Page 205 - Business Principles and Management

Unit 3

TYPES OF COMPUTERS Computers come in different sizes and serve different pur-
facts & poses. Companies use large computers (mainframes) to store and retrieve vast
amounts of data for the entire company. Major divisions of the company may
figures use medium-size computers. The typical office computer that most workers use
is a desktop or personal computer (PC). Workers can carry smaller computers
(laptops or notebooks), such as those used by Mia Herrera in the opening story,
in briefcases and backpacks.
In 2003, the Census Bureau In addition to desktops and laptops, smaller handheld devices also serve spe-
surveyed the U.S. population cific purposes. A personal digital assistant (PDA) is a computer-like device that
to assess ownership and use of can be carried in a pocket and used, among other things, to send and receive
computers. Among the findings: messages wirelessly. PDAs may also be built into cell phones. PDAs usually con-
More than 62 percent of Ameri- tain a calculator, an address book, a notepad for keeping “to do” lists, and a fax
can households had computers modem. PDAs come with features to meet a variety of needs. Such devices will
and 55 percent had Internet become standard voice-messaging equipment built into vehicles. Because wire-
access. Eighty-six percent of chil- less computing is rapidly developing, new products will continue to pour into
dren used a computer at home the marketplace.
or at school. Over 70 percent
of American adults used a com-
TYPES OF SOFTWARE All computers need two types software: operating system
puter at home, work, or school.
software and application software. Operating system software is a master con-
trol program that manages the computer’s internal functions and file system.
Operating system software directs and channels application software instruc-
tions and data for processing. Examples of operating system software include
Microsoft Windows, Mac OS X, Unix, and Linux.
Application software refers to programs that perform specific tasks. The
most common examples of application software are word processing for
creating written documents, spreadsheets for performing calculations on
rows and columns of data, databases for storing related information for later
retrieval, and software for creating graphics. A description of common business
application software appears in Figure 8-2. Figure 8-3 shows an example of a
spreadsheet. Many other types of popular software are available to perform
specialized tasks. Companies, for example, produce sophisticated software
packages that help businesses manage complex tasks such as customer and
supplier relationships.

MOORE’S LAW Advances in computer technology occur at an ever-increasing rate.
The cofounder of Intel Corporation, Gordon Moore, predicted that the amount
of data that could be processed by a computer chip would double about every
18 months. Moore’s Law, as this prediction has become known, has proven to
be rather accurate. Figure 8-4 shows this accelerating pace of change over the
past two decades. According to Moore’s Law, a computer bought only one to
two years ago will be obsolete this year. As processing speed increases, high-tech
companies are constantly producing new and better software to take advantage
of the technology’s capabilities.
But new technologies make old equipment obsolete. Buying and installing
new equipment and software, as well as retraining employees, are costly business
expenditures.

CHECKPOINT
Describe the three main parts of a computer.

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