Commercial Data Processing Unit 1 Commercial Data Processing Using Computers In Business

What is Commercial Data Processing Unit 1 What is Commercial Data Processing Commercial data processing looks at how large organisations and companies handle large amounts of information. The manual methods of the past have been replaced by computer systems. In large organisations the large scale data processing is often carried out on mainframe computers.

Who Uses Commercial Data Processing? Unit 1 Who Uses Commercial Data Processing? Examples of organisations that use CDP Gas and Electricity Companies Supermarket Chains Airline Companies Health Boards Local Councils (Perth & Kinross) Banks & Building Societies Mail Order Companies

Why have companies invested in CDP? Unit 1 Why have companies invested in CDP? Cut down on the volume of paper produced Manual methods cannot cope with volume of paper work produced Mail order companies DVLC Banks

Why have companies invested in CDP? Unit 1 Why have companies invested in CDP? Speed of Processing Stock Control Airline Reservations

Why have companies invested in CDP? Unit 1 Why have companies invested in CDP? Speed of Access BT Directory Enquiries Banks

Why have companies invested in CDP? Unit 1 Why have companies invested in CDP? Repetitive Tasks Wage Processing Gas Bills

The Data Processing Cycle Unit 2 Commercial Data Processing Unit 2 The Data Processing Cycle

The Data Processing Cycle Unit 2 The Data Processing Cycle Step 1: Collecting the data Step 2: Entering the data into the system Step 3: Processing and storage of the data Step 4 Output of the processed data

The Data Processing Cycle Unit 2 The Data Processing Cycle Data Collection Preparation Input Output Process Storage

Wage Processing Example Unit 2 Wage Processing Example Collection Time sheets Preparation Keyed on to disc Input Prepared data input to program Output Print wage slips Process Calculate employee wages Storage Update employee data

Commercial Data Processing Unit 3 Commercial Data Processing Unit 3 Data Collection, Preparation & Input

Data Entry : Paper Based Unit 3 Data Entry : Paper Based time sheet meter reading card

Data Entry : Machine Readable Unit 3 Data Entry : Machine Readable Magnetic Stripe Cards Bar Codes Magnetic Ink Characters Optical Character Recognition

Data Entry : Machine Readable Unit 3 Data Entry : Machine Readable Mark Sense Documents Smart Cards

Direct Data Entry Auto teller machines Point of sale terminal Unit 3 Direct Data Entry Auto teller machines Point of sale terminal Travel agents

Validation Garbage In Garbage Out Unit 3 Validation Garbage In Garbage Out As data is entered it must be checked to ensure that it is free from errors and of the correct type Range checks To ensure that any number not in the correct range will be rejected Length checks To ensure that the correct number of digits or characters are entered Presence checks To ensure that an important item of data has not been completely missed out.

Unit 3 Check Digits A check digit is an extra digit that is calculated from the other digits in the number and then added to the end of the code number. The computer recalculates the check digit when the number is entered and compares the result of this calculation to the check digit at the end of the number. This makes sure that the number has been entered correctly.

Check Digits Check digits are used in Bank account numbers Unit 3 Check Digits Check digits are used in Bank account numbers Product codes (bar codes) Mail order code numbers Employee payroll number Book codes (ISBN)

Calculating a Check Digit ISBN-10 Unit 3 Calculating a Check Digit ISBN-10 0‑25‑132451‑□ 0 x 10 = 0 2 x 9 = 18 5 x 8 = 40 1 x 7 = 7 3 x 6 = 18 2 x 5 = 10 4 x 4 = 16 5 x 3 = 15 1 x 2 = 2 126 126 / 11 = 11 remainder 5 11 – 5 = 6 Check digit is 6 The number is now: 0‑25‑132451- 6

Commercial Data Processing Unit 4 Commercial Data Processing Unit 4 Processing And Storage

Mainframes The largest of all computer systems. Unit 4 Mainframes The largest of all computer systems. Usually installed in large purpose-built rooms. The mainframe will consist of Several Processors Many Hard Disc units Magnetic Tape units Several Printers Many Terminals

Mainframes Mainframes have many terminals connected to them. Unit 4 Mainframes Mainframes have many terminals connected to them. Terminals do not do any processing. The data is sent to the mainframe for processing. Mainframes can have many terminals at the same time. Users can work on many different types of software. Terminals can connect from many miles away. Remote terminals connect using the telephone system.

Superstore Computer Network Unit 4 Superstore Computer Network Head office responsible for: Ordering goods from supplier Distributing goods to stores Calculating sales figures

Superstore Wide Area Network Unit 4 Superstore Wide Area Network Head Office has a mainframe computer The mainframe computer is connected to each stores mini computer by W.A.N.

Stores have a Local Area Network Unit 4 Stores have a Local Area Network Each store has a mini computer to run the L.A.N. The Local Area Network is connected to each P.O.S. terminal

Data Files Record 5 Record 4 Record 3 Record 2 Record 1 Unit 4 Data Files Record 5 Item: Beans Size: 250gms Manufacturer: Heinz Stock: 250 Min stock level: 100 Price: 0.43 Record 4 Record 3 Record 2 Record 1 Item: Can of Coke Manufacturer: Coca Cola Stock level: 238 Price: 0.37 Contain a Record for each stock item

Keeping data files up to date Unit 4 Keeping data files up to date Create new records Update records Delete old records Record 5 Item: Beans Size: 250gms Manufacturer: Heinz Stock: 250 Min stock level: 100 Price: 0.43

Keeping data files safe Unit 4 Keeping data files safe Always make backup copies files Store the files safely in a place which is: Fire proof Bomb proof Water proof Radiation proof

Interactive Processing Unit 4 Interactive Processing Each transaction is processed Immediately – as it is entered The file is always up to date Examples Booking of a holiday at a travel agent Mail ordering of goods by phone

Sequential and Direct Access Unit 4 Sequential and Direct Access Storing data on backing storage can use two methods. Direct access This is the form of access that we are familiar, when the computer goes straight (direct) to the data required. This form of access is very fast and is used on disc based system (floppy, hard disc, CD Rom etc.) Sequential access This is a slower form of access that is usually associated with a tape based system. In sequential access the all the data is read until the required data is found. Clearly this form of access is not suitable for most types of processing

Unit 4 Multi User Database A multi user database is one in which many people can access the database at the same time Auto teller machines allow many customers, throughout the country, to access their accounts to withdraw money etc. Booking systems holiday companies allow travel agents, throughout the country, to access information from the database of holidays can also be used for theatres, football matches etc

Commercial Data Processing Unit 5 Commercial Data Processing Unit 5 Output

Output There are many forms of OUTPUT created in a large CDP situation Unit 5 Output There are many forms of OUTPUT created in a large CDP situation Output can be sent to Monitor Screens Printers Backing storage to be stored on file

Commercial Data Processing Unit 6 Commercial Data Processing Unit 6 How are people affected?

Advantages of CDP for Businesses Unit 6 Advantages of CDP for Businesses Computers can do the following better than a person. They can process much more data search and access data faster process data more accurately process the data faster work continuously without a break

Disadvantages of CDP for Staff Unit 6 Disadvantages of CDP for Staff The number of jobs may be reduced Shop assistants no longer need to price items Bank cash dispensers mean fewer bank tellers Fewer skilled jobs will be available Computers do jobs done by skilled staff Training will be required Staff need training to use computer systems Most staff will use computers at some stage Work patterns may have to change Computers work continuously staff needed to service them People may now need to work shifts

Advantages of CDP for Staff Unit 6 Advantages of CDP for Staff New jobs have been created Computer engineers needed data preparation staff needed Training means new skills which may result in higher pay Higher skilled staff should be paid more typists replaced by office admin staff Customers will get a better service Customers get a faster service Customers get a more accurate service Customers get a service with more facilities Customers get 24 hour banking

New Data Processing Jobs Unit 6 New Data Processing Jobs

Commercial Data Processing Unit 7 Commercial Data Processing Unit 7 Electronic Fund Transfer

Ways to Pay for Goods By cash By cheque By credit card Unit 7 Ways to Pay for Goods By cash By cheque By credit card By electronic fund transfer (EFT)

Steps involved in EFT Shopper hands over EFT card to assistant at POS Unit 7 Steps involved in EFT Shopper hands over EFT card to assistant at POS Assistant places EFT card into the card reader POS terminal contacts shopper’s bank computer Computer checks to see if shopper has enough money Message is sent back to say sale can proceed Customer enters PIN number into card reader Money is transmitted to shops bank account Shops account is credited with amount of the sale Customer’s account is debited by amount of the sale

Advantages of using EFT Unit 7 Advantages of using EFT Expensive cheque processing not needed Customer does not need to carry cash Shop and Bank do not need to count cash Shop gets money straight away

Disadvantages of using EFT Unit 7 Disadvantages of using EFT Customers must believe in the reliability and security of the system Customers must have bank accounts If card is stolen – fraud can take place Sales are completely reliant on the computer system working

Unit 7 Electronic Banking Many bank customers now do all their bank transactions electronically. This is done using the Internet. Once logged on to their account the bank’s customer can pay bills transfer money etc. all from the comfort of their home. Clearly security is a big issue with this form of banking, and passwords are used at various stages in the system.

How an ATM Works