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What is data processing?

"Data processing" means any operation performed on the data such as collection, use,
management or disclosure.

A few examples:

a shop asking customers to fill in an answer slip processes data;

a hotel offering the possibility of online reservation also processes data if it requires guest
names, the dates of their stay and their credit card number.

Information and communication technologies have evolved


rapidly, offering many possibilities and numerous
advantages.

Thanks to computers and the internet, companies as well as public authorities can guarantee a
better service, and make our daily lives easier.
Using technologies can also jeopardise our privacy, however, since the data disseminated by new
technologies are often personal. Databases or files containing personal data are created, used,
disclosed and sold. Consequently, it is becoming ever more difficult to know who has which data
and what is being done with them. We no longer have control over our data, and the risk of abuse
has grown accordingly.
Since 1992 Belgium has had an act ensuring that personal data cannot be processed
unconditionally, better known as the Privacy Act. The Belgian Privacy Act gives a very precise
description of the way and the circumstances in which personal data may be processed or
transferred. It establishes a framework for the use of personal data and determines the rights and
duties of those whose personal data are processed, as well as of processors.

Before you continue, it is important to know that the Privacy


Act does not apply when data are collected for purely
personal or household purposes.
Examples are a personal electronic diary or a private address file. Furthermore, journalists,
writers and artists are exempt from certain obligations imposed by the Privacy Act in the context
of journalistic and artistic freedom.
A data processing operation starts with the collection of data. But prior to collection the
controller has to notify the processing to the Privacy Commission. You can read more details
about notifications in the corresponding theme section. Since notification is only possible in
French or Dutch, you are kindly requested to consult the French or Dutch version of this section.
Data must be collected in all honesty and transparency, which means that the individual to whom
the data relate (data subject) must be informed about the processing by the controller or a
representative, if any.

Controllers must:

indicate why they wish to obtain the personal data;

provide their contact details;

inform data subjects who will receive their data;

mention that data subjects have the right to access their data and have them rectified;

mention that data subjects can object free of charge to the use of their data for direct
marketing, such as publicity campaigns.

Controllers must not:

say that they are trying to achieve a certain purpose whereas they have other intentions
with the data collected;

act without the data subjects' knowledge. If the latter have placed an order on a website,
for instance, disclosing their personal data in the process, the website must provide for a
section mentioning what will be done with the data. This section is usually called
"privacy policy". It is therefore important that data subjects read this section in advance.

Personal data may only be collected if they are necessary to


achieve the purpose indicated and if they are relevant.

For example: a shopkeeper may ask for his customers' name and address for invoicing purposes
or to inform customers about his commercial activities. He has no valid reason, however, to ask
customers for their date of birth or profession.
Those who process data do not always have to address data subjects directly to obtain their
personal data. They can also obtain the data from another individual or from bodies or companies
managing databases.

Two examples:

a GP sends patient data to a specialist;

a company can ask a temporary employment agency to send them a list of the CV's of
individuals meeting the desired professional profile.

However, the principle establishing that data subjects must be informed still holds.
If it is impossible or would involve a disproportionate effort, controllers are exempt from this
obligation to inform data subjects, but they always have to justify this to the Privacy Commission
adding the justification to their notification prior to starting the processing operation.
What is Data Processing?
Data processing is simply the conversion of raw data to meaningful information through a
process. Data is manipulated to produce results that lead to a resolution of a problem or
improvement of an existing situation. Similar to a production process, it follows a cycle where
inputs (raw data) are fed to a process (computer systems, software, etc.) to produce output
(information and insights).
Generally, organizations employ computer systems to carry out a series of operations on the data
in order to present, interpret, or obtain information. The process includes activities like data
entry, summary, calculation, storage, etc. Useful and informative output is presented in various
appropriate forms such as diagrams, reports, graphics, etc.
Stages of the Data Processing Cycle
1) Collection is the first stage of the cycle, and is very crucial, since the quality of data collected
will impact heavily on the output. The collection process needs to ensure that the data gathered
are both defined and accurate, so that subsequent decisions based on the findings are valid. This
stage provides both the baseline from which to measure, and a target on what to improve.
Some types of data collection include census (data collection about everything in a group
or statistical population), sample survey (collection method that includes only part of the total
population), and administrative by-product (data collection is a byproduct of an organizations
day-to-day operations).

2) Preparation is the manipulation of data into a form suitable for further analysis and
processing. Raw data cannot be processed and must be checked for accuracy. Preparation is
about constructing a dataset from one or more data sources to be used for further exploration and
processing. Analyzing data that has not been carefully screened for problems can produce highly
misleading results that are heavily dependent on the quality of data prepared.
3) Input is the task where verified data is coded or converted into machine readable form so that
it can be processed through a computer. Data entry is done through the use of a keyboard,
digitizer, scanner, or data entry from an existing source. This time-consuming process requires
speed and accuracy. Most data need to follow a formal and strict syntax since a great deal of
processing power is required to breakdown the complex data at this stage. Due to the costs, many
businesses are resorting to outsource this stage.
4) Processing is when the data is subjected to various means and methods of manipulation, the
point where a computer program is being executed, and it contains the program code and its
current activity. The process may be made up of multiple threads of execution that
simultaneously execute instructions, depending on the operating system. While a computer
program is a passive collection of instructions, a process is the actual execution of those
instructions. Many software programs are available for processing large volumes of data within
very short periods.
5) Output and interpretation is the stage where processed information is now transmitted to the
user. Output is presented to users in various report formats like printed report, audio, video, or on
monitor. Output need to be interpreted so that it can provide meaningful information that will
guide future decisions of the company.
6) Storage is the last stage in the data processing cycle, where data, instruction and information
are held for future use. The importance of this cycle is that it allows quick access and retrieval of
the processed information, allowing it to be passed on to the next stage directly, when needed.
Every computer uses storage to hold system and application software.
The Data Processing Cycle is a series of steps carried out to extract information from raw data.
Although each step must be taken in order, the order is cyclic. The output and storage stage can
lead to the repeat of the data collection stage, resulting in another cycle of data processing. The
cycle provides a view on how the data travels and transforms from collection to interpretation,
and ultimately, used in effective business decisions.

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Types of Data Processing


By Mahmood Alam 3:50 PM computerized data processing, levels of data processing, types of
data processing 1 comment

DATA PROCESSING
Data processing is the sequence of operations performed on data to convert it into useful
information. These operations may be arithmetic, statistical or logical operations. We can
arrange or classify data. We can send and receive data from one point to another.

TYPES OF DATA PROCESSING (OR) LEVELS OF DATA


PROCESSING)
There are three types of data processing.
1) Manual data processing
2) Mechanical data processing
3) Electronic data processing

1) Manual data processing


In manual data processing data is processed manually. No machine or tool is used.

All the calculations on data are performed manually. This is a slow method and errors may occur.
This is an old method. It was used before the invention of calculators. But data is still processed
manually in many small shops.
Example: A book seller ( a small book shop ) records his daily transactions manually. He
prepares bills by pen,paper and carbon paper ( no doubt, brain is the main data processor in this
case ). At the end of day he will use carbon copies made on a particular date to know how many
books he sold and how much income he got.

2) Mechanical Data Processing

In mechanical data processing data is processed with the help of devices or machines. These
machines that help the people in data processing may be calculators and type writers etc.
Obviously, this method is faster easier and more accurate than manual data processing.

Example: Book seller can use a calculator to speed up his data processing system. There will be a
less chance of errors in calculations. Bill calculations will be much more faster with a calculator
and easier too.

3) Electronic data processing


It is the latest and fastest method of data processing. Data is processed with the help of computer.
First of all, data and set of instructions are given to the computer. Computer gives output results
after processing the data according to instructions. This method of data processing is very fast
and accurate. Electronic data processing is used in banks and business firms, Government
offices, colleges, schools, universities, businesses and other institutes. Electronic data
processing is being used in almost every field of life. Example:Suppose there are 800 students in
a college. There is a manual library sytem in this college. If we want to know which students
have not returned books since one year? We will have to search registers for 800 students
record. But computer can do this job with in seconds.

In short, we can say that:Electronic data processing:


i) is more fast
ii) is less time consuming
iii) can process large amounts of data easily
iv) can present information in more attractive way
v) will give 100 % error free results, if input and instructions are accurate.
- See more at: http://forfreeeducation.blogspot.in/2011/09/types-of-dataprocessing.html#sthash.bW78Mbfz.dpuf

Statistical analysis defined

What is statistical analysis? Its the science of collecting, exploring and presenting large amounts
of data to discover underlying patterns and trends. Statistics are applied every day in research,
industry and government to become more scientific about decisions that need to be made. For
example:

Manufacturers use statistics to weave quality into beautiful fabrics, to bring


lift to the airline industry and to help guitarists make beautiful music.

Researchers keep children healthy by using statistics to analyze data from


the production of viral vaccines, which ensures consistency and safety.

Communication companies use statistics to optimize network resources,


improve service and reduce customer churn by gaining greater insight into
subscriber requirements.

Government agencies around the world rely on statistics for a clear


understanding of their countries, their businesses and their people.

Look around you. From the tube of toothpaste in your bathroom to the planes flying overhead,
you see hundreds of products and processes every day that have been improved through the use
of statistics.

Statistical computing
Traditional methods for statistical analysis from sampling data to interpreting results have
been used by scientists for thousands of years. But todays data volumes make statistics ever
more valuable and powerful. Affordable storage, powerful computers and advanced algorithms
have all led to an increased use of computational statistics.
Whether you are working with large data volumes or running multiple permutations of your
calculations, statistical computing has become essential for todays statistician. Popular statistical
computing practices include:

Statistical programming From traditional analysis of variance and linear regression to


exact methods and statistical visualization techniques, statistical programming is essential
for making data-based decisions in every field.

Econometrics Modeling, forecasting and simulating business processes for improved


strategic and tactical planning. This method applies statistics to economics to forecast
future trends.

Operations research Identify the actions that will produce the best results based on
many possible options and outcomes. Scheduling, simulation, and related modeling
processes are used to optimize business processes and management challenges.

Matrix programming Powerful computer techniques for implementing your own


statistical methods and exploratory data analysis using row operation algorithms.

Statistical visualization Fast, interactive statistical analysis and exploratory capabilities


in a visual interface can be used to understand data and build models.

Statistical quality improvement A mathematical approach to reviewing the quality and


safety characteristics for all aspects of production.

High-performance statistics For the biggest big data challenges, in-memory


infrastructures and parallel processing can fit predictive models faster, perform more
modeling iterations and use complex techniques for faster results.

With everyone from The New York Times to Googles Chief Economist Hal Varien proclaiming
statistics to be the latest hot career field, who are we to argue? But why is there so much talk
about careers in statistical analysis and data science? It could be the shortage of trained analytical
thinkers. Or it could be the demand for managing the latest big data strains. Or, maybe its the
excitement of applying mathematical concepts to make a difference in the world.
If you talk to statisticians about what first interested them in statistical analysis, youll hear a lot
of stories about collecting baseball cards as a child. Or applying statistics to win more games of
Axis and Allies. It is often these early passions that lead statisticians into the field. As adults,

those passions can carry over into the workforce as a love of analysis and reasoning, where their
passions are applied to everything from the influence of friends on purchase decisions to the
study of endangered species around the world.
Descriptive statistics

A statistic is a number that is derived from your data, for example a mean (average) or a standard
deviation. It can be very helpful when examining your data to obtain a suitable set of relevant
descriptive statistics. In particular, it can be very interesting to compare statistics obtained from
different (but related) columns, or between levels of a factor. This gives you an idea of the
similarities or differences between parts of your data.
Excel provides a Descriptive Statistics facility as part of the Analysis Toolpak (Tools =>
Analysis). However, it is rather restricted in scope, as it cannot easily be used to compare
statistics of different columns or levels of a factor. Furthermore, the set of statistics it gives is
rather limited.
For these reasons, SSC-Stat provides an alternative Descriptive Statistics facility, which supports
these additional requirements. A larger set of standard statistics is supported, and you can specify
which of these statistics you require. You can also specify your own statistics (as Excel
formulas). You can specify one or more column of data to be described, and/or one or more
factors. A separate column of statistics is produced for each factor level for each column of data.
By default the results are put into a new worksheet.
Additionally, SSC-Stat provides a Summary Statistics facility, which acts in the same way as for
Descriptive Statistics, but produces the output as a list. The statistics for each factor level or
column are contained in a single row, and each type of statistic is contained in a single column.
This alternative format is useful for further processing or graphical display. When you have data
at more than one "level", the analysis often proceeds in stages. The summaries from the first
stage become the data for the next part of the analysis. Summary Statistics helps with this.
For further guidance on good practice in the presentation of results, see the SSC booklet
Informative Presentation of Tables, Graphs and Statistics.

Modelling

Once you have explored your data thoroughly, aided by visualisation and description techniques,
you will need to identify what formal statistical analysis techniques (if any) you require to
investigate the data further and to draw general conclusions from them. A very large number of
statistical techniques have been developed to handle many different types of data and

relationships between them, and it can be difficult and confusing to choose the correct techniques
for a given set of data and the requirements of your investigation. Users sometimes drift into
statistical inference, which includes standard errors, confidence limits, t-tests and chi-square
tests, etc, without realising they are making a big step. In general, we would recommend that you
seek advice from a competent statistician as to the most appropriate approach to formal analysis
of your data. Further information can be found in some of the SSC Good Practice Guidelines, for
example:
Modern Approaches to the Analysis of Experimental Data
Approaches to the Analysis of Survey Data
Modern Methods of Analysis
Modern statistical packages (such as Minitab, SPSS, SAS, Genstat, etc) support many of the
standard statistical methods, and are generally easy to use and reliable. They all accept data that
are held in Excel worksheets, provided they are in list format. Many have a similar interface and
type of dialogue that will be straightforward for Excel users. More specialised packages are also
available to perform particular and unusual types of analysis that may be needed in some cases,
but these are often more difficult to use and may not have the ability to import data from Excel
worksheets or similar formats.
Since Excel is designed as a spreadsheet package rather than a statistics package, its standard
facilities for statistical analysis are very limited. The Analysis Toolpak (Tools => Data Analysis)
contains the following basic analysis facilities:
t-tests for comparing sample means
z-test for comparing sample means where the population variance(s) are known.
F-test for comparing variances of two samples.
Correlation
Covariance
Analysis of Variance (ANOVA) with one or two factors.
Elementary Regression
SSC-Stat contains a few additional analysis facilities, mainly to support our teaching:

Enhanced versions of One-Sample and Two-Sample t-tests, which support filtering and factors in
lists, and produce output in a more conventional statistical form.
One-Sample and Two-Sample Proportion tests.
In general, these facilities are only sufficient for the simplest statistical problems. We suggest
that if you need more than these, you should consider adding to Excel for the analysis part of
your work. This may be through another add-in that extends Excel's statistical capabilities, or
through the use of a statistics package for the analysis stage of the work.
If you find that you need additional software for part of your analysis, it would be advisable to
plan your full strategy for the analysis at the start. You will probably find that the software is also
useful for exploratory work as well as for developing the appropriate statistical models. It may
then be easier to use this software for more than the formal statistical analysis.

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