Once your company is ready for a data analyst, it's time to make a list of essential data analyst skills. These include:
The best data analyst for your startup should have the following hard or technical skills:
Data visualization is the ability to present data findings through illustrations, graphics, and other visuals. The ideal data analyst should know how to use data visualization tools to explain data-driven insights to technical and non-technical audiences.
With data visualization, data analysts can help C-level executives and the marketing department spot patterns and understand complex issues at a glance.
Your hire should know how to clean data. Cleaning datasets will make extracting and analyzing insights easier. On the other hand, uncleaned data can produce confusing patterns and lead your company towards wrong conclusions.
The best data analyst for the job should boast advanced mathematical skills. Two specific mathematical fields that are particularly important in analytics are calculus and linear algebra. Calculus is used to build cost, objective, and loss functions that train algorithms to reach their goals. Linear algebra, on the other hand, has applications in ML and deep learning, where it supports tensor, vector, and matrix operations.
Like many other IT professionals, data analysts should have robust programming skills. Here are the top programming languages that data analysts should know:
Besides hard skills, your data analyst should also boast well-honed soft skills like communication skills, problem-solving skills, teamwork skills, and attention to detail. These skills don't require certification or training, but they have a large effect on whether your hire is a good fit for your company.
Here are the top soft skills you should look for:
If data analysts don't have the communication skills to present their findings effectively, their reports and insights can't help anyone. Knowing how to use Excel, SQL, and other tools isn't enough — data analysts need to know how to effectively summarize, present, and explain concepts and insights to technical and non-technical staff.
Data analysts must know how to solve problems when they crop up. They need to know how to stay calm and troubleshoot problems so that they can continue to look for answers. Your hire should also know how to collaborate with other teams and departments to solve big-picture issues.
Your hire should also know how to work with other departments and teams to get the job done. They should know how to work with the following:
The ideal data analyst should have an eye for detail. After all, they're looking at large datasets to locate small clues that point towards larger conclusions.
Data analysts need strong research skills to make sense of the information they've collected. They also use research to stay on top of company and industry trends so that they can get relevant insights from their data. Research is also useful when analysts are presenting their findings to management and defending their position on what the company should do next.
Data analysts also need to have sharp business acumen to create actionable insights for your company. Specifically, they need to know:
Learn More: Data Warehouse as a Service: How Does it Work?
Once you have a list of required hard and soft skills for data analysts, you need to think about salaries. A data analyst salary depends on skill and experience level, so let's look at the skills and expected salaries of entry-level, junior, and senior data analysts.
Learn More: Business Intelligence vs. Data Analytics: What's the Difference
Entry-level or beginner data analysts have zero to three years of experience. The vast majority are fresh grads with bachelor's degrees in Computer Science, Data Science, Mathematics, Statistics, or other related fields. Some may be recent graduates of boot camps or self-taught.
Since these data analysts have little to no relevant work experience, they have fewer skills and lower salaries. To help them reach their potential, consider giving them mentorship and educational opportunities.
According to Glassdoor, the average U.S.-based entry-level data analyst makes $64,051 per year.
Entry-level data analysts should have the following skills:
Junior data analysts have over two to four years of experience. Since they have a few years of real-life experience, you can expect more from them.
According to Glassdoor, the average U.S.-based data analyst earns $69,517 per year.
Junior data analysts are expected to have the following skills:
Senior data analysts have over four years of professional experience. According to Glassdoor, the average U.S.-based senior data analyst earns $96,809 per year.
A senior data analyst should have the following skills at a minimum:
Next, you need to write a clear and compelling data analyst job description to attract leading-edge talent. At a minimum, your job ad needs to cover the following:
Revelo is looking for a remote Senior Data Analyst to join our team.
You will be joining a highly collaborative Agile team. Although this position is fully remote, you can work in hybrid mode if you're located in San Diego, CA, where our U.S. head office is.
This role is open to Senior Data Analysts in the following time zones:
Company Description:
At Revelo, we use the latest analytic processes and tools to maximize our offerings and deliver top-notch customer service and support. Our mission is to match startups around the world with FAANG-calibre developers from Latin America.
Learn more about us on our website, www.revelo.com.
Responsibilities:
Requirements:
Nice-to-have skills:
Compensation:
Schedule:
The last step is to create thoughtful and informative data analyst interview questions to help assess a candidate's technical and soft skills, and their cultural fit within your company.
Many companies ask academic questions like "Define data science" and "How does SQL work?" These questions can show you how well an applicant knows their stuff, but they don't say much about the applicant's experience, work ethic, and personality.
Consider personalizing your questions to get a fuller understanding of a prospective hire and what they can do for your company. Here are some examples:
Picking the right data analyst for your company can be an uphill battle. Luckily, Revelo's got you covered. We'll help you find, hire, and manage FAANG-caliber data analysts all on one platform. Our developers have been pre-vetted for their skills, knowledge, and English proficiency.
Contact us today to start recruiting data analysts.
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