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 & Inventory Quantity DB Information Reporting System UPC POS TPS Barcode Scanner Product, Quantity, Date, Time, Price Quantity, Date, Time Exception Reports UPC Price Purchasing DB Product DB

Batch Processing Data Transaction Processing Trans. Data 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