Standard Grade Computing

COMMERCIAL DATA

PROCESSING

CHAPTER 13

Standard Grade Computing

Need for CDP

• VOLUME OF DOCUMENTSMANY transactions need to be processed daily

• SPEED OF PROCESSINGData has to be processed accurately at high speed IMMEDIATELY

• SPEED OF ACCESSCustomer details need to be accessed IMMEDIATELY

• REPETITIVE TASKSComputers don’t get bored & quickly complete jobs e.g. customer letters

FOUNDATION

Standard Grade Computing

Need for CDP

MANAGEMENT INFORMATION

• Data entered & immediately

available for viewing

• Manager can compare sales of

goods

• Can see which goods are popular

• Can share data with other

branches

CREDIT

Standard Grade Computing

Advantages• Orders can be processed quicker than with a manual

system• Calculations are accurate without human error

• Errors are less likely - checks built into computer

programs

• Large quantities of data can be stored in a small space• Very large customer lists can be stored & kept up-to-date• Companies can easily keep in contact with their many

customers either by letter or by email• Direct mailings can be done automatically using mail

merge• Data more secure than with a manual system

GENERAL

Standard Grade Computing

Data Processing Cycle

DATAUnprocessed raw facts and figures that have been entered into a computer & has no meaning to a persone.g. 0110 1001, 5.364

INFORMATIONProcessed data that is placed in context & can be understood by a person.e.g. £63.21, 525 metres

GENERAL

Standard Grade Computing

Data Processing Cycle

•COLLECTION & PREPARATION

• INPUT

•PROCESSING

•

STORAGE

•OUTPUTFOUNDATION

Standard Grade Computing

Data Collection, Preparation & Input

•DATA COLLECTION & PREPARATIONCan be written, printed (source document)

•DATA INPUT

FOUNDATION

Bar Codes

Magnetic Stripe

Mark Sense Cards

Standard Grade Computing

Accurate Data Entry

MICR – Magnetic Ink Character Recognition

Will input special characters on the bottom of cheques

CHECK DIGIT

Calculation performed on other numbers.

If answer equals check digit then data entry correct

LENGTH CHECK

Must have a certain number of characters

e.g. PIN on an ATM card = 4 numbers

RANGE CHECK from numbers

e.g. month entry is between 1 and 12

GENERAL

Standard Grade Computing

Data Collection, Preparation & Input

SMART CARDBank cards which contain a microprocessor Contains more data than magnetic stripe

OCR – Optical Character Recognition

Will recognise & input characters directly into the computer

as text

VALIDATIONWill check that data is acceptable as you try to enter

it e.g. range check

VERIFICATIONWill check that data has been entered correctly

CREDIT

Standard Grade Computing

Data Processing & Storage

WORDS & MEANINGS

FIELD (column): 1 item of information e.g. name

RECORD (row): Information on 1 person or thing

FILE (table): A collection of related records

DATABASE: A collection of related records

UPDATE: Correct changed information e.g. new

address

BACKUP: Extra copy of program/data for use in

an emergencyFOUNDATION

Standard Grade Computing

Data Processing

INTERACTIVE PROCESSINGData is processed / updated as the transaction is entered. Any enquiries are replied to immediately.

REAL TIME PROCESSINGA system which responds immediately to input e.g.

booking a flightAccessing processor there and then

BATCH PROCESSINGData gathered over time & entered into the computerProcessing happens in 1 run, often overnight when the

processor is quiet

GENERAL

Standard Grade Computing

Data Storage

SEQUENTIAL ACCESSData read in order stored, from start to finish. Slow access so usually for backups

DIRECT/RANDOM ACCESSData accessed immediately using the index at the start of the disc

MULTI USER DATABASEMany users / terminals accessing the data AT THE SAME TIME

MULTI ACCESSMany users online to a computer system (mainframe) AT THE SAME TIME

CREDIT

Standard Grade Computing

Data Output

•PAPERInformation can be printed out then viewed

•SCREEN Information can be viewed on the computer screen

•FILE (Credit)

Data can be stored as a file to be viewed / processed at a later date.

FOUNDATION

Standard Grade Computing

Hardware & Software

MAINFRAME COMPUTERA computer system that can process large amounts of data at high speed

SYSTEM TERMINALSInput & output devices used to access the mainframe processor

REMOTE TERMINALSA terminal is a separate building from the processor

FOUNDATION

Standard Grade Computing

Social ImplicationsEFFECTS ON BUSINESS• Expensive for companies to buy / maintain replace

computers• Staff need to be trained for software / hardware

changes• Less staff needed as computers now do repetitive jobs

quickly• Staff needed to install / repair / look after computers• Many jobs now use computers so IT skills needed• Online businesses allow people to shop from home• Some businesses now not operating• Must still know old skills if computers ‘go down’

FOUNDATION

Standard Grade Computing

Social Implications

JOB TYPES & CAREERSPROGRAMMERCodes programs to be run on the computer

SYSTEMS ANALYSTDecides which hardware / software to recommend to do a job

ENGINEERInstalls new computers & keeps them running

NETWORK MANAGERPerson in charge of the network. Responsible for all systems attached to the network.

GENERAL

Standard Grade Computing

Social Implications

CREDIT

Computer crime / fraudComputer Misuse Act states that it is illegal to • Access / alter data without permission• Use data to commit a crime - fraud• Create / introduce a virus to a computer system

A virus is a program which reproduces itself automatically and may cause damage / loss of valuable information

Standard Grade Computing

Technical ImplicationsE-COMMERCEThe process of conduction business online e.g. buying

/ selling goods

ON-LINE BANKINGBanks can save money on staff & buildingsCustomers can bank from home with no travelling24 hours service

ONLINE SHOPPINGCan compare prices easilyPrices cheaperCan shop at any time with home delivery

FOUNDATION

Standard Grade Computing

Technical Implications

EFT – ELECTRONIC FUNDS TRANSFER• Card is swiped • Customer details checked to see that there is enough

money in bank account• If enough, then, money removed from customer’s account• and transferred to business’ account e.g. supermarket,

garage etc.

POS – POINT OF SALE (sometimes EPOS)• The place where you pay for goods in a shop or checkout• Computer will remove sold items from stock list • Connected to company mainframe computer• Bar code reader often present

GENERAL

Standard Grade Computing

Economic Implications

INITIAL COSTSMoney needed to buy all of the hardware & software at first

RUNNING COSTSThe costs that are needed to keep the system operating e.g. printer ink / paper, electricity, repairs

MASS MARKETPeople from all over the country can buy the goods

FOUNDATION

Standard Grade Computing

Security & Privacy

Accuracy of InformationData must be kept up to date & correct – legal requirementIf incorrect data is pointed out, it must be changed

PrivacyOnly authorised people can access the dataDifferent levels of access available to different employees

FOUNDATION

Hello world the sun shines

Hell word the sin shines

Standard Grade Computing

Security & Privacy

Physical Security Computer rooms locked with limited access

Software SecurityPasswords required to access certain files

Sale of Customer ListsCompanies can sell customer data to other companies to allow them to send details about their products – junk mail

GENERAL

Standard Grade Computing

Implications & Advantages

SINGLE ENTRY MULTIPLE USE•Data is entered once & can be accessed by many users

•Amendments / updates only need to be done once

•Changes available to all users immediately

CREDIT

Standard Grade Computing

And there is more….

Can you wait for the

next exciting chapter?