DATA PROCESSING
Types of Data Processing
1. Single processing
• This connotes data entry of transactions
individually as they occur; updating the
master file. It does not require delaying
data posting till any other transaction
or any specified period. Hence, it is
required that the data entry staff is well
versed to accurately codify and post
each new data from source documents
as soon as possible.
2. Batch processing
• This entails periodical posting of data into
master files to reflect all transactions that
occurred during a given period of time. That is,
the master file is updated when some
manageable number of transactions are
collated and coded for posting. Batch
processing is often done periodically; like daily,
weekly, or fortnightly.
• This depends on the volumes involved and the
velocity of transactions per period.
Advantages of batch processing
i. It is comparatively less expensive
ii. It encourages proper documentation of
transactions
iii. Gives room for proper review and
authorization of data before posting
iv. Temporary breakdown of computer has
almost no impact on processing
v. It makes less stress on processor since it
can work offline
Disadvantages of batch
processing
i. Delay in obtaining/generating outputs
ii. Accumulated data often pressurizes
data-entry staff during transactions
iii. Data entry staff must be specifically
trained to use batch system
iv. Batch systems are sometimes costly
3. Remote data entry processing
• This connotes batch processing
where data are entered remotely
at a terminal, and transmitted to
computer either off-line (with the
use of an external storage system)
or on-line (via internet service).
4. On-line processing
• This connotes processing of data on
other terminals that are connected to
the central processor (server).
• It is from these other terminals that
data are posted to the central
processor for immediate delivery.
5. On-line real-time processing
• Here, the computer captures the data
electronically, edits the data for accuracy
and processes the data immediately.
• That is, without any human interference,
the computer starts and completes the
entire five stages of data processing for
immediate delivery of results.
• A good example here is the Automated
Teller Machine.
Advantages of real-time processing
i. Output is immediate
ii. Immediate outputs can be used to effect
further processing of data
iii. It safes cost of papers and related
consumables that would have been used for
documentation.
iv. It prevents costly and time consuming data
preparation and control operations
v. It enables managers to see the cumulative
effects of all transactions for good decision making.
Disadvantages of real-time
processing
i. It is very complex to design, implement,
and maintain.
ii. Increases the risk of un-authorized
access to the computer
iii. Its operation relies on proper
functioning of the computer system
iv. It is very expensive to possess
Lecture Ends Here
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