Certified Supply Chain Professional (CSCP) Practice Exam

What does batch processing involve?

1. Processing transactions one at a time

2. Accumulating transactions and processing them together

3. Simultaneously processing all transactions instantly

4. Storing transactions for later processing

The correct answer is: Accumulating transactions and processing them together

Batch processing involves accumulating a set of transactions and processing them together at a specified point in time. This method allows for efficiency gains, particularly in environments where high volumes of transactions are handled, such as payroll processing, order fulfillment, or data updates. By grouping transactions, systems can save on processing time and computer resources since the operations can be performed in bulk rather than individually. In addition to improving operational efficiency, batch processing can also help in organizing data more systematically. Once the batch is complete, results can be audited, and any errors can be addressed collectively, which is often easier than dealing with each transaction separately. While processing transactions one at a time and instantaneously processing all transactions have their respective applications, they do not align with the concept of batch processing. Storing transactions for later processing describes a different scenario, focusing on deferred action rather than the aggregation and simultaneous processing characteristic of batch processing.