Online vs Batch

Online Processing: An online system handles transactions when they occur and provides output directly to users. It is interactive. It's like transferring money from A to B.

Batch Processing: Data is processed in groups or batches.

Batch processing is typically used for large amounts of data that must be processed on a routine schedule, such as paychecks or credit card transactions.

A batch processing system has several main characteristics: collect, group, and process transactions periodically.

Batch programs require no user involvement and require significantly fewer network resources than online systems.