Batch and Real-Time Processing - Assignment Example

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It is prudent for every manager to ensure that productivity is efficient even though there is no pre-defined advantage of using either batch or real-time processing. Both processes are suitable for different transactions; hence, the weight of one over the other depends on the…
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Batch and Real-Time Processing
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Batch and Real-Time Processing al Affiliation) Introduction It is prudent for every manager to ensure that productivity is efficient even though there is no pre-defined advantage of using either batch or real-time processing. Both processes are suitable for different transactions; hence, the weight of one over the other depends on the type of transaction. In a situation where batch processing is suitable, it would be beneficial to employ the process over the real-time processing. It is prudent to understand the abilities of both processes then evaluate their suitability on the type of transaction. As such, the basic variation between the two is that batch processing involves ‘batches’ whereas real-time processing involves single input (Bernstein, & Newcomer, 2009). In this case, batch processing is preferred.
Batch and Real-Time Processing
The preference of batch processing lies on its simplicity over real-time processing. With batch processing, data sets are collected and integrated to form a single input. As such, it becomes easy to control the input to achieve the desired output. Batch processing entails the input, processing, and output. Therefore, similar data sets are processed as one data set to achieve an output. The figure below represents a hypothetical batch processing transaction.
Figure 1: Batch Processing (Bernstein, & Newcomer, 2009)
As evident in Figure 1, electricity consumption rates are summed up into one data set and processed to produce electricity bills. On the contrary, a real-time processing would process individual electricity consumption rates and produce respective electricity bills. As such, the difference is evident. The batch processing system requires inputs to be queued for a set time or quantity before they are processed whereas the real-time processing system requires a continuous cycle of input-process-output.
A batch processing system is applicable in a payroll system that involves end-of-cycle processing. Similar to electricity bills, a payroll system is active at set intervals (weekly or monthly). It is prudent to employ batch processing as it collects working hours and integrates them into a single batch at the end of the interval to produce pay slips for employees. It would be time consuming to employ real-time processing where an end-of-cycle processing is required. A batch processing system is efficient for a payroll system. The figure below represents the application of batch processing system in an end-of-cycle processing
Figure 2: End-of-Cycle Processing (Deitel, & Deitel, 2014)
In the figure above, the batch processing system is employed after a 7-days interval; hence, end-of-cycle processing.
A batch processing system is applicable in a stock management system. The core advantage of the batch processing system is that it is automated; hence, minimal human interaction. Stock management involves complex phenomena such as the First In First Out (FIFO) and the Last In First Out (LIFO). As such, the stock management system ought to be automated. In this case, the batch processing system is most appropriate as it reduces human interaction; hence, making it easier to set internal controls to enhance efficiency (Deitel, & Deitel, 2014).
As much as the above scenarios explain the relevance of the batch processing system, there are transactions that validate the real-time processing system. However, every objective of the production process strives to minimize losses. With that in mind, the batch processing system is efficient as it is automated and utilizes end-of-cycle processing. In addition, providing a platform for internal controls makes it a viable option for most production processes.
Bernstein, P., & Newcomer, E. (2009). Principles of transaction processing. Burlington, MA: Morgan Kaufmann.
Deitel, H., & Deitel, B. (2014). Computers and Data Processing International Edition. Burlington: Elsevier Science. Read More
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