What is Set Processing?

      Set Processing uses SQL to process groups, or sets, of rows at one time rather than processing each row individually. With row by row processing you following a repetitive loop that selects a row, determines if it meets a given criteria, if so, apply rule x to row Update row, commit. With set processing, you only select those rows that meet the filtering criteria and then run the rule once again all the affected rows.

For details between set based and parallel processing, visit here.