How to Do a Gap Analysis

GAP analysis is a process typically performed by Business Analysts and Project Managers for a company or a line of business within a larger organisation. Gap analysis is an assessment tool used to find the deviation or gap between what exists versus what is needed or desired. This guide will provide an outline template to help you perform gap analysis for your business needs.

Open a blank workbook in Excel. Click on "Start," "All Programs," "Microsoft Office," Microsoft Excel," "Office Button," "New," "Blank Workbook" and then "Create."

Rename "Sheet 1" to "Currently Exists" by double clicking on the tab and typing the new name.

Rename "Sheet 2" to "Desired Outcome".

Rename "Sheet 3" to "GAP".

In the sheet named "Currently Exists" make a list of all measurable data related to the current product, process, technology, or service.

In the sheet named "Desired Outcome" make a list of what is expected or desired of the product, process, technology, or service.

In the sheet named "GAP," list or highlight the differences between what the "Desired Outcome" sheet has versus what the "Currently Exists" sheet has. This is the gap.


GAP analysis can be performed on almost any product, service, project, or endeavour a business wishes to analyse and improve upon. It is also a good marketing research tool. Based upon what your gap analysis is used for additional sheets may need to be created as well charts, graphs, and pivot tables to give a visual quantification of your analysis.


GAP analysis is not a standard process and needs to be tailored to the needs of the business. The goal is use the gap analysis to figure out what is needed to get what currently exists to the point where it becomes what the company desires (what is needed to get from point A to point B). GAP analysis can be a long process and is not recommended for someone who is not well versed at analysing data and quantifying it. While not a requirement, knowledge of project management and business analyst skills is optimal to possess before attempting to do any gap analysis. It is imperative to have all Critical Data related to where business currently is and where the business wishes to be in order for the gap analysis to be thorough. Gap analysis is rarely a one and done process. It may be revisited frequently due to changes in needs of the business. Gap analysis is not a resolution, it helps to pinpoint the missing pieces so that a resolution can be made from the analysis.

Things You'll Need

  • All data pertaining to the product, process, technology, or service that exists
  • All data pertaining to the desired end result of the product, process, technology, or service your business is striving for
  • Microsoft Excel
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About the Author

ShawnTe Pierce is a fashion designer and writer with more than 10 years of experience. Her work has appeared on Woman's Day and The Frisky, among other online publications. Pierce has a Bachelor of Science in apparel design from the University of Delaware.