Computer Fundamentals: Pradeep K.

Sinha & Priti Sinha

Computer Fundamentals

Pradeep K. Sinha
Priti Sinha

Chapter 16

Business Data
Processing
Chapter 16: Business Data Processing Slide 1/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Learning Objectives

In this chapter you will learn about:

Difference between data and information

Data storage hierarchy commonly used to facilitate data
processing

Standard methods of organizing data

File Management System (FMS)

Database Management System (DBMS)

Basic concepts and main components of FMS and DBMS

Chapter 16: Business Data Processing Slide 2/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Basic Concepts

Chapter 16: Business Data Processing Slide 3/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Data Processing

Data is a collection of facts unorganized but able to

be organized into useful information

Information is data arranged in an order and form that
is useful to the people who receive it

Data processing is a series of actions or operations
that converts data into useful information

A data processing system includes resources such as
people, procedures, and devices used to process input
data for producing desirable output

Ref. Page 319 Chapter 16: Business Data Processing Slide 4/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Data Storage Hierarchy

A single binary digit (0 or 1).

Level 0 Bit

Level 1 Character Multiple related bits are combined to form a character (byte).

Level 2 Field Multiple related characters are combined to form a field.

Level 3 Record Multiple related fields are combined to form a record.

Level 4 File Multiple related records are combined to form a file.

Level 5 Multiple related files are integrated to form a

Database
database.

Ref. Page 320 Chapter 16: Business Data Processing Slide 5/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Relationship Among
Character, Field, Record, and File

A field having Employee Code First Name Last Name Hours worked Hourly rate Tax rate
4 characters 0004 Kumar Rana 40 14.00 0.09

Employee Code First Name Last Name Hours worked Hourly rate Tax rate
0003 Pratap Singh 43 15.00 0.10
Employee Code First Name Last Name Hours worked Hourly rate Tax rate
0002 Ravi Patel 42 10.00 0.07

Employee Code First Name Last Name Hours worked Hourly rate Tax rate
0001 Pradeep Sinha 45 12.00 0.08
A record

Records
Fields of a file

Ref. Page 321 Chapter 16: Business Data Processing Slide 6/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Standard Methods of
Organizing Data

Chapter 16: Business Data Processing Slide 7/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

File-oriented Approach

Applications data is organized into one or more files and the

application program(s) processes the data stored in these
files to generate desired output

It is customary to use a master file of permanent data, and
transaction files containing data of temporary nature

Ref. Page 322 Chapter 16: Business Data Processing Slide 8/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Limitations of File-oriented Approach

Limited query flexibility

When the key field is not relevant to desired information, it
needs to search entire file

Data redundancy

Repetition of same data items in more than one file is
known as data redundancy

It leads to increase in cost of data entry and data storage

Data integrity problem

Data integrity refers to consistency of data in all files

Any change in a data item must be carried out in every file
containing that field

Ref. Page 322 Chapter 16: Business Data Processing Slide 9/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Limitations of File-oriented Approach

Lack of program/data independence

An application program usually contains data format
statements, which define the format of each data field precisely
as the application needs it for processing

Data dependence occurs when data is dependent on application

Limited data security flexibility

Offers file-level data security feature

It can enforce data access restrictions on an entire file only, not
on a record or a field of data item

Ref. Page 322 Chapter 16: Business Data Processing Slide 10/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Database-oriented Approach

This approach integrates together data from multiple related
files in the form of a database having following properties:

Provides greater query flexibility

Reduces data redundancy

Solves data integrity (inconsistency) problem

Makes data independent of application programs

Includes data security features at database level, record level,
and even at field level

Ref. Page 323 Chapter 16: Business Data Processing Slide 11/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

File Management System

Chapter 16: Business Data Processing Slide 12/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

What is File Management System?

File-oriented approach of organizing data provides a set

of programs to facilitate users to organize, create, delete,
update, and manipulate their files

All these programs together form a File Management
System (FMS)

Ref. Page 323 Chapter 16: Business Data Processing Slide 13/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

File Types

A file management system supports following file types:

Transaction file: Stores input data until it can be
processed

Master file: Contains all current data relevant to an
application

Output file: Stores output produced by one program
that is used as input to another program

Report file: Holds a copy of a report generated by an
application

Backup file: Copy of a file, created as a safety
precaution against loss of data

Ref. Page 323 Chapter 16: Business Data Processing Slide 14/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

File Organization

Deals with physical organization of records of a file for

convenience of their storage and retrieval

Selection of a particular file organization depends on
application type

File organization requires use of some key field in every
record in a file

Key field value must be unique for each record of the file

Ref. Page 324 Chapter 16: Business Data Processing Slide 15/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Sequential Files

A sequential file stores its records one after another in
ascending/descending order of their key field values

A computer processes a sequential file in the order in which
the file stores its records

Sequential file organization is the most efficient and
economical file organization for applications in which we have
to update a large number of file records at regularly
scheduled intervals

Activity ratio is ratio of total number of records in transaction
file and total number of records in master file

(Continued on next slide)

Ref. Page 324 Chapter 16: Business Data Processing Slide 16/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Sequential Files

Advantages

Simple to understand and use

Easy to organize and maintain

Need relatively inexpensive I/O media and devices

Efficient and economical to use for applications in which activity
ratio is high

Disadvantages

Inefficient and uneconomical to use for applications in which
activity ratio is low

Limited to batch-processing environment because of the need to
accumulate transactions in batches

Precludes possibility of up-to-the-minute data because of the need
to accumulate transactions in batches

Requires extra overhead of sorting the files before using them for
processing

Leads to data redundancy problem

Ref. Page 324 Chapter 16: Business Data Processing Slide 17/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Direct Files

Direct/random file organization is suitable for applications that
directly locate any record by its key field value, without having to
search through a sequence of other records

A direct file stores each record at a location to which the address-
generating function maps the records key field value

This mechanism is known as hashing and the address-generating
function is called hashing algorithm

Hashing algorithm sometimes maps the key values of two or more
records to same storage address. This problem is known as collision

To search a record, given its key value, the computer applies the
hashing algorithm on the given key to generate its corresponding
address

If required, an application can process the records of a direct file
sequentially in ascending/descending sequence of key field value
(Continued on next slide)

Ref. Page 325 Chapter 16: Business Data Processing Slide 18/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Direct Files

Advantages

Can quickly locate and retrieve any record directly

Does not require sorting of transactions

Does not require accumulation of transactions in batches

Can support interactive online applications

Application can process direct file records sequentially

Disadvantages

Require relatively expensive hardware and software resources

Due to address generation overhead involved, they are less
efficient and economical than sequential files for high activity ratio
applications

Often require special security and access synchronization
mechanisms

Ref. Page 326 Chapter 16: Business Data Processing Slide 19/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Indexed Sequential Files

In indexed sequential file organization, there are two files for
every data file data file and index file

Data file can store the records in random sequence

Index file stores the index keys in sorted sequence on index
key value

This technique of file management is known as Indexed
Sequential Access Method (ISAM) and files of this type are
called ISAM files

(Continued on next slide)

Ref. Page 326 Chapter 16: Business Data Processing Slide 20/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Indexed Sequential File: Example

Employee Address
Address location Employee record
code (key) location
0001 1003 1001 0002 R. S. Patel
0002 1001 1002 0004 R. K. Rana
0003 1004 1003 0001 K. P. Sinha
0004 1002 1004 0003 N. P. Singh

Index file Data file

Ref. Page 327 Chapter 16: Business Data Processing Slide 21/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Indexed Sequential Files

Advantages

Applications in which activity ratio is high, can use index sequential
files quite efficiently for sequential processing

Applications in which activity ratio is low, can also use index
sequential files quite efficiently for direct access processing

Disadvantages

Require relatively expensive hardware and software resources

Require more storage space than other types of files

Are unsuitable for online applications requiring direct access to
records

Ref. Page 327 Chapter 16: Business Data Processing Slide 22/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

File Utilities

Are routines, which perform generic operations on data files

Sorting utility

Arranges records of a file in some defined sequence

Keys determine the sorting sequence of the files records

Enables users to specify their sequencing requirements for a
file by means of input parameters

Reads un-sequenced records of an input file, and by means of
various copying techniques, ultimately produces an output file
containing records of the input file in desired sequence

Searching utility

Finds a particular record in a file

Matches the specified key values with their values in each
record to search the desired record

Efficiency of a search algorithm depends on file organization
(Continued on next slide)

Ref. Page 327 Chapter 16: Business Data Processing Slide 23/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

File Utilities

Searching a record from a direct or index sequential file
requires much less time than searching a record from a
sequential file

Merging utility

Combines records of two or more ordered (sorted) files into a
single ordered file

Requires records of each of the input files to be sorted in the
same order, although their record layout need not be identical

Places records from each of the input files in their correct
relative order, producing an output file having all records in the
same order as input files

Copying utility

Produces a copy of a file either from one unit of a storage
device to another similar unit or from one storage medium to
another (Continued on next slide)

Ref. Page 328 Chapter 16: Business Data Processing Slide 24/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

File Utilities

Users often use file copying utility to take back-up copies of

files

Copying utilities are also known as peripheral interchange
programs (PIP) since users often use them to copy a file from
one peripheral device to another

Printing utility

Printing utility prints a file on a printer to produce hard copy of
its contents

Provides the facility to print file contents in different formats

Provides some selection and editing facilities to enable printing
of parts of files

Provides special formats for printing files that contain program
instructions rather than data

(Continued on next slide)

Ref. Page 329 Chapter 16: Business Data Processing Slide 25/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

File Utilities

Maintenance utility

Copies data from one or more files to a new file selectively, or
updates a files contents selectively

Ref. Page 329 Chapter 16: Business Data Processing Slide 26/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Sorting on One Key and Two Keys: Examples

Other fields Other fields

(Name, Employee Department (Name, Address,
Employee Department Address, code code Qualification, Basic
code code Qualification, salary, etc.)
Basic salary,
etc.) 124 1 ---
101 2 --- 178 1 ---
123 3 --- 213 1 ---
124 1 --- 101 2 ---
176 2 ---
176 2 ---
178 1 ---
123 3 ---
202 3 ---
202 3 ---
213 1 ---

Sorting on one key in ascending Sorting on two keys in ascending employee-code (secondary
employee-code sequence key) within ascending department-code (primary key)

Ref. Page 328 Chapter 16: Business Data Processing Slide 27/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Merging Utility: Example

Input file Output file Input file

Employee Other Employee Other Employee Other
code fields code fields code fields
125 112 112
127
119
119

137 125 129
146 127 139
159 129 150
137 152
File A
139

File B
146
150
152
159
File C
Merging of files A and B to produce file C

Ref. Page 329 Chapter 16: Business Data Processing Slide 28/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Database Management
System

Chapter 16: Business Data Processing Slide 29/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Database Management System

In database-oriented approach of organizing data, a

set of programs is provided to facilitate users in
organizing, creating, deleting, updating, and
manipulating data in a database

All these programs together form a Database
Management System (DBMS)

Ref. Page 330 Chapter 16: Business Data Processing Slide 30/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Database Models

Database model defines the manner in which the

various files of a database are linked together.

Four commonly used database models are:

Hierarchical

Network

Relational

Object-oriented

Ref. Page 330 Chapter 16: Business Data Processing Slide 31/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Hierarchical Databases

Hierarchical database links its data elements as an inverted
tree structure

Below the single-root data element are subordinate elements,
each of which, in turn, has its own subordinate elements, and
so on

Tree can grow to multiple levels

There may be many children elements under each parent
element, but there can be only one parent element for any
child element

Main limitation of hierarchical database is that it does not
support flexible data access

Applications can access its data elements only by following
paths formed by branches of the tree structure

Ref. Page 330 Chapter 16: Business Data Processing Slide 32/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Hierarchical Database: Example

Organization A parent element

Personnel Finance Technical

department department department

Managers Support Managers Support Managers Engineers Technicians Support

staff staff staff

A child element

Ref. Page 330 Chapter 16: Business Data Processing Slide 33/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Network Databases

Network database is an extension of hierarchical database

Organizes its data elements in such a manner that they
have parent-child relationship among them

Designer must determine all types of relationships among
data elements while designing the database

A child data element can have more than one parent
element or no parent element at all

Parent and child elements can have many-to-many
relationships

Ref. Page 331 Chapter 16: Business Data Processing Slide 34/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Network Database: Example

College

Computer
Courses English Hindi Mathematics
Science

Students Seeta Geeta Ram Mohan Sohan Raju

A child element can have more than one parent element

This child element has no parent element

Ref. Page 331 Chapter 16: Business Data Processing Slide 35/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Relational Databases

Relational database organizes its data elements as multiple

tables with rows and columns

Each table column represents a data field, and each row
represents a data record (also known as a tuple)

Relational database model provides greater flexibility of data
organization and future enhancements in database as
compared to hierarchical and network database models

Applications can organize their data elements in a relational
database in a manner that is identical to real-life relationships
between data elements

(Continued on next slide)

Ref. Page 331 Chapter 16: Business Data Processing Slide 36/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Relational Databases

For adding new data to an existing relational database, there

is no need to redesign the database afresh

Users can also reorganize data elements, when necessary, to
create new tables by selecting certain rows or specific
columns from other tables, or by joining columns and rows
from two separate tables

Ref. Page 331 Chapter 16: Business Data Processing Slide 37/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Relational Database: Example

Membership Members Members Address Borrower Book No. Due Date
No. name (Membership No.) (ISBN) (DD-MM-YYYY)
83569 K. N. Raina C-15, Sarita Vihar, Pune-7 12859 27-21675-2 10-12-2007
62853 D. P. Singh A-22, Anand Park, Pune-5 11348 89303-530-0 08-11-2007
12859 R. Pandey D-18, Vrindavan, Pune-7 32228 13-201702-5 10-11-2007
32228 R. S. Gupta A-12, Nandanvan, Pune-2 16185 22-68111-7 05-12-2007
23466 S. K. Ray B-05, Royal Villa, Pune-3 12859 71606-214-0 06-11-2007
11348 P. K. Sen B-16, Anand Park, Pune-5 62853 13-48049-8 15-11-2007
16185 T. N. Murli A-11, Vrindavan, Pune-7 11348 18-23614-1 12-11-2007
(a) Members data table. (b) Borrowed books data table

Book No. (ISBN) Book Title Author

13-201702-5 Concepts of Physics H. C. Verma
13-48049-8 Concepts of Chemistry S. S. Dubey
18-23614-1 Astrology for You N. K. Sharma
(c) Books data table
22-68111-7 Fundamentals of Computers K. Ramesh
27-21675-2 C++ Programming R. P. Rajan
71606-214-0 Computer Networks A. N. Rai
89303-530-0 Database Systems P. N. Dixit

Ref. Page 332 Chapter 16: Business Data Processing Slide 38/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Sample Report

List of overdue books as on 10-11-2011

Membership Members Members Due Book No. Book Title Book
No. Name Address Date Author
11348 P. K. Sen B-16, 08-11 89303-530-0 Database P. N. Dixit
Anand Park, Systems
Pune-5
32228 R. S. Gupta A-12, 10-11 13-201702-5 Concepts of H. C. Verma
Nandanvan, Physics
Pune-2
12859 R. Pandey D-18, 06-11 71606-214-0 Computer A. N. Rai
Vrindavan, Networks
Pune-7

A report of overdue books as of 10-11-2011 from the

sample database of previous slide

Ref. Page 333 Chapter 16: Business Data Processing Slide 39/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Object-oriented Databases

Some key features that several applications require for

effective modeling are:

Ability to model complex nested entities

Support for general data types found in object-oriented
programming languages

Support for frequently useful object-oriented concepts such as
object, class, inheritance, etc.

Support for proper match between object-oriented programming
languages and database languages

Object-oriented database is a collection of objects whose
behavior, state, and relationships are in accordance with
object-oriented concepts

(Continued on next slide)

Ref. Page 333 Chapter 16: Business Data Processing Slide 40/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Object-oriented Databases

Object-oriented database management system allows

definition and manipulation of an object-oriented database

It provides direct support for the definition and
manipulation of the relationships among objects

Ref. Page 334 Chapter 16: Business Data Processing Slide 41/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Object-Oriented Database
Vehicle VehicleSpecs

Id Length
Color Width
Specifications Height
Manufacturer Engine Type
Fuel Type
Fuel Tank Capacity
No. of Wheels
TwoWheeler FourWheeler
Other details Other details
of the vehicle of the vehicle Company Employee
like with/ like no. of
without gear, doors, seating Name Id
seating capacity, etc. Location Name
capacity, etc. President Age

DomesticCompany ForeignCompany

Class/subclass link Other details of Other details of

Attribute/domain link the company the company

Ref. Page 334 Chapter 16: Business Data Processing Slide 42/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Main Components of a DBMS

DBMS allows users to organize, process and retrieve

selected data from a database without knowing about the
underlying database structure

Four major components of a DBMS that enable this are:

Data Definition Language (DDL): Used to define the
structure (schema) of a database

Data Manipulation Language (DML): Provides
commands to enable the users to enter and manipulate
the data

(Continued on next slide)

Ref. Page 335 Chapter 16: Business Data Processing Slide 43/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Main Components of a DBMS

Query Language: Enables users to define their

requirements for extracting the desired information
from the database in the form of queries

Report generator: Enables the users of a database
to design the layout of a report so that it can be
presented in the desired format

Ref. Page 336 Chapter 16: Business Data Processing Slide 44/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Creating a Database

Creation of a database is a three step process:

Defining its structure (schema)

Designing forms (custom screens) for displaying and
entering data

Entering the data into it

Ref. Page 337 Chapter 16: Business Data Processing Slide 45/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Sample Database Form

EMPLOYEE DATABASE DATA ENTRY FORM

EMPLOYEE ID: 856392 SEX: M AGE: 42

EMPLOYEE NAME: LAST NAME: SINHA

FIRST NAME: PRADEEP

MIDDLE NAME: KUMAR

CONTACT ADDRESS: ADDRESS 1: F/8, ANAND PARK

ADDRESS 2: SOCIETY, AUNDH

CITY: PUNE

STATE: MH
POSTAL CODE: 411007

TELEPHONE NO.: (020) 5680-489

ANY OTHER INFORMATION: IS FLUENT IN JAPANESE LANGUAGE

Ref. Page 338 Chapter 16: Business Data Processing Slide 46/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha
Viewing, Modifying, Deleting, and
Adding Records

All database systems provide commands to view,

modify, delete, or add records of an already established
database

Many database systems also provide a facility to set up
a filter allowing user to browse through and view only
those records that meet some criterion

Ref. Page 339 Chapter 16: Business Data Processing Slide 47/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Searching a Database

Commonly supported features for enabling a user to

search for desired information in a database are:

Find command: Used for simple database queries

Query language: Used for more complex database
queries

Query By Example (QBE): Provides a simple user
interface for specifying search criteria

Ref. Page 340 Chapter 16: Business Data Processing Slide 48/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Creating Reports

Reports are generated by using report generator of a

database system to assemble the output of a database
query in desired format

Report generator enables a user to specify layout of the
report, titles & subtitles for the report, column
headings for various fields, and other elements to
make the report appear more presentable

Ref. Page 341 Chapter 16: Business Data Processing Slide 49/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Sample Output of Report

LIST OF EMPLOYEES WHO BELONG TO PUNE

DATE: DECEMBER 17, 2010

LAST FIRST ADDRESS-1 ADDRESS-2 TELEPHONE

NAME NAME NUMBER
Gupta Rajiv A-12, Nandanvan M. G. Road 4623-4892
Murli Tapan A-11, Vrindavan Pashan Road 5863-4905
Pandey Rupa D-18, Vrindana Pashan Road 5865-3236
Raina Pushpa C-15, Sarita Vihar Aundh Road 5755-8328
Ray Suhas B-05, Royal Villa M. G. Road 4685-6356

Sen Prakash B-16, Anand Park Aundh Road 5762-3333

Singh Deepak A-22, Anand Park Aundh Road 5728-6287

The report is sorted in alphabetical order on last name of employee

Ref. Page 342 Chapter 16: Business Data Processing Slide 50/52

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 Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Key Words/Phrases

Activity ratio
Database model

Backup file
Direct file

Collision
Field

Copying
File

Data
File Management System (FMS)

Data Definition Language (DDL)
File utilities

Data dependence
Filter

Data dictionary
Hashing

Data file
Hashing algorithm

Data integrity
Hierarchical database

Data Manipulation Language
Index file
(DML)
Indexed sequential file

Data processing
Information

Data redundancy
Master file

Data storage hierarchy
Merging

Database
Network database

Database administrator
Output file

Database Management System
Peripheral Interchange Program
(DBMS)
Primary key

(Continued on next slide)

Chapter 16: Business Data Processing Slide 51/52

Computer Fundamentals: Pradeep K. Sinha & Priti Sinha

Key Words/Phrases

Query By Example

Query language

Record

Relational database

Report file

Report Generator

Schema

Searching

Secondary key

Sequential file

Sorting

Transaction file

Tuple

Chapter 16: Business Data Processing Slide 52/52

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