Can any body explain me the exact difference between Database
Basic Notification Configured operation and other(say Insert Notification) notification operations.
The Basic Notification requires that you have already created your own buffer table to hold the notification rows, and a trigger to create those rows. The other operations create those things for you.
I highly recommend that you read the section on these operations in the Developer’s Guide (or Database Adapter Guide, if using webMethods 4.x/5.x). More explanation is available there.