DATA PROCESSING
Instructor: Areeba Noreen
Table Of Content
What is data
• Convert its format
processing
Stages of data • Stages to transform raw data into
processing meaningful information
Types/methods of
• 7 types of Data Processing
data processing
Future of data
• Evolution of data processing
processing
What Is Data Processing?
◦ Data processing means to processing of data i.e. To convert its format.
◦ Data processing process system is also referred as information system.
◦ Data processing becomes the process of converting data into information.
In simple words, processing of data can be expressed as:
◦ Process of conversion of data in the computer understandable format.
◦ The sorting or processing of data by a computer.
Processing Data Vs Processed Data
Processing data Processed data
▪ Involves defining and ▪ Typically refers to the
managing the structure, refined and finalized
characteristics, and specifications and
specifications of data attributes associated with
within an organization. data after it has
undergone various
processing steps.
Stages Of Data Processing Process
Involves a series of stages to
transform raw data into
meaningful information. Here are
the five fundamental stages of
data processing process:
1. Collection
2. Input
3. Data Processing
4. Data Output
5. Data Storage
Collection
◦ The process begins with the collection of raw data from various
sources.
◦ The stage establishes the foundation for subsequent processing,
ensuring a comprehensive pool of data relevant to the intended
analysis.
◦ It could include surveys, sensors, databases, or any other means of
gathering relevant information.
Input
◦ During the data input stage, the prepared data is entered into a
computer system.
◦ This can be achieved through manual entry or automated methods,
depending on the nature of the data and the systems in place.
Input stages contains following activities:
1. Data capture
2. Encoding
3. Data transmission
4. Data communication
Input
Data capturing
Entered the collected data into the processing system such as computer.
Encoding
Converting the data into the form that is easier to input into processing
system. I.E date as DD/MM/YYYY
Data transmission
Sending input data to the processor and carrying it across the various
components. Also carrying data from processor to output devices.
Data communication
Set of activities that allow data to be sent one data processing system to
another.
Data Processing
◦ The core of data processing involves manipulating and analyzing the
prepared data.
◦ Operations such as sorting, summarizing, calculating, and
aggregating are performed to extract meaningful insights and
patterns.
Data Output
◦ The results of data processing are presented in a comprehensible
format during the data output stage.
◦ This could include reports, charts, graphs, or other visual
representations that facilitate understanding and decision-making
based on the analyzed data.
Data Storage
◦ The final stage entails storing the processed data for future
reference and analysis.
◦ This is crucial for maintaining a historical record, enabling efficient
retrieval, and supporting ongoing or future data-related initiatives.
◦ Proper data storage ensures the longevity and accessibility of
valuable information.
Data Processing Process
Manual Data Processing
Manual data processing relies on human effort to manage and manipulate data. It involves tasks such as sorting,
calculating, and recording information without the use of machines or electronic devices. While it is prone to errors
and time-consuming, manual processing remains relevant in situations where human judgment, intuition, or a
personal touch is necessary.
Mechanical Data Processing
Mechanical data processing involves the use of machines, like punch cards or mechanical calculators, to handle data.
It represents an intermediate stage between manual and electronic processing, offering increased efficiency over
manual methods but lacking the speed and sophistication of electronic systems. This method was prominent before
the widespread adoption of computers.
Electronic Data Processing
Electronic data processing leverages computers and digital technology to perform data-related tasks. It has
revolutionized the field by significantly enhancing processing speed, accuracy, and capacity. Electronic data
processing encompasses various techniques, including batch processing, real-time processing, and online processing,
making it a cornerstone of modern information management and analysis.
Types of Data Processing
Batch Data Processing
Batch processing involves grouping data into batches and processing them
together at a scheduled time. It is suitable for non-time-sensitive tasks
and is efficient for large-scale data processing.
E.g. payroll system
Real-time Data Processing
Real-time processing deals with data immediately as it is generated. It is
crucial for time-sensitive applications, providing instant responses and
updates, often seen in applications like financial transactions and
monitoring systems.
E.g. withdrawing money from ATM
Types of Data Processing
Online Data Processing
Online Data Processing (OLTP) involves processing data directly while it is
being collected. It is interactive and supports concurrent transactions,
making it suitable for applications that require simultaneous user interaction
and data updates.
E.g. Barcode scanner
Automatic Data Processing
Automatic Data Processing (ADP) refers to the use of computers and
software to automate data processing tasks. It encompasses various
methods, including batch processing and real-time processing, to efficiently
handle large volumes of data with minimal human intervention.
E.g. Technologies read scanned invoices, receipts, or handwritten notes to
convert them into digital text.
Difference b/w Real-time & Online
Processing
Real Time Processing Online Processing
Systems that are priority-based and include Systems that works by connecting to the
a sense of real physical time to pass internet to update or share information.
information from one system to another.
These are instant without any lag. There is some lag in these systems.
All real-time systems are online. All online systems are not real-time.
These systems are of high importance so It is used for less important functions to
there are limits on latency. achieve.
These are made for specific purposes like Online systems are made for general
systems used in defense and national purposes like communication, gaming, etc.
securities.
System implementation is complex and System implementation is simple and can be
designing such systems is a difficult task. easily designed.
Difference b/w Real-time & Online
Processing
Real Time Processing Online Processing
The performance of such systems is high. The performance of such systems is low.
Real-time systems are designed to respond Online systems allow users to access and
to events in real time. interact with data at any time.
Real-time systems typically have very low Online systems may have higher latency as
latency. data is transmitted over a network.
Real-time systems must respond to events Online systems may have longer response
quickly and have very short response times. times as they must wait for user input and
may require additional processing time.
Real-time systems must be highly reliable Online systems may not require the same
and ensure that data is processed level of reliability.
accurately and on time
Examples of Data Processing
Stock exchanges
Process a massive volume of data during trades. The system matches buy and sell
orders, updates stock prices in real-time, and records transaction details to maintain an
accurate and transparent market.
In manufacturing
Data processing is used for quality control. Sensors and monitoring devices collect data
on production processes, and algorithms analyze this information to identify defects,
ensuring product quality.
Smart home devices
Process data from sensors and user inputs to perform tasks like adjusting thermostats,
controlling lights, and managing security systems based on predefined settings or user
preferences.
Electronic Health Records (EHRs)
Store and process patient data in healthcare settings. This includes medical history,
test results, and treatment plans, facilitating efficient and accurate healthcare delivery.
Advantages & Disadvantages of Data
Processing
Advantages Disadvantages
▪ Highly efficient ▪ Large power
▪ Time-saving consumption
▪ High speed ▪ Occupies large memory.
▪ Reduces errors
▪ The cost of installation is
high
Future of Data Processing
◦ Traditional Approach
Focus on organizing and manipulating data for usability
◦ Shift in Data Processing
Moving from basic data organization to advanced analytics
◦ Future Focus: Analytics
Extracting meaningful insights, patterns, and knowledge from data
◦ Strategic Importance
Organizations using data to gain a competitive advantage
◦ Advanced Technologies Integration
Use of analytics, machine learning, and artificial intelligence
◦ Outcome
Better decision-making through actionable insights
From Processing Data to Performing
Analytics
Next Step After Processing
◦ Performing analytics on processed data
What is Analytics?
◦ Applying statistical and mathematical techniques
Purpose of Analytics
◦ Identify patterns, trends, and relationships
Types of Analytics
◦ Descriptive
◦ Diagnostic
◦ Predictive
◦ Prescriptive
From Processing Data to Performing
Analytics
Benefits for Organizations
◦ Informed decision-making
◦ Process optimization
◦ Better understanding of operations
Impact of Insights
◦ Identify opportunities
◦ Reduce risks
◦ Drive innovation
Final Outcome
◦ More strategic and data-driven decisions