1. TRANSACTION PROCESSING SYSTEMS SANU MATHEW

2. Transaction processing systems (TPS) are the basic business systems that serve the operational level of the organisation.A transaction processing system is a computerized system that performs and records the daily routine transactions necessary to conduct business. Examples are sales order entry , hotel reservation systems, payroll, employee record keeping. At the operational level, tasks, resources, and goals are predefined and highly structured.

3. A symbolic representation for a payroll TPS
Employee data(various departments) To general ledger:wages and salaries
Payroll master file
Payroll system
Management reports
Data elements in payroll master file
Employee Number
Name
Address
Dept
Gross pay
Earnings
(year to date)
Withholdings Federal income tax
State tax
FICA
Other
Government documents
Online queries:earnings
Employee checks
Earnings(year to date)
State
Tax
50.00
Employee
Number
46848
Employee
Name
Stoker, K
Gross pay
Federal
tax
400.00
FICA
140.00

4. It depicts a payroll TPS, which is a typical accounting transaction processing system found in most firms. A payroll system keeps track of the money paid to employees .The master file is composed of discrete pieces of information(such as a name, address, or employee number) called data elements.

5. Data are keyed into the system , updating the data elements
Data are keyed into the system , updating the data elements . The elements on the master file are combined in different ways to make up reports of interest to management and government agencies and to send paychecks to employees . These TPS can generate other report combinations of existing data elements.

6. Managers need TPS to monitor the status of internal operations and the firm’s relations with the external environment.TPS are also major producers of information for the other types of systems.

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