Transaction Processing Systems • What is a TPS? • Characteristics of TPS • a Transaction Processing Model • POS(Point Of Sale) Transaction Processing System • Batch Processing vs. On-line Processing • TPS Applications
What is a TPS? • an information system designed to process routine business transactions • seeks time- and cost-efficiency by automating repetitive operations in large volumes • interfaces with an organization’s other information systems, such as IRS, DSS, EIS • centers around accounting and finance transactions • e.g,, airline reservation systems, order entry/processing systems, bank’s account processing systems
The Major Characteristics of TPS • Large amounts of data are processed. • The sources of data are mostly internal, and the output is intended mainly for an internal audience. • The TPS processes information on a regular basis: daily, weekly, monthly, etc. • Large storage (database) capacity is required. • High processing speed is needed due to the high volume. • TPS basically monitors and collects past data. • Input and output data are structured (i.e., standardized). • Low computation complexity is usually evident in TPS. • A high level of accuracy, data integrity, and security is needed. • High reliability is required. • Inquiry processing is a must.
A Transaction Processing Model Data Input Data Processing Output Generation Data Storage
POS(Point Of Sale) TPS Customer Receipt UPC & Quantity Information Reporting System Inventory DB UPC POS TPS Barcode Scanner Product, Quantity, Date, Time, Price Quantity, Date, Time Exception Reports UPC Price Purchasing DB Product DB
Batch Processing Data Processing Transaction Data Trans. File Documents/ Reports New Master File Old Master File
On-line Processing Transaction Data On-line Data Processing Documents/ Reports Transaction Data Inquiries/ Reponses Transaction Data
TPS Applications • Order Processing • Purchasing • Accounts Receivables & Accounts Payables • Receiving & Shipping • Inventory on Hand • Payroll • General Ledgers