Batch Processing

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DEFINITION of 'Batch Processing'

Processing transactions in a group or batch. No user interaction is required once batch processing is underway. This differentiates batch processing from transaction processing, which involves processing transactions one at a time and requires user interaction. While batch processing can be carried out at any time, it is particularly suited to end-of-cycle processing, such as for processing a bank's reports at the end of a day, or generating monthly or bi-weekly payrolls.

BREAKING DOWN 'Batch Processing'

For example, monthly bills for utilities and other services received by consumers are typically generated by batch processing. Batch processing has a number of benefits, such as enabling the sharing of computer resources and facilitating better use of these resources.

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