THE 30,000 FOOT VIEW by Lester
Dominick
PLAYING BY THE RULES -
thinking
through incremental business processes
The term “Business
Rule Engine” (BRE) has become a buzzword in the mortgage industry. As mortgage
software suppliers provide clientele with products that offer more advanced
automation processes, embedding business rule engines into system platforms is
becoming the norm.
Those
wondering what all the fuss is about will find the answer simple: It’s the
“logical” thing to do.
A
Business Rule Engine stores and controls all the logic of a system’s processes.
Business rules transform a company’s concepts into definable business logic
that is contained within a structured format and may be easily obtained by the
end-user from the engine. BREs replace ambiguity by creating an organizational
structure based on business intent, eliminating assumptions and guesswork.
By
embedding a BRE into the core system, vendors give customers greater control
over their own product offerings and business processes. Customers have the
ability to customize system responses and internal processes, according to
their specific needs and without third-party intervention. This provides
immediate benefits in the areas of system security, product and pricing
criteria and process compliance.
Business
rules create a check-and-balance system and can interface directly with a
workflow component, driving compliance intuitively.
For
example, a rule can be written so that loan officers see only those products
that match the borrower’s qualifying criteria, eliminating written product
lists that are often outdated. It also drives new product promotion by
automatically matching borrowers with products and allows an organization to
adapt quickly to changing market conditions. Tasks such as ordering third party
services are only allowed if the rules criterion is met and then can be an
automated function. Business rules can present processors just those screens
that they need to complete their assigned tasks, based on previously inputted
borrower data. A rule engine also serves as a control mechanism by preventing
users from altering defined data fields, protecting information
confidentiality.
Adaptable and efficient
By
capturing business intent, authoring and verifying complex rules and
calculations, a business rule engine enables a product to be adaptable and efficient
without the overhead expense of a major system overhaul.
While
assessing our decision to incorporate a commercial BRE into LoanQuest.NET, MortgageFlex researched
a number of competitors before selecting InRule® Technology’s product. We
implemented a strong evaluation process for the competition, and in the end, we
selected the vendor that best met our customer’s needs and challenges. InRule® Technology encourages users to start
“Thinking in Rules” to better service their business and make products
spontaneously adaptable.
InRule®
contains all the necessary elements to provide decision makers with flexible
applications that can be altered to reflect changing business requirements. Our
customers have complete control over the rules and logic of their products,
making counter-cyclical benefits available during lean origination periods to
both small and large companies.
In
summary, BREs challenge us to think through incremental business processes,
creating a synergy between business philosophy and Information Technology. To
produce agile and automated business functions and applications, business
services need to be combined with the right tools. Playing by the rules is a
good beginning.
Lester Dominick
is president and CEO of MortgageFlex Systems, Inc. He founded the company in
1980 to provide consulting services and software to the mortgage banking
industry and has served as president since inception. Dominick was named an
“Industry Pioneer” this year by Mortgage Banking Magazine in its annual “All
Star” review. www.mortgageflex.com
To
learn more about Business Rules…