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MATHI MBA
MATHIVANAN . K
MATHI MBA
MATHIVANAN K.
MBA 2014
SOURASHTRA COLLEGE,
MADURAI
 An information system designed to process
routine business transactions
 seeks time- and cost-efficiency by
automating repetitive operations in large
volumes
 centers around accounting and finance
transactions
 e.g; airline reservation systems, order
entry/processing systems, bank’s account
processing systems
MATHI MBA
MATHI MBA
Data Input Data Processing Output Generation
Data Storage
A Transaction Processin
MATHI MBA
 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. MATHI MBA
 TPS basically monitors and collects
past data.
 Input and output data are
structured (i.e., standardized).
 A high level of accuracy, data
integrity, and security is needed.
 High reliability is required.
MATHI MBA
Batch Processing
On-line Processing
MATHI MBA
 Originally, the only available option
 Transactions accumulated over period of time
 Time period – day, week, month
 Transaction records accumulated in files
 When batches are processed, what happens?
 Update databases
 Generate reports
 Generate transactions for other systems
MATHI MBA
Transaction
Data
Data
Processing
Trans.
File
New
Master
FileOld
Master
File
Documents/
Reports
Batch Processing
MATHI MBA
 Transactions are processed in real time
 Required for any “modern” application
where time is critical
 Well supported by client/server
computing model
MATHI MBA
On-line Processing
On-line
Data
Processing
Documents/
Reports
Transaction
Data
Inquiries/
Reponses
Transaction
Data
Transaction
Data
MATHI MBA
 Order Processing
 Purchasing
 Accounts Receivables & Accounts
Payables
 Receiving & Shipping
 Inventory on Hand
 Payroll
 General Ledgers MATHI MBA
 Payroll: employee time cards, employee
pay and deductions, payroll checks.
 Purchasing: purchase
orders, deliveries, payments (accounts
payable)
 Sales: sales records, invoices and
billing, accounts receivable, sales
returns, shipping
 Manufacturing: production
reports, quality-control reports
 Finance and Accounting: financial
statements, tax records, expense
accounts
 Inventory management: materials MATHI MBA
Keep inventory of personnel
payroll preparation
compute salaries and incentive
plans
MATHI MBA
MATHI MBA

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Transaction processing systems (tps) in Management information systems (MIS)