1. Standard Grade Computing Studies Commercial Data Processing START

2. Standard Grade Computing Studies What is Commercial Data Processing? Companies such as banks, mail order companies, supermarkets and service provides such as gas, electricity and telephone companies use Commercial Data Processing systems to handle the vast amounts of data they process on a daily basis. Computers can process this data accurately and quickly, and as the data is stored on computer, any information can be found quickly. These systems can also be used to provide managers with reports including graphs and charts about how their companies are performing. NEXT

3. Standard Grade Computing Studies Data and Information Before studying CDP in any detail, it is important to know the difference between data and information. Data is the raw facts that we put in the computer. They are totally meaningless without other facts. Some examples of data are: 23/04/83 P32 6YZ509876551Bobby We do not know what these mean. However, if we put them in context they become information - we know what they mean: Date of Birth: 23/04/83Post code:P32 6YZ Account Number : 509876551Pet Name:Bobby So, data is what we put into the computer, and information is what comes out. DATAINFORMATION NEXT

4. Standard Grade Computing Studies Data Processing Cycle All CDP systems use the Data Processing Cycle, which is made up of four main stages: NEXT Data Collection and Preparation Data Output Data Processing and Storage Data Input The stages are represented as a cycle because output from one system can become input to another system. An example of this is an electricity bill. The bill is printed out from one system and then the tear off slip at the bottom is used to input the payment details. NEXT

5. Standard Grade Computing Studies Data Collection and Preparation This stage of the Data Processing Cycle involves collecting the data and preparing it so that the computer can understand it. An example of this stage would be somebody filling in an order form for a catalogue. This form would be known as a source document Another example of a source document which is used to input data into a CDP system is the form you fill in for a lottery ticket. The form is fed into the lottery machine and the numbers you have picked out read into the machine and a lottery ticket is printed out. It is important that the source document is well laid so that it is more likely that people fill it out correctly. NEXT

6. Standard Grade Computing Studies Data Input Some examples of direct data input are: Bar Codes Bar code systems are used in many different places - supermarkets, airport luggage systems, libraries, warehouse stock control. A bar code is a set of lines of different widths, which is read by a bar code reader or light pen. The computer then looks up the code in a database, and this will give information about the item being scanned. For example in a supermarket it would hold information about the price of the item and stock levels. The bar code itself holds information on the country of origin, manufacturers code, article number and a check digit. NEXT

7. Standard Grade Computing Studies Data Input Magnetic Stripe A magnetic stripe is a narrow band of magnetic material on which data is held. They are used on credit cards, cheque guarantee cards, debit cards or train tickets. The strip can hold about 64 characters, so only basic information like account number or product number. NEXT

8. Standard Grade Computing Studies Data Input Smart Card Smartcards are cards that have a built in microchip including memory and a processor. A card reader communicates with the microchip, which can read and change the data stored. Smartcards are often used instead of magnetic strips because: -They are more secure because the card will only let authorised card readers access the contents of the card -They can contain more data, so one card can be used for many purposes

9. Standard Grade Computing Studies Data Input Accord Card The Accord card is a smart card, which is used by people who live in Aberdeen city. The accord card has many uses: A library card A bus pass Paying for school meals Sports Passes Young Scot membership In future you will also be able to: Pay for bus journies and car parking Use as proof of age Microchip

10. Standard Grade Computing Studies Data Input Optical Character Recognition (OCR) This is a method of inputting text into a computer system using a device called an optical card reader or a scanner with special OCR software. Text and numbers are recognised by the software/reader and read into the computer. If you are using an OCR system, it is important to write clearly as the computer cannot recognise poorly formed characters, and can also get confused with some characters - e.g. 5 and S, or 1 or l. NEXT

11. Standard Grade Computing Studies Data Input Magnetic Ink Character Recognition (MICR) One of the most common uses of MICR is on cheques. Magnetic ink characters are the funny numbers on the bottom of the cheque. They are printed using ink which contains iron and may be magnetised. Each character has a unique magnetic pattern and this is read by a magnetic ink character reader. This is an expensive system, but has the advantage of being extremely difficult (and expensive) to forge. NEXT

12. Standard Grade Computing Studies Data Input Optical Mark Recognition or Mark Sense Cards Optical Mark Recognition is a method of data input where optical mark readers are able to read marks made on a special form (called a mark sense card) in certain places. Examples of situations where optical mark recognition is used are lottery tickets, multiple choice tests and questionnaires. However, if they need to be filled in by the correct method or they will not be accepted by the reader. NEXT  01]  02]  03]  04]  05]  06]  07]  08]  09]  10]  11]  12]  13]  14]  15]  16]  17]  18]  19]  20]  21]  22]  23]  24]  25]  26]  27]  28]  29]  30] Make your choice by drawing a vertical line on the number. An example of a mark sense card.

13. Standard Grade Computing Studies Data Verification This is one method of checking the data before it is input to the system. Data verification means that the data typed in matches the data which was given. This is very important if data is being entered at a keyboard as it is easy to make mistakes. Methods of data verification are: two different operators type in the data - it is not accepted until both versions match. the data is typed twice by the same operator - again it is not accepted unless both versions match the system asks the user to visually check the data before it is accepted. NEXT

14. Standard Grade Computing Studies Data Validation This is the other method of checking data. Data validation means checking the data to make sure it is sensible and accurate. Validity checks can be programmed into the computer so all input is automatically checked. Examples of validity checks are: check digits - an extra digit added on to a number. It is calculated from the other numbers. If the one calculated by the computer does not match the one included in the number, then the data is rejected. length check - a simple check so that the correct amount of characters are entered - e.g. a postcode should have seven characters. range check - the value entered must be in a specific range, e.g. day of month between 1 and 31 type check - only values of the correct type will be accepted, e.g. no letters in a numeric field. NEXT

15. Standard Grade Computing Studies Data Processing and Storage The terms field, record and file which we use in database are also used in CDP, meaning the same things. For example, in a supermarket the file might be one persons purchases, the record is all the data about one item and the field might be the item name or price. The data in a CDP system is continually being updated as new data is being added and stored along with the existing data. It is important that the data is backed up regularly in case the original files are lost or damaged. NEXT

16. Standard Grade Computing Studies Interactive Processing With interactive processing, the data is processed as soon as it is received, and any actions required are carried out immediately. There is constant interaction between the system and user. Interactive processing is used when it is important that the data is processed immediately so that up to date information is available. For example supermarkets, banking, holiday booking. NEXT

17. Standard Grade Computing Studies Multi User Databases A multi user database is a database that can be used by many people at the same time using a LAN, WAN or through the web. For example, the Police National Computer can be accessed by over 10,000 police terminals throughout the country and holds information on over 6 million people and 50 million vehicles. Multi user databases are useful because: Employees can get the information they need for their work quickly. Many people can work on keeping the database up to date.

18. Standard Grade Computing Studies Data Output There are various methods of output which can be used in a CDP system: NEXT Paper – Monitor. File - output can be simple to file as the data may be used for another process.

19. Standard Grade Computing Studies Hardware Requirements The hardware in a CDP system must be able to process large amounts of data quickly. For this, a mainframe computer is normally used which can processes many million instructions per second. They can also cope with having many terminals connected to them requiring access to the data and processing power. A terminal consists of only a keyboard and monitor, and is linked to a mainframe, which carries out all the processing of data. NEXT

20. Standard Grade Computing Studies EPOS and EFTPOS Applications of CDP which is familiar to almost everybody are EPOS (Electronic Point of Sale) and EFTPOS (Electronic Funds Transfer at Point of Sale). EPOS terminals are simply cash registers which also act as terminals to the main computer system, providing itemised bills for customers and providing management with useful information. They would have a bar code scanner as part of the terminal. EFTPOS systems are similar, but have the additional facility of being able to magnetic stripes on cards, e.g. debit cards. This allows for money to be taken directly from your bank account and transferred to the stores. This has the advantage of being quick for the store (compared to cheque) and it means the customer doesn’t have to carry about large amounts of cash. NEXT

21. Standard Grade Computing Studies ATM’s & PIN’s As well as using CDP systems to process cheques, banks also have vast networks of ATM’s (Automated Telling Machines). Using these, along with their bank card, (which may also be a debit card) people can take money out of their account, check their balance, check the last few transactions and at some ATM’s pay money into their account. To access these features, they put their card in the machine and then type in their PIN (personal identification number). If the PIN typed in does not match the one the bank has stored for the card, then access to the bank account will be denied. If this happens more than a couple of times - the ATM will keep the card as it thinks it is stolen and somebody is trying to guess the number! NEXT

22. Standard Grade Computing Studies E-Commerce E-Commerce means doing business over a network, usually the internet: Online Banking Most banks allow you to view your account statement, transfer money and set up bill payments, all through the bank’s web site. This is very convenient for bank customers. Online Shopping There are many online shops such as amazon.co.uk where you can browse through products, put them in an electronic ‘shopping basket’ and pay using a credit or debit card. You can shop without leaving your home, and have goods delivered to you. It also means that a shop can have customers all over the world. One problem is that criminals can sometimes hack in to these sites and steal credit card details.

23. Standard Grade Computing Studies Jobs in CDP NEXT Programmer - writes the programs used to process the data and also modifies existing programs to meet new demands. Systems Analyst - will see what processes can be carried out by computer, and recommend how to do it. Decides on the software and hardware required for a particular operation. Maintenance Engineer - maintains the computer systems, and repairs them if they break down. Network Manager – in charge of the network. Creates users, installs software, makes sure that the network is secure and controls access to websites

24. Standard Grade Computing Studies Implications of CDP - Social NEXT Along with the changes in jobs with developments like CDP, many companies now have to install such systems simply to deal with the large amounts of data they work with on a daily basis. CDP systems work with hundreds of thousands of transactions every day - just think how many people buy their shopping at ASDA every day. The bill will be calculated by an EFTPOS terminal, which will automatically provide information to update stock records, the goods might be paid for by debit card, automatically updating bank records and so on. These types of system have made great changes to the way in which tasks like shopping and banking take place.

25. Standard Grade Computing Studies Implications of CDP - Economic NEXT For companies who introduce CDP systems, there is a high initial (or start up) cost. A systems analyst has to be employed, the new hardware is expensive, staff have to be trained in the new equipment, some staff may have to be made redundant or retrained, and some new staff may have to be employed. There are also running costs such as keeping the system up to date - this is very important to keep up with competitors. Also electricity, consumable (paper, ink, disks), maintenance and repair of the system, and continued training of staff if the system changes.

26. Standard Grade Computing Studies Implications of CDP - Security With the amount of information that is now held on computer - computer crime including electronic fraud is now a big problem. It is important for any company using CDP to take appropriate measures to prevent hacking and electronic theft of money. Software Security User ID and Password – A user name and password must be entered in order to use the computer system Encryption – all the data on the system is coded. Only authorised people have the key to decode it. Physical Security Fit security locks to computer rooms Put a lock on every computer terminal