IT TOOLS FOR

BUSINESS

Ms. Arti Bhadouria

 CONTENTS

 Learning outcomes
 Data processing
 Data Processing Cycle
 Types of Data Processing
 File management system
 Types of file management
LEARNING OUTCOMES
After reading this document and attending the lecture,
students will be able to:
 L01 – Understand about ‘Data processing’.
 L02 – Understand ‘Data Processing Cycle’.
 L03 – Create an insight about ‘File management system’.
 DATA PROCESSING
What Is Data Processing?
Data in its raw form is not useful to any organization. Data processing is the method of
collecting raw data and translating it into usable information. It is usually performed in a step-
by-step process by a team of data scientists and data engineers in an organization. The raw data
is collected, filtered, sorted, processed, analyzed, stored, and then presented in a readable
format.
Data processing is essential for organizations to create better business strategies and increase
their competitive edge. By converting the data into readable formats like graphs, charts, and
documents, employees throughout the organization can understand and use the data.

Data Processing Cycle

The data processing cycle consists of a series of steps where raw data (input) is fed into a
system to produce actionable insights (output). Each step is taken in a specific order, but the
entire process is repeated in a cyclic manner. The first data processing cycle's output can be
stored and fed as the input for the next cycle, as the illustration below shows us.

Data processing cycle

Generally, there are six main steps in the data processing cycle:
Step 1: Collection
The collection of raw data is the first step of the data processing cycle. The type of raw data
collected has a huge impact on the output produced. Hence, raw data should be gathered from
defined and accurate sources so that the subsequent findings are valid and usable. Raw data
can include monetary figures, website cookies, profit/loss statements of a company, user
behavior, etc.
Step 2: Preparation
Data preparation or data cleaning is the process of sorting and filtering the raw data to remove
unnecessary and inaccurate data. Raw data is checked for errors, duplication, miscalculations
or missing data, and transformed into a suitable form for further analysis and processing. This
is done to ensure that only the highest quality data is fed into the processing unit.
The purpose of this step to remove bad data (redundant, incomplete, or incorrect data) so as to
begin assembling high-quality information so that it can be used in the best possible way for
business intelligence.

Step 3: Input
In this step, the raw data is converted into machine readable form and fed into the processing
unit. This can be in the form of data entry through a keyboard, scanner or any other input
source.

Step 4: Data Processing

In this step, the raw data is subjected to various data processing methods using machine
learning and artificial intelligence algorithms to generate a desirable output. This step may vary
slightly from process to process depending on the source of data being processed (data lakes,
online databases, connected devices, etc.) and the intended use of the output.

Step 5: Output
The data is finally transmitted and displayed to the user in a readable form like graphs, tables,
vector files, audio, video, documents, etc. This output can be stored and further processed in
the next data processing cycle.

Step 6: Storage
The last step of the data processing cycle is storage, where data and metadata are stored for
further use. This allows for quick access and retrieval of information whenever needed, and
also allows it to be used as input in the next data processing cycle directly.
Types of Data Processing
There are different types of data processing based on the source of data and the steps taken by
the processing unit to generate an output. There is no one-size-fits-all method that can be used
for processing raw data.

Type Uses

Data is collected and processed in batches. Used for large

Batch Processing amounts of data.
Eg: payroll system

Data is processed within seconds when the input is given.

Real-time Processing Used for small amounts of data.
Eg: withdrawing money from ATM

Data is automatically fed into the CPU as soon as it

becomes available. Used for continuous processing of
Online Processing data.
Eg: barcode scanning

Data is broken down into frames and processed using

two or more CPUs within a single computer system. Also
Multiprocessing known as parallel processing.
Eg: weather forecasting

Allocates computer resources and data in time slots to

Time-sharing
several users simultaneously.
Data Processing Methods
There are three main data processing methods - manual, mechanical and electronic.

 Manual Data Processing

This data processing method is handled manually. The entire process of data collection,
filtering, sorting, calculation, and other logical operations are all done with human
intervention and without the use of any other electronic device or automation software.
It is a low-cost method and requires little to no tools, but produces high errors, high
labor costs, and lots of time and tedium.

 Mechanical Data Processing

Data is processed mechanically through the use of devices and machines. These can
include simple devices such as calculators, typewriters, printing press, etc. Simple data
processing operations can be achieved with this method. It has much lesser errors than
manual data processing, but the increase of data has made this method more complex
and difficult.

 Electronic Data Processing

Data is processed with modern technologies using data processing software and
programs. A set of instructions is given to the software to process the data and yield
output. This method is the most expensive but provides the fastest processing speeds
with the highest reliability and accuracy of output.

Examples of Data Processing

Data processing occurs in our daily lives whether we may be aware of it or not. Here are some
real-life examples of data processing:

 A stock trading software that converts millions of stock data into a simple graph
 An e-commerce company uses the search history of customers to recommend similar
products
 A digital marketing company uses demographic data of people to strategize location-
specific campaigns
 A self-driving car uses real-time data from sensors to detect if there are pedestrians and
other cars on the road
 FILE MANAGEMENT SYSTEM
A file management system is a cloud-based (online) method of storing, organizing, and
managing access to information. A good file management system is efficient, stores
information in a centralized location, and makes it easier to find office files by providing a
searchable database for quick retrieval.
Common file management software is as follows:
 eFileCabinet
 Microsoft OneDrive
 Dropbox
 Apple iCloud
 Google Drive

Benefits of file management

The benefits of file management include it helps keep everything organized, it makes sharing
easier, it reduces the risk of losing important files, and it can provide a backup in case
something goes wrong.

The top file management benefits include:

1- Increased productivity
Among the top FM benefits is the ability to increase our productivity.
When files are properly managed, it becomes easier and faster to find files that you need. This
increases productivity as you will not have to waste time files.
That’s the main reason why effective file management is important!

2- Improved organization
The list of effective file management benefits is enormous and one of them is improving files
and document organization.
It can help improve the organization of files. This makes it easier to find files that you need.
Using file management software helps you organize your files and electronic documents in a
very easy way.
3- Reduced costs
Proper file management can help reduce the costs associated with file storage and easy
retrieval. When an effective file is properly managed, it can be stored in a more efficient
manner, which can lead to reduced costs and increases efficiency.

4- Enhanced security
It can help enhance security by preventing unauthorized access to digital files. When files are
properly managed, they can be stored in a more secure manner, which can help prevent
unauthorized access.
A good file management system or cloud storage service make it secure and efficient to
complete the file sharing process while providing full capabilities to control access.

5- Improved collaboration
It can improve collaboration by allowing multiple users to access and edit files. When digital
files are properly managed, they can be stored in a way that allows multiple users to access and
edit them.
File sharing can be easily managed through the usage of a good file management system or
using one of the best team collaboration software.

6- Reduced risk of losing important files

Proper management of files can reduce the risk of losing important files by organizing them
into multiple folders and subfolders. Backing up files regularly can also help prevent data loss.

7- Maintained document versions

A good file management system helps with audit trail by maintaining document versions and
organizing data files into multiple folders and subfolders. This way, you can easily find the
most recent version of a document, as well as any older versions that may be needed.
Having a complete audit trail of each operation that was conducted on documents will come in
handy in the future. Furthermore, using naming conventions may ensure that you will not
overwrite any documents which increase efficiency.

Functions of File Management System

 Organizing – putting files into folders
 Storing – keeping your files saved on your computer
 Naming – giving your files an appropriate name for easy identification
 Deleting – deleting old or unnecessary files to free up space on your hard drive
Components of file management

1- Storage: This is where the files are stored on a computer, external hard drive, or in the cloud.
2- Organization: This is how you organize your files and folders.
3- Protection: How to protect the data from corruption or loss.

Types of file management

The three basic types of file management in an operating system are hierarchical, network, and
relational. These main types can be used alone or in combination to allow full organization of
digital files and ensure they are properly stored, secured, archived, and destroyed when needed.
The 3 main types of file management are:

1- Hierarchical Electronic File Management

It is one of the oldest and most popular methods for organizing files in OS. This type organizes
files by creating a hierarchy of folders, which are arranged from the most to least important.
The hierarchy is created by creating folders that start with the broadest category and then
branch out into more specific subcategories.

2- Network Electronic File Management

It is a newer method for organizing files that organize files based on their location on the
computer’s hard drive or other storage media. This type of file organization is not as popular
because it can be difficult to find certain files without using a search engine or strong
knowledge of computer science.

3- Relational Electronic File Management

It is a newer method for organizing data that organizes files based on the relationships between
data stored in each file. This is growing in popularity because it provides an easier way to find
and manage the additional information stored on a particular computer.