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Data processing strategies. In relation to other business Informational Technology has a choice between control and coordination; in other words, between centralized versus decentralized and distributed strategies. There are several ways to describe strategies and their characteristics. But the main difference is between control and autonomy Centralized strategy means that all computer data processing is at a single site. Thought some data entry operations may be seen at other sites. But main processing activity is at the central location.
So, everybody is provided with a local terminal which is connected to the central data processing facility. The main advantage of centralized strategy is that it provides centralized control. It involves less technical risk. The strategy can reflect an organizations structure or function and can be stored locally under local control. It saves coast and time by reducing duplication of a effort and resources.
But the strategy is inflexible, and enterprises using only centralized strategy become vulnerable to the destruction of the data base. By the way it is not possible to apply personal attention to individuals groups. These system is much slower then a decentralized owner. Decentralized processing is autonomous. It is when two or more nodes are executing application programs which do not communicate. So, a major advantage is organizational flexibilities and responsiveness.
Advantages of decentralized processing include cooperation between individual business units and service orientation. And autonomy is a scope for motivating and involving users. Another advantage is high reliability, which increases because of multiple computer system. The system has increased accountability, motivation and management responsiveness. Decentralization also proposes raising of accountability, motivation and management responsiveness.
Customers provide the information to make important decisions, because those who make decisions become closer to customers. But the strategy has a lack of a centralized control. This may cause a high degree of duplication of recourses, expertise and effort. It wastes time and causes cost increasing. And the strategy can be very unfavorable, because conflicting ideas arise and conflicts in policy leading to delays and inefficiency arises as a result. Dispersing of some of the processing, storage and control functions calls distributed data processing.
Across multiple autonomous sites, it confines effects of a computer breakdown to it point of occurrence. In other words it is the implementation of a related programs, across two or more sites or nodes. Distributed data processing has two types: synchronous and asynchronous. Synchronous are passed in both directions with one program waiting for a response (the programs must be in concurrent operation and messages from the other). And asynchronous which does not where it is not required to wait for a response. The strategy is increasing availability of inexpensive powerful system.
It is attractive because it need for new applications and for short response time. Using distributed data processing gives an important business opportunity, because it introduce a new spectrum of user data processing function. But in some cases it introduces unanticipated system complexity as a consequence for users. We can make a conclusion that centralization allows to obtain information more quickly and accurately, reducing uncertainty.
It allows to make better decisions than they would have made without it... Decentralization helps lower and middle level managers to stay better informed about organizational issues. Nowadays informational technologies permit to use centralization or decentralization simultaneously. So, organizations do not have to choose rigidly between them.
Some of them are best suited to be centralized others are decentralized. Bibliography: Stephen Cummings, David Wilson. Business & Economics. Images of Strategy 2003 web
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Research essay sample on Distributed Data Processing Accountability Motivation And Management Responsiveness Strategy
