Business analysis glossary
Business Requirement
What it is
A business requirement states a goal or need of the organisation, usually without saying how a system will meet it. It explains why the project exists and what the business wants to achieve or fix. For example, it might say reduce call volume, comply with a new regulation or let customers buy online, and it is normally owned by a senior business person.
Why it matters
Business requirements keep detailed designs honest. If a proposed feature cannot be traced back to a business requirement, it may not be worth building. They also help sponsors approve a project quickly, since they can read the goals without wading through technical detail.
Example
For Tidewater Insurance: "Customers must be able to check the status of a claim without phoning the contact centre." It names the need and leaves the solution, whether app, email or web page, open for later requirements. Later documents then add functional requirements, such as the rules for displaying the status and the exact wording of messages.