Data processing: Decentralized DP, using manual methods

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clip_image001Decentralized DP, using manual methods

This method of processing data is still often used, especially in small organizations. The advantages of this way of processing over traditional data processing centralized on a DP department include:

• Users can access data in their own way and at their own times, instead of having to conform to the requirements of a central facility. So urgent matters and enquiries can be dealt with promptly.

• Users can input data directly into the system instead of filling in and sending source documents to the DP department for input.

• Since the processing facilities are decentralized, it is less likely that a machine breakdown or a strike by a handful of people will disrupt the entire organization.

The disadvantages are mainly that it is a slow, labour­ intensive way of processing data, and its accuracy is inferior to that achieved by other methods.

clip_image002Centralized DP, using computers

Centralized DP came in with the introduction of punched card equipment at the turn of the century. The equipment, although relatively fast and semi-automatic, was very large and very expensive. It therefore had to be offered as a central facility, with user departments sending their data to the new 'data processing department' for processing. Fifty years later the earliest computers, although a significant advance on punched card equipment, were still large and expensive. They also had to be offered as a central facility, thus accelerating the trend towards centralized DP.

With the centralization of DP came batch processing. Punched card equipment was designed to process cards in large batches, and the earliest computers could be operated economically only in this way. The data was keyed on to punched cards using an off-line keypunch (i.e. not con­nected to the computer, and therefore not drawing on its power), and subsequently read into the system in batches using high-speed on-line card readers.

clip_image002[1]Decentralized DP, using computers

The advances in computer technology during the last decade have to a large extent reversed this trend towards centralized DP. The emphasis is now once again on decentralized data processing, user departments entering their data and con­ trolling the processing via on-line terminals to the main computer and using networked PCs. Real-time rather than batch processing is normally used, each transaction being entered and processed as it arises, and up-to-date master data being always available for dealing with inquiries.

The reasons for the re-emergence of decentralized data processing include:

• VDUs and PCs are now very cheap, and so can be supplied to user departments.

• Application programs are much more user-friendly than in the past, so can be used by staff who are not DP experts.

• Computers today are very powerful and able to support real-time processing.

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