Definition of business engineering and approaches

1. What is Business
Engineering?
Togar M. Simatupang
School of Business and Management
Bandung Institute of Technology
22 September 2016

2. Overview
• Introduction
• What is BE?
• Bachelor of Business Engineering
• Similar concepts of BE
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3. Introduction
• Businesses nowadays become more complex due to
globalization and regional integration.
• ASEAN Economic Community has recently started since 31
December 2015.
• Universities need to respond to AEC by providing an effective
way to develop competent human resources to be able to
play a key role in business creation and development.
• Business Engineering is a business discipline which is based on
the applications of engineering principles to business.
• This presentation aims to introduce Business Engineering
originally from Germany.
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4. What is Business Engineering?
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5. What is Engineering?
• The profession in which a knowledge of the
mathematical and natural science gained by
study, experience, and practice is applied with
judgment to develop ways to utilize,
economically, the materials and forces of nature
for the benefit of mankind (ABET).
• Engineering is the application of science and
math to solve technical problems and create new
systems, products or devices to benefit
civilization.
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6. Career Paths
• Graduates from engineering programs are called engineers
and often pursue entry-level work involving conceptual
design or research and development. Many continue on to
graduate-level work in engineering.
• Graduates of four-year engineering technology programs
are called technologists, while graduates of two-year
engineering technology programs are called technicians.
• These professionals are most likely to enter positions in
sectors such as construction, manufacturing, product
design, testing, or technical services and sales.
• Those who pursue further study often consider
engineering, facilities management, or business
administration.
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7. The concept of Business Engineering
• The business engineering concept enables the
transformation of enterprises from the
industrial age into the information age by
means of procedure models, methods, and
tools.
– Osterle, H. (1995), Business in the Information Age:
Heading for New Processes, Springer, Berlin.
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8. Wirtschaftsingenieur
Source: http://www.der-wirtschaftsingenieur.de/index.php/wirtschaftsingenieure-ideale-unternehmensgrunder/

9. Wirtschaftswissenschaften
Source: http://www.wiwi.kit.edu/profil.php 9

10. The concept of business engineering
• van Meel and Sol (1996) have used the term "business engineering"
to refer to a single umbrella and facilitate the integral design of
both organizational structures and information systems.
– System science, mathematical statistics, and socio-technical design are
merged into a design approach, a design theory, and a set of
automated tools.
• The business engineering approach was developed by Österle
(1995, p. 13) to describe the corporate reality, it separates the three
layers strategy, processes and information systems.
– The strategy layer determines the business model and proposes the
goals that need to be achieved for the success of the company.
– The process layer creates the output needed to fulfill the goals of the
strategy.
– The information systems support the processes in creating the
outputs, sometimes actually enabling the processes to fulfill the
requirements of customers.
Source:
• Österle, H. (1995), Business in the Information Age: Heading for new Processes, Springer, Berlin.
• van Meel, J.W. and Sol, H.G. (1996), "Business engineering: dynamic modelling instruments for a dynamic world", Simulation and
Gaming, Vol. 27 No. 4, pp. 440-61.

11. Scope of Business Engineering
Source: http://www.business-engineer.eu/
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12. Scope of Business Engineering
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13. Multi-Perspective
Enterprise Modelling
(MEMO)
Source: https://www.wi-inf.uni-
duisburg-
essen.de/FGFrank/index.php?la
ng=de&groupId=1&contentType
=ResearchInterest&topicId=10

14. Business Engineering Framework
Source: https://www.ikm.tu-berlin.de/menue/forschung/telekommunikations-_management/
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15. ARIS House of Business Engineering
Source: http://www.orms-today.org/orms-4-04/frbusiness.html
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16. ARIS - House of Business Engineering

17. Bachelor Degree of Business
Engineering
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18. Bachelor of Business Engineering
Universiti Malaysia Pahang (UMP)
• The Bachelor of Business Engineering program in UMP is a Dual Degree
Program with EBS Business School, Reutlingen University (HsR), Germany.
Students enrolled in this program will complete their first and second year
of study in UMP and continue their third and fourth year of study in HsR.
• This program assimilates the knowledge of Business and Engineering,
allowing graduates to gain competitive edge in technically oriented
business positions. Our graduates will be leaders in business engineering
through the integration of business engineering knowledge and skills in
innovating business practices.
• Tuition fees: RM 550.00
• Start date: Expected September 2017
• Venue: Universiti Malaysia Pahang (UMP), Lebuhraya Tun Razak, Pahang
Darul Makmur, KUANTAN, Pahang, 26300, Malaysia
Source: http://fim.ump.edu.my/index.php/en/academic/undergraduate/bachelor-of-business-engineering
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19. Dual Degree between Universiti Malaysia
Pahang (UMP) and Reutlingen University
• FACULTY OF INDUSTRIAL MANAGEMENT UMP
– The Faculty of Industrial Management (FIM) is part of Universiti
Malaysia Pahang (UMP). FIM was established to provide enriching
teaching and learning experience through creative convergence of
business and technology. Throughout the years, FIM has distinguished
itself as a business school while continues to grow and nurture future
innovative leaders as well as to meet the challenges of the globalised
environment.
• ESB BUSINESS SCHOOL
– ESB Business School is part of Reutlingen University, a state-owned
university in Baden-Württemberg, Germany. It is also a leading
international business schools, and one of the first state institutions to
offer integrated international degrees. As of 2014, ESB Business
School’s program, Business Administration and Operations
Management was ranked first in the Wirtschaftswoche 2014 survey,
among other business schools in Germany.
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20. Elective Courses
Business Subjects
1. Supply Chain Control &
Management Control Systems
2. Advanced Project Management
& Control
3. Lean Management
4. Simulation Game
5. Technical Planning Case
6. Innovation & Technology
Management
7. HR Management
8. International Business
Environment
Engineering Subjects
1. Intra-Logistics
2. Distribution Logistics
3. International Transport Logistics
4. Warehouse & Inventory Planning
5. Database Systems
6. Sustainability/Energy Efficiency
7. Power Management (Electrical
Grids)
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21. Similar Concepts of Business
Engineering
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25. Metriks
Business
Engineering
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Source:
http://www.metriks.de/business-
engineering.html

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28. Die 4 Phasen eines Business
Engineering Projektes
http://www.jank-consulting.de/kompetenz.php

29. Engineering Approach
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Source: http://www.engineeringnewworld.com/?p=240

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Business Value Engineering

33. Model Driven Enterprise Engineering™
Source: http://www.knowgravity.com/solutions

34. Improvement Process
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36. Thank You
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