1. Ch 26

2. Objectives
You should understand the differences between batch processing, online processing and real-time processing, including:
Billing systems
Booking systems
Payment systems
Real-time systems

3. Types of processing There are three basic types of processing:
Batch processing
Online processing
This is sometimes known as transaction processing
Real time process control

4. Batch processing
With Batch Processing, a number of jobs are collected together over a period of time
They are loaded onto a computer system (in a job queue)
And then processed all at once (in a batch)

5. Once the batch processing starts, there is no need for any human intervention at all
It can only be done where there are no timing constraints (ie no response is needed from the computer right away)

6. Batch Processing Examples of batch processing are:
the processing of bank cheques
payroll
non-automatic stock control systems
utility billing

7. Batch Processing : Advantages
Can be performed at night when the computer system is not so busy
People do not need to be involved

8. Batch Processing : Disadvantages
Data is only up to date only when the batch processing has finished
Cannot produce
adhoc reports

9. Online processing
Data is entered by the user, and the computer processes the data straight away.
Processing done as quickly as possible; booking of airline ticket or cinema ticket (these need to be marked as “sold” or “unavailable” immediately the booking is confirmed).
Sometimes called interactive processing
File is updated as each transaction is processed eg ATM, flight booking etc

10. Online Processing : advantages and disadvantages
Type of processing
Advantages
Disadvantages
Online/ Interactive Processing
Immediate processing, up to date data
Files held online, can do ad hoc reports
Audit trails hard to perform
Very little paperwork, so harder to check for errors, etc

11. Examples of Online processing
Flight bookings
Cinema bookings
Theatre bookings
ATM withdrawals

12. How an online booking system works
Online booking systems rely on the ability to update files immediately, in order to prevent double-booking of seats etc
There are a number of steps involved: the order of these is important

13. Online booking: steps
Customer logs on to theatre website and clicks on required performance
Enter date & time + number of seats
Seating display: choose seats
If seats are available, seat numbers and price are displayed
Customer clicks ‘confirm’
Seats are now set temporarily in the theatre database as ‘unavailable’

14. Online booking: steps
Customer enters personal details (eg username & password
Select payment method & make payment
EFTPOS system contacts customer’s bank and enquires if funds are available
Payment is confirmed
Reference number onscreen/
Database updated with the transaction

15. Real time Process Control
The computer responds instantly to events occurring. E.g. Flight simulator
Usually involves sensors and feedback loops
Real time mode is used in computers that have to react very quickly to inputs requiring immediate outputs (e.g. aircraft ‘fly-by-wire’ controls).

16. Real time Process Control (advantages and disadvantages)
Type of processing
Advantages
Disadvantages
Real Time Processing
Reaction to input
Input can be from sensors – automatic feedback loop possible
Can be done by an embedded microchip in small home appliances
Expensive to develop
Very fast processor required

17. Real Time Processing
Examples of real-time processing are any control system which uses sensors requiring immediate response e.g.
Rockets fired onto space
Robots
Computer controlled air conditioning /
Central heating / burglar alarm
Computer controlled greenhouses etc.

18. Examples of processing types
Energy / Electric company
Theatre
Air line
Batch Processing
Printing electric bills
Setting up seating plan for new play
Setting flight schedules
Online Processing
Bill enquiry system
Seat enquiry system
Flight enquiry system
Real time Process Control
Power plant temperature management
Air conditioning
Autopilot

19. Criteria for choosing processing methods
Things to consider when choosing a processing method:
Whether information needs to be up to date at all times
Scale of the operation: Batch systems suited to processing of huge amounts of data
Cost: Real time system more expensive; more complex backup and recovery procedures required
Computer usage: Adv of batch, can process overnight on mainframe computers