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Lecture A Transaction Processing System

Transaction processing systems (TPS) are designed to process routine business transactions in large volumes through automation. They interface with other systems and focus on accounting and finance transactions like order processing, purchasing, and payroll. TPS are characterized by high volumes of structured internal data, real-time processing needs, and a focus on accuracy, integrity, security, reliability, and inquiry capabilities. They utilize either batch processing of transaction files or online processing of live transaction data.

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218 views

Lecture A Transaction Processing System

Transaction processing systems (TPS) are designed to process routine business transactions in large volumes through automation. They interface with other systems and focus on accounting and finance transactions like order processing, purchasing, and payroll. TPS are characterized by high volumes of structured internal data, real-time processing needs, and a focus on accuracy, integrity, security, reliability, and inquiry capabilities. They utilize either batch processing of transaction files or online processing of live transaction data.

Uploaded by

harpal05
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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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
DataInput
Input Data
DataProcessing
Processing Output
OutputGeneration
Generation

Data
DataStorage
Storage
POS(Point Of Sale) TPS

Customer
Receipt

UPC & Inventory


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

Product
DB
Batch Processing

Transaction Trans. Data Documents/


Data File Processing Reports

New
Master
Old File
Master
File
On-line Processing

Transaction
Data

On-line
Documents/
Data
Transaction Reports
Processing
Data

Inquiries/
Reponses
Transaction
Data
TPS Applications
 Order Processing
 Purchasing
 Accounts Receivables & Accounts Payables
 Receiving & Shipping
 Inventory on Hand
 Payroll
 General Ledgers

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