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The development of efficient compression software to compress text and image is a challenging task. This paper presents the enhanced LZW technique in data compression. The basic framework of enhanced LZW technique is based on existing LZW technique. Modification of existing LZW structure was done in order to produce the enhanced LZW technique. Enhanced LZW technique read three characters in time during data compression while existing LZW technique read character one by one. This project employs enhanced LZW technique on data compression with text and image. Experimental test have been done performed on text and image. Comparison was made between enhanced LZW technique and existing LZW technique in terms of time performance and size of file after compression.
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