Datastage is an ETL tool with client-server architecture. It uses jobs to design data flows from source to target systems. A job contains source definitions, target definitions, and transformation rules. The main Datastage components include the Administrator, Designer, Director, and Manager clients and the Repository, Server, and job execution components. Jobs can be server jobs for smaller data volumes or parallel jobs for larger volumes and use of parallel processing. Stages define sources, targets, and processing in a job. Common stages include files, databases, and transformation stages like Aggregator and Copy.