Transaction processing system Presented by Mahendra Mehra

1. Transaction processing systemPresented by Mahendra Mehra

2. Information System Information Technology is any combination of information technology and people's activities that support Operations Management Decision Making Mahendra Mehra: AMIS

3. Strategic • level Kinds of Information System • Management level ESS SENIOR MANAGERS • Knowledge level DSS MIDDLE MANAGERS • Operational level KMS KNOWLEDGE & DATA WORKERS OPERATIONAL MANAGERS TPS SALES & MARKETING MANUFACTURING FINANCE ACCOUNTING HUMAN RESOURCES Mahendra Mehra: AMIS

4. Transaction Processing System Computerized system that performs and records the daily routine transactions necessary to conduct the business; these systems serve the operational level of the organization EXAMPLE: payroll, accounts payable Mahendra Mehra: AMIS

5. Transaction processing cycle QUERY Data input Management reports Processing • Internally generatedtransactions: • shipped orders • purchase orders • employee time cards • Externally generated transactions: • customer orders • vendor invoices • customer payments • Documents: • pick list • cheque to vendors • receiving notices • pay cheques • Operational reports: • finished product inventory status • raw materials; packing materials; spare parts; inventory status DATABASE • Database update: • customer orders • inventory • purchase orders • customers • suppliers Mahendra Mehra: AMIS

6. Payroll system Employee data from various departments Te general ledger: wages and salaries Payroll master file Management reports Payroll System Government document Online queries Mahendra Mehra: AMIS

7. Tps characteristic : • Rapid Processing • Reliability • Standardisation • Controlled Access Mahendra Mehra: AMIS

8. Transactions Processing Qualifiers Durability means that when a transaction completes executing, all its updates are stored in stable storage; that is, storage that will survive the failure of power or the operating system. Even if the transaction program fails, or the operating system fails, once the transaction has committed, its results are durably stored on stable storage and can be found there after the system recovers from the failure. • All primary key values are unique (e.g., no two employee records have the same employee number). • The database has referential integrity, meaning that records reference only objects that exist (e.g., the Part record and Customer record that are referenced by an Order record really exist). • Certain data values are in a particular range (e.g., age is less than 120 and social security number is not null). • ATOMICITY • CONSISTENCY • ISOLATION • DURABILITY An execution is serializable (meaning isolated) if its effect is the same as running the transactions serially, one after the next, in sequence, with no overlap in executing any two of them. This has the same effect as running the transactions one at a time. a transaction needs to be atomic (or all-or-nothing), meaning that it executes completely or not at all. There must not be any possibility that only part of a transaction program is executed. Mahendra Mehra: AMIS

9. Batch processing Types of Transactions Processing system • Real time Processing In many circumstances the primary factor is speed. Online transaction processing systems are computer systems that take transaction related information that is time sensitive and immediately process it and keep it current consistently. This type of online transaction processing system is primarily used within online banking, inventory control, scheduling for manufacturing companies, and ticket reservations. For example: Booking system Batch processing is a resource-saving transaction type that stores data for processing at pre-defined times. Batch processing is useful for enterprises that need to process large amounts of data using limited resources. Examples of batch processing include: credit card transactions Mahendra Mehra: AMIS

10. Objective of tps • Process data generated by and about transactions • Maintain a high degree of accuracy • Ensure data and information integrity and accuracy • Produce timely documents and reports • Increase labor efficiency • Help provide increased and enhanced service • Help build and maintain customer loyalty • Achieve competitive advantage Mahendra Mehra: AMIS

11. Comparison of TPS WITH OTHER SYSTEMS LESS MORE LESS MORE INFORMATION COMPLEXITY OF PROCESSING AND ANALYSIS ROUTINE DECISION SUPPORT INPUT and OUTPUT DATA MORE LESS MORE LESS Mahendra Mehra: AMIS

12. EXAM QUESTION’S • Is Transaction processing system must for MIS Implementation? Explain with example Transaction, Batch transaction processing system.(May 2009) • Explain the Transaction Processing Cycle in detail (May 2010, May 2008, Dec 2007) Mahendra Mehra: AMIS

13. Thank you! Mahendra Mehra: AMIS

14. Batch Processing • An example of batch processing is the way that credit card companies process billing. The customer does not receive a bill for each separate credit card purchase but one monthly bill for all of that month’s purchases. • The bill is created through batch processing, where all of the data are collected and held until the bill is processed as a batch at the end of the billing cycle. Mahendra Mehra: AMIS

15. Real Time Processing • In transaction processing data is entered and processed “straight away” • However, there may be a short delay as the system must COMPLETE each transaction BEFORE starting the next one • Sometimes called interactive or pseudo real-time processing i.e. it “looks” like stuff is happening instantly • A common use of interactive processing is for booking systems • Remember, each transaction must be completed before the next one begins Mahendra Mehra: AMIS