Ch 26
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You should understand the differences
between batch processing, online processing
and real-time processing, including:
 Billing systems
 Booking systems
 Payment systems
 Real-time systems
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There are three basic types of processing:
 Batch processing
 Online processing
▪ This is sometimes known as transaction
processing
 Real time process control
1.
With Batch Processing, a number of jobs
are collected together over a period of time
2.
They are loaded onto a computer system (in
a job queue)
3.
And then processed all at once (in a batch)
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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)
Examples of batch processing
are:
 the processing of bank
cheques
 payroll
 non-automatic stock control
systems
 utility billing
 Can be performed
at night when the
computer system is
not so busy
 People do not need
to be involved

Data is only up to date only when the batch
processing has finished

Cannot produce
adhoc reports
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
 Sometimes
called interactive
confirmed).
processing
 File is updated as each
transaction is processed eg
ATM, flight booking etc

Type of
processing
Advantages
Disadvantages
Online/
Interactive
Processing
Immediate
processing, up
to date data
Audit trails hard
to perform
Files held online, Very little
can do ad hoc
paperwork, so
reports
harder to check
for errors, etc
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Flight bookings
Cinema bookings
Theatre bookings
ATM withdrawals
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
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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’
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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/email
Database updated with the transaction

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).
Type of
processing
Real Time
Processing
Advantages
Disadvantages
Reaction to input
Expensive to
develop
Input can be from
sensors – automatic
feedback loop possible
Can be done by an
Very fast
embedded microchip in processor
small home appliances required
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.
Energy / Electric Theatre
company
Batch
Printing electric Setting up
Processing bills
seating plan
for new play
Online
Bill enquiry
Seat enquiry
Processing system
system
Real time
Process
Control
Power plant
temperature
management
Air
conditioning
Air line
Setting flight
schedules
Flight
enquiry
system
Autopilot
Things to consider when choosing a processing method:
Whether information needs to be up to date at all
times
2. Scale of the operation: Batch systems suited to
processing of huge amounts of data
3. Cost: Real time system more expensive; more
complex backup and recovery procedures required
4. Computer usage: Adv of batch, can process
overnight on mainframe computers
1.