1.(a) What are the needs for Ensuring Accurate, Reliable and Timely Processing of Data?

In data processing the following things should be kept in mind.

Accuracy: Accuracy can be quantified as a ratio of correct information to the total amount of information
produced over a period of time. If I receive 100 information and 90 of them are accurate then I can say accuracy is 90%.

Brevity: When important information is accompanied with relatively useless data, then assimilation of the
important information may become very difficult and thus may escape from the attention of the users. The managers are face with the problem of extracting and understanding of those items of information that they need for taking decisions.

Timeliness: The value of information also depends on when it is made available to the decision maker and
how quickly system responds to the user request for information. The response time should be short enough that the information does loose its freshness and value. Completeness: Information should be complete so that a manager can take decisions confidently. Information received in bits and pieces may have lobe connected together to make out the meaning. Decision Making: Information is of some value when it can be used for taking the right kind of decision.This information will be very useful for him as he can take decision to sell his shares to reduce loss.

All these qualities of information are major concerns of the information system manager. Not only the information must be readily available but it is stored properly, intact in a classified and indexed manner, its retrieval time will be high even for a computer.

1(b)How data are classified by source?

Source data are the digital data that are handwritten or printed on a source document or typed into the computer system from a keyboard or terminal. It can be of the following two types

i)

Raw data: Raw data are those data that have not been processed or manipulated. For example, a number 40 is a raw fact. When it is manipulated by saying that the age of Mr. X is 40, it becomes information. Hence raw data are not of much use Derived data: Derived data are the data values that are obtained from the values of various other data items by using a specified algorithm

ii)

1(c) How data elements are classified by function?

Data elements are classified by the function performed on them. Thus data elements are of the following types: Transactional Data Elements: Most of the transactions give rise to the data. If it is an inventory transaction then you would need data like Product description, Quantity sold, Gross sale value, etc. Similarly, if the payment has been made to the vendor, then the transaction will be an accounts transaction data. Reference Data Elements: Some data in a business arc generated for the purpose of reference. In a sales transaction, when the sale is made, an invoice or a cash memo is prepared and the transaction data are recorded in the relevant document. However, in the course of a business, it is often necessary to trace and refer to that transaction. So a reference number is given to the invoice number, sales order number, invoice or cash memo. Planning Data Elements: Some data are not generated due to a transaction but are created on the basis of the policy decision. These can also be on the basis of some budget transactions, etc. Control-Related Data Elements: Some data elements are generated for control purposes by the management. These can of the nature of the upper credit limit of an account, etc. Security-Related Data Elements: Security concerns everyone. To guard against unauthorized access to data, users are often assigned codes. The data related to these is security related data. Validation Data Elements: Some data are used to ensure completeness and accuracy of processing. While processing a batch of invoices, the total value of all invoices can be provided as validation data. The computer, while processing the invoices, will calculate this total and match with the one that is provided.

2.Differentiate between real time and online processing.

Online processing permits transaction data to be fed directly into secondary on-line storage devices. These data may be keyed in by the use of a typewriter or other terminals. The CPU can make programmed input control checks during this process. Using these input data, appropriate records may be quickly updated. The access to, and retrieval of, any record is quick and direct. On line stations

Transaction input

CPU

Enquiry input/System response Diagram of on-line processing.

Direct access on line storage device

In real time processing the response is immediate from the computer. A system in which a transaction accesses and update a file quickly enough to affect the original decision making is called a real time system.

Real time processing occurs immediately the function is sent to action. Online processing is set in queue and can take overnight to process. In most cases online processing is like this web page. Information typed in and it take minutes to go through the up load and populating process.

3(a). What are the characteristics of real time system?

A system in which a transaction accesses and update a file quickly enough to affect the original decision making is called a real time system. The characteristics of real time system are: Control of external components Respond to asynchronous events Most activities/events are independent Some actions/events are related High speed execution Fast response Low overhead Deterministic operation A late answer is a wrong answer Usually embedded in larger system Examples: robotics, anti-lock braking system, fax machines. Resource constrained

3.What Information for planning, coordination and control? OR Explain the requirements of user involvement in identifying and organising its information needs.
In order to understand the requirements of information for planning etc. we should first understand the term strategy. Strategy is the desired configuration of the firm at a future specified date. This configuration, identity or posture of the firm may be described in terms of the following parameters.

Scope: It covers the various aspects of the product as far as the market is concerned. Whether the product stands a chance in the market, what is the competition, which part of the country it is going to sell more and if there is any chance of seasonal marketing. All these aspects have to be looked into. Competitive Edge: To sells product you must know, what others are doing. How much discount are they offering and how? These days the trend is offer various discount schemes with the products like if you buy 3, you will get the 4th free. These type of marketing strategy of the competitors should be known beforehand to overcome the competition. Specifications of Targets: As mentioned earlier, there should be a clear concept of the target audience. You must know where your product is going to sell. Like for example these days Reliance is selling their mobile connection to one and all. They know that mobile is needed by everyone in the rural sector. Assignment of Resources: These are definitely for the top level management. They should know in advance when the resources are needed and when not. I remember the Ilamdard people would pick up money from the market every year in the months of March to May for a period of 6 months. Since those were the months when they would manufacture Rooh Afzha to the maximum and then by the month of September they would stop production and return the amount collected from selling of the product. This is called the rotation of funds.

4.How Information for long term planning can be achieved?

In order to undertake long term planning in an organisation, the needed information can be acquired by performing analysis on the following lines. (a) Analysis the environment (b) Identifying the company strength and weakness (c) Identifying the opportunities and risks (d) Defining product/market scope Analysing the environment: Identify the condition existing and future ones in the environment that have an influence on the business. The objective is to identify new opportunity for existing and new products as well as services and major future risks to market position and profit margins. Condition of primary interest needing analysis would include economic, competitive, technological, governmental and market. The information will be needed to satisfy long term planning goals. Identifying the companys strength and weakness:- After an analysis of the conditions stated above and an orderly review of products, markets process, personnel and facilities, certain strength and weakness will emerge. Such resource analysis will not only serve to highlight possible competitive advantages available to the company but also provide focus on opportunities and risks. Information pertaining to these factors will have to be collected and disseminated. Identifying opportunities and risks: The company at this point, be able to identify opportunities in the environment to fill a unique niche. These opportunities occur when there are specific needs for products or services which the firm is uniquely able to supply because of its resources. Defining product/ market scope: This involves the explicit definition of the future scope of the companys activities. The main idea is to concentrate on a very limited number of carefully defined products/market segments.

4(a). Explain the three levels of information required within an organisation for planning, control and decision-making ?
The three levels at which information can be used are strategic, tactical and operational and there is a direct correlation between the levels of importance of individuals or groups within an organisation and the level of information that is being communicated. Strategic information : Strategic information is used at the very top level of management within an organisation. These are chief executives or directors who have to make decisions for the long term. Strategic information is broad based and will use a mixture of information gathered from both internal and external sources. Tactical information: Tactical planning and decision-making takes place within the guidelines set by the strategic plan. Tactical information will be mostly internal with a few external sources being used. Internal

information is likely to be function related: for example, how much down time a production line must allocate for planned maintenance. Tactical information is used by middle management (employees) when managing or planning projects. Operational information: The lowest level of management or workers in an organisation implements operational plans. These may be section leaders or foremen in a large organisation or workers such as shop assistants, waiting staff, and kitchen staff, etc., in smaller businesses where there is no supervisory layer. The timescale is usually very short, anything from immediately, daily or at most a week or month. Results of operational work will usually be passed upwards to let the tactical planners evaluate their plans.

4(b). Explain the three levels of management.

The term Levels of Management refers to a line of demarcation between various managerial positions in an organization. The number of levels in management increases when the size of the business and work force increases and vice versa. The level of management determines a chain of command, the amount of authority & status enjoyed by any managerial position. The levels of management can be classified in three broad categories: -

1. 2. 3.

Top level / Administrative level Middle level / Executory Low level / Supervisory / Operative / First-line managers

Managers at all these levels perform different functions. The role of managers at all the three levels is discussed below: 1. Top Level of Management It consists of board of directors, chief executive or managing director. The top management is the ultimate source of authority and it manages goals and policies for an enterprise. It devotes more time on planning and coordinating functions. The role of the top management can be summarized as follows a. Top management lays down the objectives and broad policies of the enterprise. b. It issues necessary instructions for preparation of department budgets, procedures, schedules etc. c. It prepares strategic plans & policies for the enterprise. d. It appoints the executive for middle level i.e. departmental managers. e. It controls & coordinates the activities of all the departments. f. It is also responsible for maintaining a contact with the outside world.

g. It provides guidance and direction. h. The top management is also responsible towards the shareholders for the performance of the enterprise. 2. Middle Level of Management The branch managers and departmental managers constitute middle level. They are responsible to the top management for the functioning of their department. They devote more time to organizational and directional functions. In small organization, there is only one layer of middle level of management but in big enterprises, there may be senior and junior middle level management. Their role can be emphasized as a. They execute the plans of the organization in accordance with the policies and directives of the top management. b. They make plans for the sub-units of the organization. c. They participate in employment & training of lower level management. d. They interpret and explain policies from top level management to lower level.

e. They are responsible for coordinating the activities within the division or department. f. It also sends important reports and other important data to top level management.

g. They evaluate performance of junior managers. h. They are also responsible for inspiring lower level managers towards better performance. 3. Lower Level of Management Lower level is also known as supervisory / operative level of management. It consists of supervisors, foreman, section officers, superintendent etc. According to R.C. Davis, Supervisory management refers to those executives whose work has to be largely with personal oversight and direction of operative employees. In other words, they are concerned with direction and controlling function of management. Their activities include a. Assigning of jobs and tasks to various workers.

b. They guide and instruct workers for day to day activities. c. They are responsible for the quality as well as quantity of production. d. They are also entrusted with the responsibility of maintaining good relation in the organization. e. They communicate workers problems, suggestions, and recommendatory appeals etc to the higher level and higher level goals and objectives to the workers. f. They help to solve the grievances of the workers.

g. They supervise & guide the sub-ordinates. h. They are responsible for providing training to the workers. i. j. They arrange necessary materials, machines, tools etc for getting the things done. They prepare periodical reports about the performance of the workers.

k. They ensure discipline in the enterprise. l. They motivate workers.

m. They are the image builders of the enterprise because they are in direct contact with the workers.

5.Explain the functions of management in a business organisation.

Four major functions of management are:

Planning: Planning is the first and base component of management. It involves recognizing the organizations goals and developing strategies to achieve these goals. This is called strategy planning. These strategies may have to be altered or completely changed constantly based on the macro and micro factors affecting an organization.. Examples of planning are strategic planning, marketing planning, business planning, succession planning, project planning, sales planning, etc.

Organising: Organizing is an important responsibility of a manager. Unless a manager manages in an organized manner, no work will get done. A managers organizational responsibilities include organizing the resources of an organization, identifying different roles, choosing the right people for these roles, delegating tasks to people, etc. He also has to ensure that the employees have the required resources to perform their tasks better. Inefficient organization can lead to chaos in the company.

Directing: Even though many use the term managing and leading synonymously, nothing could be farther from the truth. Simply managing tasks means making people do their jobs. But leading means influencing and inspiring people in such a way that they feel motivated to do their jobs. People find it easier to follow a leader. Following the orders of a manager is something that is done as a part of ones job, but following a leader is something that is done more willingly by people. Thus, every

manager must aim at becoming a good leader. A leader focuses on interpersonal relations with each employee and constantly motivates them to perform better. By creating a positive working environment a leader can effectively help improve the employees job performance and hence their morale.

Controlling: Controlling as the name suggests means controlling the various functions in the organization to ensure they are on track with the goals that were set at the beginning of the planning process. Controlling also involves setting certain performance standards for the employees and constantly evaluating their job performance. Sometimes the strategies and plans that were developed and implemented may not work out as initially planned due to certain external factors. Controlling and evaluating helps a manager recognize these failures and quickly implement corrective measures to bring the task back on track.

5(a). What is the difference between data and information?

Data 1. 2. 3. 4. 5. 6. 7. 8. 9. The word Data is derived from the plural form of latin word Datum, which means to give. Originated at mid 17th century. Data is a collection of raw facts. May or may not be meaningful. Input to any system may be treated as Data. Understanding is difficult. Data must be processed to understand. Data may not be in the order. Example: Statistics, numbers, characters, images.

Information 1. 2. 3. 4. 5. 6. 7. 8. 9. The word Information is derived from latin word Informare, which means to instruct. Originated at late middle time. Information is the outcome derived after processing the data. Information is always meaningful. Output after processing the system is Information. Understanding is easy. Information is already in understandable form, it may be processed further to make it more understandable. Information should be in the order. Example Reports, Knowledge.

6.Write the qualities of information in business decision making.

The information obtained and used should be needed for decision-making. It doesn't matter how interesting it is. Businesses are often criticised for producing too much information simply because their information systems can "do it".

Up-to-date Information needs to be timely if it is to be actioned. The information should be accurate as far as possible. It should be free from errors. Accurate information is usually a function of accurate data collection. . However, businesses need to guard against trying to produce "perfect" information - it is often more important for the information to be up-to-date than perfect. Easy to use and understand Information should be clearly presented (e.g. use summaries, charts) and not too long. It also needs to be communicated using an appropriate medium. Reliable Information should come from authoritative sources. It is good practice to quote the source used

6(a). Compare the data processing task of computer and clerk.

Sl. No. 1 2 Basis for comparison Speed of execution Ability to continue processing over an extended period Ability to remember/ retrieve information Accuracy of work Ability to constantly follow instruction Clerk Relatively slow Very poor Computer Extremely fast Very good

3 4 5

Relatively inaccurate Make error Imperfect

Accurate Virtually make no error Perfect

7.Describe monitoring and control.

It consists of the processes performed to observed project execution so that potential problems can be identified in a timely manner and corrective actions can be taken when necessary to control the execution of the project. The key benefit is that project performance is observed and measured regularly to identify variances from the project management plan Monitoring and condoling includes (i) Measuring the on-going project activities.

(ii) Monitoring the project variable against the project management plan and project performance base line. (iii) Identify corrective action to address issue and risk properly. (iv) Influencing the factor that could integrate change control. So only approved changes are implemented.

8.Describe the levels of management.

Generally, there are Three Levels of Management, viz., 1. Administrative or Top Level of Management. 2. Executive or Middle Level of Management. 3. Supervisory or Lower Level of Management Top Level of Management The main role of the top level management is summarized as follows :1. The top level management determines the objectives, policies and plans of the organisation. 2. They mobilises (assemble and bring together) available resources.

3. The top level management does mostly the work of thinking, planning and deciding. Therefore, they are also called as the Administrators and the Brain of the organisation. 4. They spend more time in planning and organising. 5. They prepare long-term plans of the organisation which are generally made for 5 to 20 years. 6. The top level management has maximum authority and responsibility. They are the top or final authority in the organisation. They are directly responsible to the Shareholders, Government and the General Public. The success or failure of the organisation largely depends on their efficiency and decision making. Middle Level of Management The middle level management emphasize more on following tasks :1. Middle level management gives recommendations (advice) to the top level management. 2. It executes (implements) the policies and plans which are made by the top level management. 3. It co-ordinate the activities of all the departments. 4. They also have to communicate with the top level Management and the lower level management. 5. They spend more time in co-ordinating and communicating. 6. They prepare short-term plans of their departments which are generally made for 1 to 5 years. 7. The middle Level Management has limited authority and responsibility. They are intermediary between top and lower management. They are directly responsible to the chief executive officer and board of directors. 8. Require more managerial and technical skills and less conceptual skills. Lower Level of Management The lower level management performs following activities :1. Lower level management directs the workers / employees. 2. They develops morale in the workers. 3. It maintains a link between workers and the middle level management. 4. The lower level management informs the workers about the decisions which are taken by the management. They also inform the management about the performance, difficulties, feelings, demands, etc., of the workers. 5. They spend more time in directing and controlling. 6. The lower level managers make daily, weekly and monthly plans. 7. They have limited authority but important responsibility of getting the work done from the workers. They regularly report and are directly responsible to the middle level management.

8(a). Where historical data are required?

It is used for reference and analysis purposes. Organization stores data for planning, forecasting and taking different decisions and actions. These actions are largely based on the historical data.

9.What is a computerised business information system?

A computerised business information system is a set of computerised components for gathering, storing, and processing business data items and for converting such data items into useful, decision oriented information. A computer-based information system (CBIS) is an information system in which the computer plays a major role. Such a system consists of the following elements:

 Hardware: The term hardware refers to machinery. This category includes the computer itself, which is often referred to as the central processing unit (CPU), and all of its support equipments. Among the support equipments are input and output devices, storage devices and communications devices. Software: The term software refers to computer programs and the manuals (if any) that support them. Computer programs are machine-readable instructions that direct the circuitry within the hardware parts of the CBIS to function in ways that produce useful information from data. Programs are generally stored on some input / output medium-often a disk or tape. Data: Data are facts that are used by program to produce useful information. Like programs, data are generally stored in machine-readable from on disk or tape until the computer needs them. Procedures: procedures are the policies that govern the operation of a computer system. "Procedures are to people what software is to hardware" is a common analogy that is used to illustrate the role of procedures in a CBIS. People: Every CBIS needs people if it is to be useful. Often the most over-looked element of the CBIS is the people: probably the components that most influence the success or failure of information system.

9(a). Illustrate the difference between traditional file processing system and relational database system.
File Processing System Since all the files are independent of each other. So some of the fields or files are stored more than once. Hence duplicacy is more in case of file approach Data is not consistent (If a data item is changed the all the files containing that data item need to be changed and updated properly. If all the files are not updated properly there may be high risk of inconsistency.) File oriented system have poor data integrity control Relational Database System It has controlled duplicacy.

Data is consistent

Data integrity has been achieved in relational database system. Files are in the form of table in secured database, so cannot be easily located and trapped It can be controlled in relational database system.

All the files are stored in the flat form or text files. These files can be easily located and trapped because file approach, has no data security. Concurrency problem exists, means using a same record at same time.

10.What are the types of data processing methods?

Batch processing Definition: To process a large set of data in a specific way, automatically, without needing any user intervention. The data is first collected, during a work day, for example, and then batch-processed, so all the collected data is processed in one go. This could happen at the end of the work day, for example, when computing capacities are not needed for other tasks. Advantages: It is possible to perform repetitive tasks on a large number of pieces of data rapidly without needing the user to monitor it. Interactive or Online Processing Definition: Data is processed immediately while it is entered, the user usually only has to wait a short time for a response. (ex. games, word processing, booking systems). Interactive or online processing requires a user to supply an input.

Advantages: Interactive or online processing enables the user to input data and get the results of the processing of that data immediately. Real time Processing Real time processing is a subset of interactive or online processing. Definition: Input is continuously, automatically acquired from sensors, for example, which is processed immediately in order to respond to the input in as little time as possible. After the system is finished responding it reads the next set of input data immediately to process that. This system doesn't need a user to control it, it works automatically. Advantages: Whenever there is a rapid reaction required due to some sort of change, real time processing can take action without the need of a user or long processing time beforehand.

10(a). What five operations are performed by all data processing systems?

There are 5 main operations any data processing systems would take place. Inputs: For producing outputs, the system will require data about various activities that are taking place both within as well as outside the organization. Processitig Logic: Step-by-step logic of generating outputs, starting with inputs and using stored data. This becomes the basis for writing computer programs. Procedures: Procedures are designed to link and tie-up the above mentioned four components of business system together. Procedures laydown the methods, schedules and responsibilities for various activities necessary to operate the business system successfully Outputs: The very purpose of designing a business system is to produce outputs which should help managers in taking various decisions. Stored Data: For producing useful outputs, a business system needs to store a lot of data about entities of concern to the system. The stored data may relate to the past as well as current status of business. Let us now look at various of business applications