What is Business Engineering?

Togar M. Simatupang

School of Business and Management

Bandung Institute of Technology

22 September 2016

Overview

• Introduction

• What is BE?

• Bachelor of Business Engineering

• Similar concepts of BE

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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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What is Business Engineering?

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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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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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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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Wirtschaftsingenieur

Source: http://www.der-wirtschaftsingenieur.de/index.php/wirtschaftsingenieure-ideale-unternehmensgrunder/

Wirtschaftswissenschaften

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

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.

Scope of Business Engineering

Source: http://www.business-engineer.eu/11

Scope of Business Engineering

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Multi-Perspective Enterprise Modelling

(MEMO)

Source: https://www.wi-inf.uni-duisburg-essen.de/FGFrank/index.php?lang=de&groupId=1&contentType=ResearchInterest&topicId=10

Business Engineering Framework

Source: https://www.ikm.tu-berlin.de/menue/forschung/telekommunikations-_management/14

ARIS House of Business Engineering

Source: http://www.orms-today.org/orms-4-04/frbusiness.html15

ARIS - House of Business Engineering

Bachelor Degree of Business Engineering

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Bachelor of Business EngineeringUniversiti 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 18

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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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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Similar Concepts of Business Engineering

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MetriksBusiness

Engineering

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Source: http://www.metriks.de/business-engineering.html

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Die 4 Phasen eines Business Engineering Projektes

http://www.jank-consulting.de/kompetenz.php

Engineering Approach

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

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Business Value Engineering

Model Driven Enterprise Engineering™

Source: http://www.knowgravity.com/solutions

Improvement Process

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Thank You

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