OPERATING SYSTEM (OS) & DATA COMMUNICATIONS

Operating System (OS) & Data Communications in Customer Banking Service

Abstract

In this essay, we would attempt to discuss the vital data communication features used by banking networks in their everyday operations. The major purpose of the essay is to highlight the various strategies, systems, operating systems and internet protocols employed in the bank's network to ensure a smooth flow of operations. The vital components and features under data communication, OSI (International Standards Organization) and major internet protocols would also be discussed with respect to customer banking service.

Data Communications & Customer Banking Service

Background

In today's fast paced world, commercial banks are vital to the effective functioning of an economy. The banking industry is fuelled by competition, globalization and innovation which tend to affect the manner in which banks operate today. Similarly, in the field of customer banking service, banks and other financial institutions are continuously looking for ways to develop unprecedented computer networks, online banking essentials and operating system to gain an edge over their competitors.

Customer banking service and data communications in the network of any bank is vital to its existence. Bank executives allocate hefty amounts of their budget for the development of operating systems, online banking software and other programs related to the operations of the bank.

Advantages & Disadvantages

Data Communications & Customer Banking Service

Advancements in the field of data communications & networking have changed the manner in which banks operate in today's world. Decisions related to banking business and networking need to be made in a timely manner. Hence, it becomes vital for the key personnel to have valid and accurate information.

In order to meet the challenge, customer banking services rely on the efficiency of their internet networks and computer networks to gain an advantage over their competitors. In order to thoroughly understand the essentials of data communication and networking with respect to customer banking service we must know how the network functions.

OSI & Transactions in Customer Banking Service

The International Standards Organization (ISO) is an international body which works under an agreement based on international standards. Hence, ISO standards cover various aspects of network communications available in the “Open Systems Interconnection model”. The OSI was introduced in the early 1970s and was improved over time. OSI need to be implemented in the banking networks as well. They allow for a smooth flow of banking operations i.e. ATM cash withdrawals and other transactions, online and mobile banking.

An open system consists of a set of protocols which allow two entirely different systems to communicate with each other regardless of architecture (Forouzan, 2007, pp. 13). The major purpose of the OSI model is to clearly identify how communication can be facilitated between different systems applicable in a bank. Most importantly, it is done without making any vital changes to the logic of the software or the hardware. On a broader perspective, the OSI model is not a protocol; but it is a model developed and implemented for designing a network architecture which ...