CHAPTER 1

INTRODUCTION
The ATM DATABASE SYSTEM enables user to perfrom various transaction from their
account of particular bank. The admin can create, delete and update the account with particular
bank and also can add the bank details.
Database is a collection of data and Management System is a set of programs to store and
retrieve those data. Based on this one can define DBMS as a collection of inter-related data and
set of programs to store & access those data in an easy and effective manner.

1.1 What is the need of DBMS?

Database systems are basically developed for large amount of data. When dealing with
huge amount of data, there are two things that require optimization: Storage of data and retrieval
of data.

Storage: According to the principles of database systems, the data is stored in such a way that it
acquires lot less space as the redundant data (duplicate data) has been removed before storage.
Let’s take a layman example to understand this: In a banking system, suppose a customer is
having two accounts, one is saving account and another is salary account. Let’s say bank stores
saving account data at one place and salary account data at another place, in that case if the
customer information such as customer name, address etc. are stored at both places then this is
just a wastage of storage (redundancy/ duplication of data), to organize the data in a better way
the information should be stored at one place and both the accounts should be linked to that
information somehow. The same thing we achieve in DBMS.

Fast Retrieval of data: Along with storing the data in an optimized and systematic manner, it is
also important that we retrieve the data quickly when needed. Database systems ensure that the
data is retrieved as quickly as possible.

 The choice of a database product is often influenced by factors such as:

 the computing platform (i.e., hardware, operating system)

 the volume of data to be managed

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 the number of transactions required per second

 existing applications or interfaces that an organization may have

 support for heterogeneous and/or distributed computing

 cost

 vendor support

1.2 DESIGN AND MODELING

The first task of a database designer is to produce a conceptual data model that reflects
the structure of the information to be held in the database. A common approach to this is to
develop an entity-relationship model, often with the aid of drawing tools. Another popular
approach is the Unified Modeling Language. A successful data model will accurately reflect the
possible state of the external world being modeled: for example, if people can have more than
one phone number, it will allow this information to be captured.

Figure 1.1: Simplified database system environment

Figure1.1 A simplified database system environment.

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ATM DATABASE INTRODUCTION

1.3 PURPOSE

This document describes the software requirements for an automated teller machine
network (ATM). It is intended for the designer, developer and maintainer of the ATM.

1.4 OBJECTIVE
Our main objective is to speed up the transactions done by user. No manual transactions
needed generally. The second objective is to save the time which is very important now-a-days.
It will include other objectives such as :
 To render accurate services to customer.
 The reduction of fraudulent activities.
 To achieves speedy processing of customer data.
 To reduce error processing, the guarantee of increase security.

1.5 PROBLEM STATEMENT

When they came into being, ATMs were treated to be a boon for the general public.There
was no need to stand in queues in banks to withdraw money, no need to go the branch for years
even to get a cheque deposited, cash deposited or for getting the cheque book issued.

 When ATM were first developed there were only few ATM’s
and people had to travel long distance to access ATM.

 People who were not familiar to the ATM machines they faced a lot of problems for
accessing it. There were many security issues faced before ATM was
introduced and after its introduction some security issues were solved.

 Some ATMs display the message “Your request cannot be processed now”, the meaning
of which has to be interpreted by the customer only. It can mean that the ATM does not
have sufficient funds, or that your account has some problem or it may also mean that
the server of the bank is not working.

 The servers of the banks working so slowly that it is difficult to understand if the problem
is with the machine or the bank’s server

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ATM DATABASE INTRODUCTION

1.6 PROPOSED SYSTEM

The following features should be added for a proposed system:

 An account holder should be able to deposit amount in his/her account

through ATM.
 An account holder should be able to transfer funds from his/her account to
any person located anywhere in the world.
 An account holder should be able to check his recent or past bank statements
 An ATM should be equipped with a security. This will make ATM transaction
more secure.

1.7 SCOPE OF THE REPORT

The essential framework of this report would be to elaborate the design of E.R-diagram,
schema Diagram. This project is a three-tier architecture application.

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