Introduction to Business Data Processing

CLASSIFICATION OF DATA ELEMENTS

Data elements can be classified into two main categories, one which are function based and the other which is source based. They are: By Function Transaction Control By Source Raw or Input Stored Derived Reference Security Planning Validation

DATA ELEMENTS BY FUNCTIONS

We take up the above mentioned elements one by one.

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 arc 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.

DATA ELEMENTS BY SOURCE

Are take up the above mentioned elements on, by one.

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