1. Introduction to Business Analysis
Introduction to Business Analysis
Copyright smart-BA 2008

2. Group Exercise – Objectives
Group Exercise – Objectives
List your objectives for this session.
Review the list of objectives against course content
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3. My Objectives (for you)
My Objectives (for you)
Increase your analytical ‘way of thinking’
Increase your understanding of the underlying structure of all Business Analysis and Business Analysis methods.
ultimately what we want to do is send you back to your company/projects/workplace so that you make a difference to the way that things are done.
Deliver real benefits to business…..
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4. Agenda
The what, who and why of Business Analysis
Practical exercise: doing analysis
The structure of Business Analysis
Practical exercise – doing analysis
Close

5. Putting the Business Analyst in context
Programme/Project Manager
“The sponsor will get it all,
now and for free”
Owner/sponsor
“I want it all
I want it now
I want it for free”
BUSINESS
ANALYST
Solutions developers
“Given all the other projects we are already doing for you, the best we can do is a bit, in 6 months and it will of course cost a bit”
Subject Matter Experts/Users
“We must have this
- and soon! -
or our business will fail”

6. Sponsor: We’re going to the moon!
Project Manager: ok, we have to plan…first off,
SME’s, what do you need?
SME: We’ll need a spaceship and spacesuits! Business Analysts: Do we need anything else?
Business Analysts: to answer your question I need to know…
Why are we going to the moon?
(Problem analysis)
How will we know it was a worthwhile trip?
(Objectives analysis)
Therefore - what will we need to ensure it is worthwhile?
(Requirements analysis)
Developer: in that case we need to develop solutions for the following requirements…

7.
Made the case that
BA is not a difficult thing to do in principle
It is difficult in practice because it demands provable ANALYSIS which means TIME AND THINKING – on projects these are often both in short supply
So long as the analysis is provable in your method/approach it doesn’t matter what method/approach you use
Beware the jargon – my current fav is Jidoka – add the human element to processes (from Lean)
When I am working as a BA my mantra is trust no-one, believe nothing, prove everything – and that should apply to how you do Business Analysis as well
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8. An example of rocket science...?
An example of rocket science...?
Mars Climate Orbiter went in to orbit at 57km above Mars instead of 150km.
It was completely destroyed.
Cause: some navigation calculations performed in Imperial units (pound-seconds) and some in metric units (newton-seconds).
Most project failures are due to incomplete/inaccurate requirements
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9. Discussion
What do you think are the other main causes of project failure? PLEASE DO NOT TURN THE PAGE YET

10. Why Projects Fail The Standish Group “Chaos Report” (1994)
The landmark study of project failure covering 365 executive managers and 8,380 applications in all major industry segments including: banking, retail and wholesale.
Some of the contents of this slide were taken from

11. How can BAs mitigate the main risks for project failure?
Discussion
How can BAs mitigate the main risks for project failure?

12. Cost of analysis errors
Cost of analysis errors
The cost of correcting analysis errors rises almost exponentially the longer they remain undetected.
Relative cost of correcting error
Barry Boehm
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13. How much poor analysis $costs
How much poor analysis $costs
40-56% of bugs can be traced to requirement errors
Finding and fixing requirement errors consumes 70-85% of project rework costs
The average project exceeds its planned time schedule by 120%
52.7% of projects will cost 189% of their original estimate
Only 16.2% of projects will be completed on time & on budget
Even in large companies, only 9% of projects meet original time/budget schedules
30% of projects are cancelled before completion.
Copyright smart-BA 2008

14.
Break?
1 hr?
Copyright smart-BA 2008

15. Discussion
What do you think a business analyst does? Should PMs do what BAs do and vice-versa?

16. Scope of the Business Analyst role
Scope of the Business Analyst role
There is a chain of reasoning that leads from the statement of a problem to the implementation of solutions…
…involving up to 10 groups of people…
Owners
defines measures of success and $targets
…Business Analysts confirm & document
$Money!
Strategists
determine the strategy to hit the targets
…Business Analysts help research, create strategy, challenge & document
Sponsors
establish a Programme that delivers the strategy
…Business Analysts document Programme TOR and help build the Business Case
Programme Managers
Institute Projects that implement the programme
…Business Analysts document the Project TOR
Project Stakeholders
…Business Analysts specify requirements for Projects (in the Business Model)
Design Analysts
design solution that satisfies the requirements
…Business Analysts write functional specifications, protect requirements & document compromises
Solution Builders
build solution
…Business Analysts protect requirements & document compromises
Solution Builders & Business
test solution
…Business Analysts ensure tested against requirements
Project managers
Implement solution
…Business Analysts help with
Process and data migration
Cutover planning
Rollout
Users
Accept solution
…Business Analysts help with
$MEASURING $BENEFITS $REALISATION
POST-IMPLEMENTATION
Business Analysts feed back to the Owner how well their measure of success has been achieved
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17. Definition of terms for “Business Analysis”
Business: why “Business”?
…should it be Change Requirements???
Analysis: “the process of breaking a concept down into more simple parts, so that its logical structure is displayed” (OED) a : examination of a complex, its elements, and their relations b : a statement of such an analysis (Merriam Webster)

18. Inductive VS Deductive Analysis
Induction:
a method of reasoning from a part to a whole, from particulars to generals, or from the individual to the universal.
Example: whenever I let go of a hammer, it falls to the ground. Therefore, every time I let go of a hammer it will fall to the ground.
Deduction:
a rigorous proof, or derivation, of one statement (the conclusion) from one or more statements (the premises)—i.e., a chain of statements, each of which is either a premise or a consequence of a statement occurring earlier in the proof.
Example: All fairies are pink. Tinkerbelle is a fairy. Therefore, Tinkerbelle is pink.
Which is better? That’s elementary, Watson.
Definitions from Encyclopaedia Britannica 2008

19. Team Exercise: Analysis isn’t just done by Business Analysts…
Team Exercise: Analysis isn’t just done by Business Analysts…
The names, not necessarily respectively, of the brakeman, fireman, and engineer of a certain train were Smith, Jones, and Robinson. Three passengers on the train happened to have the same names and, in order to distinguish them from the railway employees, will be referred to hereafter as Mr. Smith, Mr. Jones, and Mr. Robinson. Mr. Robinson lived in Manchester; the brakeman lived halfway between Lancaster and Manchester; Mr. Jones earned exactly $20,000 per year; Smith beat the fireman at darts; the brakeman's next-door neighbour, one of the passengers, earned exactly three times as much as the brakeman; and the passenger who lived in Lancaster had the same name as the brakeman.
How can you prove that the engineer must have been called Smith?
Deliverables: flipchart presentation that proves the solution is correct.
Time: 1 hour
1hr 40mins
Copyright smart-BA 2008

20. Break?

21. The structure of Business Analysis

22. Setting the scene: scope of the Business Analyst role
POST-IMPLEMENTATION
Business Analysts feed back to the Owner how well their measure of success has been achieved
Owners
defines measures of success and $targets
…Business Analysts confirm & document
Strategists
determine the strategy to hit the targets
…Business Analysts help do market research, create strategy, challenge & document
Sponsors
establish a Programme that delivers the strategy
…Business Analysts document Programme TOR and help build the Business Case
Programme Managers
Institute Projects that implement the programme
…Business Analysts document the Project TOR
Project Stakeholders
…Business Analysts specify requirements for Projects (in the Business Model)
Design Analysts
design solution that satisfies the requirements
…Business Analysts write functional specifications, protect requirements & document compromises
Project managers
Implement solution
…Business Analysts help with
Process and data migration
Cutover planning
Rollout
Solution Builders & Business
test solution
…Business Analysts ensure tested against requirements
Solution Builders
build solution
…Business Analysts protect requirements & document compromises
Users
Accept solution
$MEASURING $BENEFITS $REALISATION
Setting the scene: scope of the Business Analyst role
$Money!
…involving up to 10 groups of people…
There is a chain of reasoning that leads from the statement of a problem to the implementation of solutions…
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23.
Chain Of Reasoning:
There is a chain of reasoning that leads from the sufficient definition of the problem to the sufficient definition of the requirements for the solution.
Break any one link in the chain and the rest of the chain is unsupported: un-provable.
There are (almost!) infinitely more ways to get a solution wrong than right.
BLACK HOLE – projects that get it wrong
REQUIREMENTS – wrong until PROVED right…so HOW do you PROVE that?
Change Requirements must be assumed to be wrong until they are proved to be right
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24. Scope of analysis of change requirements
Change requirements can be for (amongst others)
Processes
Organisation units
Locations
Channel
Data
Applications
Technologies
Non-functionals
…oh – and the valid intersections!!!
IF:
All change projects must consist of changes to business capabilities
THEN:
all analysis methods must analyse changes to business capabilities
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25. Requirements Scope - Example
We need to change how we take orders (process)…
…by the tele-orders team (organisation unit)…
…at our Leeds contact centre (location)…
…by phone or (channel)
…to capture alternate delivery addresses (data)…
…on the Chordiant system (application)…
…running on the intranet (technology)…
…and make it available 24/7/365 (non-functional).

26. All the Links in the Chain Of Reasoning
Driver
The problems / opportunities that the business face
Key
Many
One
Addressed as
measured by
The measures and targets that will enable us to declare the change project has been successful
Project
Objective
Delivered by
Definitions of what changes are required that will affect the measures of success (objectives) sufficiently for the project to be declared successful
Change
Requirement
Driver: Problems that the business must solve
Opportunities the business can exploit
Rules that the business must conform to
…etc
Vision: The ideal state of the business after the drivers have been addressed
Objective: The measures of success that will
DEFINE if a project has been successful:
Increase [measure] to the value of …
Decrease [measure] to the value of …
Maintain [measure] at the value of …
Deliverable: The output of a project that affects the Objectives in the desired way.
Function
Business Procedure
Technology
Skill
Proof of compliance
Benefit: Which (and how much?) Deliverable
contributes to which Objective
Requirement: Functional
Non-functional
Scope (Org, App and Tech)
Data
Requirement Benefit: Which (and how much?) each Requirement
contributes to which Benefit
Business Rule: Process model
Data model
Rule definition
Business logic
Requirement Business Rule: Which rules are utilised within which Requirements
EXAMPLE:
Driver:
Don’t know how to get to Olympia on the tube
Taxi arriving in 20 minutes
My computer is packed up
Vision:
I have no problems knowing which tubes to get when I arrive at Euston, and where to change, to get to Olympia
Objective:
I have the knowledge to get me from Euston to Olympia the time the taxi arrives
Deliverable:
A map of the tube stations from Euston to Olympia
Requirement
To know which tube line and direction I need from Euston
To know at which tube station to change tube trains and lines
To know what direction of travel I need
To know when I have arrived at Olympia
Business Rule
The tube line is highlighted for all tube stations
The tube lines I need to take is highlighted
The tube stations I need to use are highlighted
The direction of travel is indicated from any tube station I need to depart from for the relevant tube line
Kensington is the tube stop for Olympia
Enforces
What rules must be implemented by the changes specified in the requirements
Business Rule
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27. How to forge links in the Chain Of Reasoning
How to forge links in the Chain Of Reasoning
Key
Many
One
Driver
Problem / opportunity analysis
Addressed as
measured by
Specific – there is a precise definition of the objective
Measurable – there are units that the objective will be measured in
Achievable – the measures can be achieved ‘in the real world’
Relevant –this project will actually affect this objective
To-die-for – the project has failed if it does not achieve the objective
Project
Objective
SMART objectives
Delivered by
Business…
Functional…
Non-functional…
…high level
…mid level
Change
Requirement
Driver: Problems that the business must solve
Opportunities the business can exploit
Rules that the business must conform to
…etc
Vision: The ideal state of the business after the drivers have been addressed
Objective: The measures of success that will
DEFINE if a project has been successful:
Increase [measure] to the value of …
Decrease [measure] to the value of …
Maintain [measure] at the value of …
Deliverable: The output of a project that affects the Objectives in the desired way.
Function
Business Procedure
Technology
Skill
Proof of compliance
Benefit: Which (and how much?) Deliverable
contributes to which Objective
Requirement: Functional
Non-functional
Scope (Org, App and Tech)
Data
Requirement Benefit: Which (and how much?) each Requirement
contributes to which Benefit
Business Rule: Process model
Data model
Rule definition
Business logic
Requirement Business Rule: Which rules are utilised within which Requirements
EXAMPLE:
Driver:
Don’t know how to get to Olympia on the tube
Taxi arriving in 20 minutes
My computer is packed up
Vision:
I have no problems knowing which tubes to get when I arrive at Euston, and where to change, to get to Olympia
Objective:
I have the knowledge to get me from Euston to Olympia the time the taxi arrives
Deliverable:
A map of the tube stations from Euston to Olympia
Requirement
To know which tube line and direction I need from Euston
To know at which tube station to change tube trains and lines
To know what direction of travel I need
To know when I have arrived at Olympia
Business Rule
The tube line is highlighted for all tube stations
The tube lines I need to take is highlighted
The tube stations I need to use are highlighted
The direction of travel is indicated from any tube station I need to depart from for the relevant tube line
Kensington is the tube stop for Olympia
Enforces
Process model
Process specification
Non-functional specifications
Data model
Attribute specification
…low level
Business Rule
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28. EXAMPLE way of documenting…
Driver
Problem / opportunity analysis
Driver: Problems that the business must solve
Opportunities the business can exploit
Rules that the business must conform to
…etc
Vision: The ideal state of the business after the drivers have been addressed
Objective: The measures of success that will
DEFINE if a project has been successful:
Increase [measure] to the value of …
Decrease [measure] to the value of …
Maintain [measure] at the value of …
Deliverable: The output of a project that affects the Objectives in the desired way.
Function
Business Procedure
Technology
Skill
Proof of compliance
Benefit: Which (and how much?) Deliverable
contributes to which Objective
Requirement: Functional
Non-functional
Scope (Org, App and Tech)
Data
Requirement Benefit: Which (and how much?) each Requirement
contributes to which Benefit
Business Rule: Process model
Data model
Rule definition
Business logic
Requirement Business Rule: Which rules are utilised within which Requirements
EXAMPLE:
Driver:
Don’t know how to get to Olympia on the tube
Taxi arriving in 20 minutes
My computer is packed up
Vision:
I have no problems knowing which tubes to get when I arrive at Euston, and where to change, to get to Olympia
Objective:
I have the knowledge to get me from Euston to Olympia the time the taxi arrives
Deliverable:
A map of the tube stations from Euston to Olympia
Requirement
To know which tube line and direction I need from Euston
To know at which tube station to change tube trains and lines
To know what direction of travel I need
To know when I have arrived at Olympia
Business Rule
The tube line is highlighted for all tube stations
The tube lines I need to take is highlighted
The tube stations I need to use are highlighted
The direction of travel is indicated from any tube station I need to depart from for the relevant tube line
Kensington is the tube stop for Olympia
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29. EXAMPLE way of documenting…
EXAMPLE way of documenting…
Driver
Problem / opportunity analysis
Addressed as
measured by
Project
Objective
SMART objectives
Driver: Problems that the business must solve
Opportunities the business can exploit
Rules that the business must conform to
…etc
Vision: The ideal state of the business after the drivers have been addressed
Objective: The measures of success that will
DEFINE if a project has been successful:
Increase [measure] to the value of …
Decrease [measure] to the value of …
Maintain [measure] at the value of …
Deliverable: The output of a project that affects the Objectives in the desired way.
Function
Business Procedure
Technology
Skill
Proof of compliance
Benefit: Which (and how much?) Deliverable
contributes to which Objective
Requirement: Functional
Non-functional
Scope (Org, App and Tech)
Data
Requirement Benefit: Which (and how much?) each Requirement
contributes to which Benefit
Business Rule: Process model
Data model
Rule definition
Business logic
Requirement Business Rule: Which rules are utilised within which Requirements
EXAMPLE:
Driver:
Don’t know how to get to Olympia on the tube
Taxi arriving in 20 minutes
My computer is packed up
Vision:
I have no problems knowing which tubes to get when I arrive at Euston, and where to change, to get to Olympia
Objective:
I have the knowledge to get me from Euston to Olympia the time the taxi arrives
Deliverable:
A map of the tube stations from Euston to Olympia
Requirement
To know which tube line and direction I need from Euston
To know at which tube station to change tube trains and lines
To know what direction of travel I need
To know when I have arrived at Olympia
Business Rule
The tube line is highlighted for all tube stations
The tube lines I need to take is highlighted
The tube stations I need to use are highlighted
The direction of travel is indicated from any tube station I need to depart from for the relevant tube line
Kensington is the tube stop for Olympia
Copyright smart-BA 2008 29

30. EXAMPLE way of documenting…
Driver
Problem / opportunity analysis
Addressed as
measured by
Project
Objective
SMART objectives
Delivered by
Business…
Functional…
Non-functional…
…high level
…mid level
Change
Requirement
Driver: Problems that the business must solve
Opportunities the business can exploit
Rules that the business must conform to
…etc
Vision: The ideal state of the business after the drivers have been addressed
Objective: The measures of success that will
DEFINE if a project has been successful:
Increase [measure] to the value of …
Decrease [measure] to the value of …
Maintain [measure] at the value of …
Deliverable: The output of a project that affects the Objectives in the desired way.
Function
Business Procedure
Technology
Skill
Proof of compliance
Benefit: Which (and how much?) Deliverable
contributes to which Objective
Requirement: Functional
Non-functional
Scope (Org, App and Tech)
Data
Requirement Benefit: Which (and how much?) each Requirement
contributes to which Benefit
Business Rule: Process model
Data model
Rule definition
Business logic
Requirement Business Rule: Which rules are utilised within which Requirements
EXAMPLE:
Driver:
Don’t know how to get to Olympia on the tube
Taxi arriving in 20 minutes
My computer is packed up
Vision:
I have no problems knowing which tubes to get when I arrive at Euston, and where to change, to get to Olympia
Objective:
I have the knowledge to get me from Euston to Olympia the time the taxi arrives
Deliverable:
A map of the tube stations from Euston to Olympia
Requirement
To know which tube line and direction I need from Euston
To know at which tube station to change tube trains and lines
To know what direction of travel I need
To know when I have arrived at Olympia
Business Rule
The tube line is highlighted for all tube stations
The tube lines I need to take is highlighted
The tube stations I need to use are highlighted
The direction of travel is indicated from any tube station I need to depart from for the relevant tube line
Kensington is the tube stop for Olympia
Copyright smart-BA 2008 30

31. EXAMPLE way of documenting…
Driver
Problem / opportunity analysis
Addressed as
measured by
Project
Objective
SMART objectives
Delivered by
Business…
Functional…
Non-functional…
…high level
…mid level
Change
Requirement
Driver: Problems that the business must solve
Opportunities the business can exploit
Rules that the business must conform to
…etc
Vision: The ideal state of the business after the drivers have been addressed
Objective: The measures of success that will
DEFINE if a project has been successful:
Increase [measure] to the value of …
Decrease [measure] to the value of …
Maintain [measure] at the value of …
Deliverable: The output of a project that affects the Objectives in the desired way.
Function
Business Procedure
Technology
Skill
Proof of compliance
Benefit: Which (and how much?) Deliverable
contributes to which Objective
Requirement: Functional
Non-functional
Scope (Org, App and Tech)
Data
Requirement Benefit: Which (and how much?) each Requirement
contributes to which Benefit
Business Rule: Process model
Data model
Rule definition
Business logic
Requirement Business Rule: Which rules are utilised within which Requirements
EXAMPLE:
Driver:
Don’t know how to get to Olympia on the tube
Taxi arriving in 20 minutes
My computer is packed up
Vision:
I have no problems knowing which tubes to get when I arrive at Euston, and where to change, to get to Olympia
Objective:
I have the knowledge to get me from Euston to Olympia the time the taxi arrives
Deliverable:
A map of the tube stations from Euston to Olympia
Requirement
To know which tube line and direction I need from Euston
To know at which tube station to change tube trains and lines
To know what direction of travel I need
To know when I have arrived at Olympia
Business Rule
The tube line is highlighted for all tube stations
The tube lines I need to take is highlighted
The tube stations I need to use are highlighted
The direction of travel is indicated from any tube station I need to depart from for the relevant tube line
Kensington is the tube stop for Olympia
Enforces
Process model
Process specification
Non-functional specifications
Data model
Attribute specification
…low level
Business Rule
Copyright smart-BA 2008 31

32. Process execution rules
EXAMPLE PROCESS RULES
A BA can request one of 4 types of support:
Phone or based query about a specific point
Informal review of a project deliverable
Formal review of full set of project deliverables
Facilitated workshop of how to apply analysis to a specific project
1. In the case of phone or query about a specific point
the BA poses the question and the training provider will provide guidance for how the technicalities of Business Analysis apply to the problem
Informal reviews of project deliverables will be done by and will only discuss the technicalities of Business Analysis in relation to the document
Formal reviews will involve the BA sending the full set of Analysis deliverables to the training provider who will critique them from a technical perspective and then deliver the feedback in a one-to-one structured feedback session on the client site
Facilitated workshops will be initiated by the BA - the training provider will supply workshop agenda and prerequisites which the BA will use to organise the workshop. The training provider will then facilitate the workshop for the project.
Process execution rules
Who is interacts with process
Where they are
Availability of process
Volumetrics
Performance of process
Security & Authorisation levels
Non-functional Rules
Time to start
Training course
BA requests
support
Conduct
Training
Provide
BA support
Analysis Phase
Of Project
concludes
Monitor
Analysis
quality
Process dependency rules

33. Data relationship rules
EXAMPLE DATA RULES
Attributes
Name
Start Date
Course duration
Contact details
Content
Review feedback
Description
Course.Start Date
Definition: the date/time the course is scheduled to start
Data type: Numeric
Size: 12
Domain: Datetime
Data rules:
Format is DD/MM/YYYY HH:MM
When created must be in the future
Cannot be a Saturday or Sunday or Bank Holiday
Data content rules
Who is allowed access to the data?
How long must this data be kept?
How many instances of it must be supported?
Non-Functional Rules
Course
Attends
Delegate
Support Type
receives
Supplies
Data relationship rules
Analysis
Deliverable

34. Requirements – the good, the bad and the ugly…
Review and critique:
All I want is a flag to identify premium customers
We need to complete the project in 3 months for no more than $50,000
We need to be able to store symbols for customer names – remember the Artist Formally Known as Prince?
We need access from remote locations
We need a diary system.

35. Break?

36. Team Exercise: Doing Analysis that Business Analysts do!
You are teams of competing providers of Business Analysis.
You are bidding for work with a client.
They have given you an information pack outlining their understanding of the project.
You are to present back to the client sponsor your proposed
Project Drivers
Objectives
Project Functional Requirements
Project Non-Functional Requirements
Be sure that you can justify every one of your proposed objectives and requirements.
If you need to make an assumption in order to proceed, document it

37. Team Exercise: Doing Analysis that Business Analysts do!
You can ask about how to complete the exercise, but not about the case study itself.
You will only have a maximum of 10 minutes to present the objectives and requirements to the client sponsor.
The client sponsor will award the contract based on the quality of analysis (not necessarily correctness) of your proposal.
Time allowed: 1 hour
Deliverables: Flipchart presentation to client sponsor.
Tip: use the formats in the previous slides for documenting your analysis!

38. REVIEW Key messages
Business Analysis – Change Requirements Analysis
How much can a poor piece of analysis cost a project – lots!
What skills are required by a good BA – analytical skills
Most bad BA’s can be turned into good BA’s – training & mentoring and peer group review

39. You are not alone! www.smart-BA.com www.BusinessAnalystSolutions.com
Articles
Distance learning mentored programme
Sample analysis documentation
Classroom based training
Excellent BA community
Forums
Another excellent BA community
BA professional organisation
BA professional qualifications (CBAP)
BA professional qualifications (ISEB Diploma)

40. Questions?

41. mail: Guy@smart-BA.com phone: 07793 231428
If you would like to discuss anything further:
mail:
phone:
web:
2.5 hours
Copyright smart-BA 2008