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Discussion on: What Is Business Logic?

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Michiel Hendriks • Edited

Business logic is what transforms data/information to (business) value.

Yes, it does not make it much more clear. The key element is in the word transforms. This is what is meant by business logic. It transforms X to Y.

Retrieving data from a database is not business logic. Transforming that data to a view is business logic. Transforming that data to other data is business logic.

How the transformation is performed is the business value of the software. This is where a lot of companies bank their value on. In reality the real value of software is enabling configurable definition of these transformations. The business logic will change over time, as the transformation conditions and rules change over time. If these changes can be accepted in the software via configuration, you are adding true value to the business.

Business value is equally ill defined. It could be anything to reducing cost, to getting visibility to spent cost (in order to reduce cost). In the end, maximize profitability. Maximizing profitability is often confused by maximizing profits. Profit is revenue minus cost. Profitability is the degree in which you can achieve profits. People who spend less time dealing with tasks which can be automated, can spend more time on tasks which cannot. These non-automated tasks do not affect your profits, but do affect your profitability. You should read this as: more attention to conflicts with customers -> happier customers.