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Best apprach to update large tables via SSIS

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Hi,
I need to update sql tables with 2 million to 600 million(max) records in SSIS. We are doing update on Same DB(Source and Target Tables are same) 

I tot of do this in one of below approaches

Approach 1:
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Using Execute Sql Task with UPDATE command , but it will kill the performance

Approach 2:
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1. select col1,col2...coln(includes bussiness logic) into StagingTable from BaseTable
2. Drop BaseTable
3. Rename StagingTable as BaseTable

I guess this is also not the way to deal with large tables as this also consuming more time for 1 million records.

Business logic includes converting date format, using function  etc....

Can anyone suggest the best approach to do this task without hitting performance

Note: I am not suppose to use 'SQL Command' in OLEDB Source if our approach will be using DataFlow task

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