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Related Terms

Workflow Engine

DEFINITION

Rule Engine

A rule engine is a software component that allows business rules, logic, and decision-making criteria to be defined, stored, and executed separately from the core application code. It enables complex conditional processing and calculations to be externalized and managed by business users rather than hard-coded by developers.

Synonyms

Business Rules Management System (BRMS)

Acronyms

BRE (Business Rule Engine)

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Synonyms

Business Rules Management System (BRMS)

Acronyms

BRE (Business Rule Engine)

Examples

The bank’s credit decision rule engine automatically determines whether a loan application can be auto-approved or needs additional manual underwriting based on factors like the applicant’s credit score, debt-to-income ratio, and the loan-to-value ratio.

FAQ

Rule engines allow business logic to be defined and modified separately from application code, enabling faster change cycles, improved flexibility, and reduced reliance on IT for business policy updates.

Hard-coded "if-then" logic becomes difficult to manage as complexity grows. Rule engines provide a centralized, transparent repository for decision logic that is easier to understand, test, and maintain.

Rule engines are effective for applications with complex, frequently changing decision logic, such as financial services (e.g. KYC/AML, credit decisioning, claims processing), healthcare (e.g. clinical decision support), and ecommerce (e.g. promotions, fraud detection).

Related Terms

Workflow Engine

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