
If you’ve ever wondered whether your business needs a data engineer, a data scientist, or a data analyst, you’re not alone. Many companies know they need “data people” but aren’t sure which role will actually solve their problems.
This guide breaks down the differences between these three critical roles, what each one does, and most importantly, who you should hire first.
Why These Roles Get Confused
The terms data engineer, data scientist, and data analyst are often used interchangeably, but they are not the same job. They work together in the data ecosystem.
Data engineers build and maintain the systems that collect and organize data.
Data analysts turn that data into reports and insights.
Data scientists use advanced techniques and machine learning to predict future outcomes.
Think of it like building a house. The data engineer lays the foundation and sets up the plumbing and wiring. The data analyst decorates and explains how the rooms are used. The data scientist designs futuristic upgrades like smart home automation.
What Does a Data Engineer Do?
A data engineer is responsible for making raw data usable. Their main focus is on infrastructure, scalability, and data quality.
Key responsibilities include: designing and building data pipelines, setting up data warehouses and cloud platforms, cleaning and transforming raw data into usable formats, and ensuring data is accessible and reliable for analysts and scientists.
Common tools include: SQL, Python, Scala, Apache Spark, Hadoop, Airflow, and platforms such as AWS, GCP, Azure, and Snowflake.
When to hire a data engineer: Your company has data spread across multiple systems, reporting takes too long because the data is messy, or you’re scaling and need infrastructure to handle big data.
Without a data engineer, analysts and scientists often waste 60–80% of their time just cleaning data.

What Does a Data Analyst Do?
A data analyst is focused on interpreting data and helping the business make decisions.
Key responsibilities include: writing queries to pull data from databases, building dashboards and visualisations, creating reports for business stakeholders, and answering ad hoc questions like “Why did sales drop last quarter?”
Common tools include: SQL, Excel, Power BI, Tableau, and Looker.
When to hire a data analyst: You have clean, organised data but need to extract business insights, your team needs regular reporting and visualisations, or decision-makers want to track KPIs and trends.
What Does a Data Scientist Do?
A data scientist applies advanced statistical and machine learning techniques to build predictive models.
Key responsibilities include: creating forecasting models, running experiments, building recommendation systems, and applying AI and machine learning for automation and optimisation.
Common tools include: Python, R, TensorFlow, PyTorch, and Scikit-learn.
When to hire a data scientist: You already have reliable data infrastructure, your analysts are maxed out and you need advanced forecasting, or you want to move into personalisation, predictive analytics, or AI-driven automation.

Quick Comparison: Data Engineer vs Data Analyst vs Data Scientist
Role | Main Focus | Tools | When to Hire |
---|---|---|---|
Data Engineer | Infrastructure, pipelines, data cleaning | SQL, Python, Spark, AWS/GCP/Azure | Messy, siloed, or growing data |
Data Analyst | Reports, dashboards, business insights | SQL, Excel, Tableau/Power BI | Data is clean but decisions need support |
Data Scientist | Prediction, ML models, AI | Python, R, TensorFlow | Advanced forecasting and automation |
Who Should You Hire First?
Here’s the rule of thumb.
Start with a data engineer. Without them, your data foundation will be shaky, and other roles won’t add full value. Next, add a data analyst to interpret and communicate insights. Finally, hire a data scientist once you’re ready to leverage predictive models and machine learning.
Many businesses jump straight to hiring a data scientist, only to realise they don’t have the infrastructure to support advanced analytics. In reality, the data engineer is the cornerstone of any modern data team.
Final Thoughts
Data engineers, analysts, and scientists are all vital, but they serve very different purposes. If your company is struggling with messy, inconsistent, or inaccessible data, the person you need first is a data engineer.
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Nick Derham
Director • C-Suite Executive Recruitment Specialist
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