Wednesday, July 15, 2009

Business rule

Business rule is a statement that defines or constrains some aspect of the business. It is intended to assert business structure or to control or influence the behavior of the business. Individual business rules that describe the same facet of an enterprise are usually arranged into business rule sets. 

Business rules describe the operations, definitions and constraints that apply to an organization in achieving its goals. Business rules are means by which Strategic management is implemented. Business rules exist for an organization whether they are ever written down, talked about or even part of the organization’s consciousness.

The rules tell an organization what it can do in detailed tactics, while the strategy tells it how to focus the business at a macro level to optimize results. Put differently, a strategy provides high-level direction about what an organization should do. Business rules can provide the tactical detail about exactly how a strategy will translate to actions.

Business rules exist for an organization whether or not they are ever written down, talked about or even part of the organization’s consciousness. However it is a business rules in at least a very informal manner. Organizations may choose to proactively describe their business practices in a database of rules

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