Difference Between Manual And Automated System - Manual System vs Automated System

What is Manual System ?

Definition: “ A manual system is like a bookkeeping system in which records maintanance is done by hand, without using a computer system or any automatic system. In this type of system transactions are written in journals, from which the information is manually retrieved into a set of financial statements. These systems suffer from higher rate of inaccuracy, and they are much slower than computerized systems. ”

Manual systems can waste both money and time. For example, administrators can spend a breathtaking amount of time searching for misplaced documents in a manual system, costing U.S. companies up to $89 billion each year. It's not just money lost, but people, too. The research reports that searching for lost and misplaced documents accounts for nearly 38 working hours per year for each employee. This has a big, negative ripple effect on professional perception, workplace productivity and organizational morale. Employees tend to leave disorganized organizations, and the frustration of working with manual systems can be a primary driver of employee turnover.

The effect on service delivery is also quite obvious, since customer frustration grows and company reputations diminish whenever documents generated by manual processes are misplaced. Automated systems reduce paper and make data storable, retrievable and searchable. Once automated systems are implemented, the time your employees waste searching for misplaced documents can be spent on more strategic, value-generating activities.


What is Automated System ?

Definition: “ Automated system is a combination of both software and hardware which is designed and programmed to work automatically without the need of any human operator to provide inputs and instructions for each operation. “

Automated systems allow you to monitor your processes in real time and identify problems as they arrive, enabling quick adjustments along the way. While manual systems can be difficult to coordinate, similar to the old cliche that "the right hand doesn't know what the left hand is doing," automated systems work in tandem on their own.

For instance, according to hotels, they could experience significant gains after automating their inventory and procurement systems. First, there are big cost savings and shorter fulfillment cycles. Second, hotels could experience significant time savings that free up staff to do more client-centric functions that enhance the overall business. Third, an automated system could bring better accuracy because staff members are no longer required to reenter data from paper documents. This dramatically reduces clerical errors. Fourth, automation would deliver an increased ability to negotiate better deals with suppliers. In any negotiation, it's essential to know exactly how much volume of supply is needed, allowing the purchaser to more accurately estimate volumes and purchase accordingly. The bottom line is that informed buyers have more leverage


Manual System Vs Automated System


The main difference between manual and computerized systems is speed. Accounting software processes data and creates reports much faster than manual systems. Calculations are done automatically in software programs, minimizing errors and increasing efficiency. Once data is input, you can create reports literally by pressing a button in a computerized system.


Another difference between manual and computerized systems is cost. Manual accounting with paper and pencil is much cheaper than a computerized system, which requires a machine and software. Other expenses associated with accounting software include training and program maintenance. Expenses can add up fast with costs for printers, paper, ink and other supplies.


A third difference between manual and computerized systems is the ease of backup of a computerized system. All transactions can be saved and backed up, in case of fire or other mishap. You cannot do this with paper records, unless you make copies of all pages--a long and inefficient process.



Frequently Asked Questions

Ans: What is manual system or what is automatic system : The main difference between manual and computerized systems is speed. Accounting software processes data and creates reports much faster than manual systems. Calculations are done automatically in software programs, minimizing errors and increasing efficiency. Once data is input, you can create reports literally by pressing a button in a computerized system. view more..
Ans: A system is an interrelated set of business procedures (or components) used within one business unit, working together for some purpose view more..
Ans: Functional Information System is based on the various business functions such as Production,  Marketing, Finance and Personnel etc. These departments or functions are known as functional areas of business. Each functional area requires applications to perform all information processing related to the function view more..
Ans: Systems that are intended for use in real-world environments should be designed to function correctly in the widest possible range of circumstances and in the face of many possible difficulties and threats. Types Of Model : 1. physical model 2. Architectural models 3. Fundamental models view more..
Ans: A real-time system is any information processing system which has to respond to externally generated input stimuli within a finite and specified period A distributed system is one in which the components of an information system are distributed to multiple locations in a computer network. view more..
Ans: Basic principle of successful system : 1. System should be of use for the user. 2.Ready in time. 3. Visible benefits 3. Maintained effectively 4. Well documented view more..
Ans: The primary role of a systems analyst is to study the problems and needs ofan organization in order to determine how people, methods, and information technology can best be combined to bring about improvements in the organization. A systems analyst helps system users and other business managers define their requirements for new or enhanced information services. view more..
Ans: Systems Analyst Duties: Defines application problem by conferring with clients; evaluating procedures and processes. Develops solution by preparing and evaluating alternative workflow solutions. Controls solution by establishing specifications; coordinating production with programmers. Validates results by testing programs. view more..
Ans: Change Agent: The analyst may be viewed as an agent of change. A candidate system is designed to introduce change and reorientation in how the user organization handles information or makes decisions. Then, it is important that the user accepts change. view more..
Ans: Systems development methodology: A standard process followed in an organization to conduct all the steps necessary to analyze,design, implement, and maintaininformation systems. | Systems development life cycle (SDLC): The series of steps used to mark the phases of development for an information system. view more..
Ans: Systems Planning and Selection : The first phase of the SDLC, in which an organization’s total information system needs are analyzed and arranged, and in which a potential information systems project is identified.Systems Analysis : Phase of the SDLC in which the current system is studied and alternative replacement systems are proposed. view more..
Ans: System documentation: Detailed information about a system’s design specifications, its internal workings, and its functionality. Internal documentation: System documentation that is part of the program source code or is generated at compile time. view more..
Ans: Management should not be lenient on part of documentation, management should never say like  “ as time running short , so just create the system and make the documentation later”. Phase should not be considered complete until documentation is done. Coding should not be considered done unless its has required comment lines. view more..
Ans: There are various techniques to gather data and facts of system. some of them re as follows : Record view and Background reading Interviews  Questionnaires Group communication Presentation Site visiting Observation view more..
Ans: Feasibility studies are almost always conducted where large sums are at stake. Also called feasibility analysis. A feasibility study is conducted in order to determine the success and minimize the risks related to the project. When it becomes certain that the specific project could be carried out profitably view more..

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