Data Coding Schemes
Allows for the insertion of new codes
within a block without having to
reorganize the entire coding
A System without Codes
Uncoded entry takes a great deal of
recording space.
Time consuming to record.
Prone to many types of errors.
the more items that can be
represented.
Disadvantages:
A System with Codes
Concisely represent large amounts of
be unmanageable.
Provide a means of accountability over the
completeness of the transactions
processed.
Identify unique transactions and accounts
within a file.
Support the audit function by providing an
Group Codes used to represent complex
items or events involving two or more
pieces of related data. Also consists of
zones or fields that possess specific
meaning.
effective audit trail.
Information content of the block
code is not readily apparent.
complex information that would otherwise
structure.
The more digits in the code range,
Advantages:
Numeric and Alphabetic Coding Schemes
Sequential Codes represent items in
Facilitate the representation of large
amounts of diverse data.
Allow complex data structures to be
some sequential order (ascending or
represented in a hierarchical form
descending).
Advantages:
Supports the reconciliation of a
that is logical and more easily
batch of transactions at the end of
reporting both within an item class
processing.
Disadvantages:
and across different classes of
items.
Carry no information content beyond
Disadvantages:
their order in the sequence
remembered by humans.
Permit detailed analysis and
(attributes of the item, etc.).
Difficult to change.
Unrelated data may be linked simply,
leading to unnecessarily complex
group codes that cannot be easily
Block Codes can be used to represent
whole classes of items by restricting each
promote clerical errors, and increase
class to a specific range within the coding
processing time and effort.
scheme.
Advantages:
interpreted.
Overuse can increase storage costs,
Alphabetic Codes used for many of the
same purposes as numeric codes.
Alphabetic characters may be assigned
sequentially (in alphabetical order) or may
be used in block and group coding
techniques.
Advantages:
Capacity to represent large numbers
of items is increased dramatically
through the use of pure alphabetic
records that are coded alphabetically
.
Mnemonic Codes alphabetic characters
in the form of acronyms and other
combinations that convey meaning.
Advantages:
Does not require the user to
memorize meaning.
codes or alphabetic characters
embedded within numeric codes
(alphanumeric codes).
Disadvantages:
There is difficulty rationalizing the
meaning of codes that have been
sequentially assigned.
Users tend to have difficulty sorting
Disadvantages:
Have limited ability to represent
items within a class.