Transaction Processing System.
Transaction Processing System.
Transaction Processing System.
KINDS OF IS
-GROUP 4
INDEX
The TPS records the data from every day operations throughout every
division or department in the organization.
Transaction processing system supports day – to – day operations:
Examples of TPS are order – entry systems, cheque processing systems,
accounts receivable systems, accounts payable systems, payroll systems and
ticket reservation systems. These systems help any company to conduct
operations and keep track of activities.
TPS was first developed in the 1950 s in accounting departments of major
corporations. It is the oldest type of information system and can be called as
the ‘work house’ of the information system industry for the last 50 years.
An event occurs in the business world. The event is recorded by keying it
into the computer system as a transaction. The transaction is a representation
of the event. TPS is nothing but a computer program which processes the
transaction against TPS data.
Example : In case of a ticket Reservation system, say Railways, the TPS data
contains the location of available seats; in the case of an order, this data
contains a list of products available for sale, their prices and related data.
In case of cheque processing this data contains the account balances,
customer lists and other data.
TPS program generates 2 types of outputs
i ) It sends message back to the operator generator.
ii ) It generates printed materials.
Objectives of TPS
• Process data generated by and about transactions.
• Maintain a high degree of accuracy.
• Ensure data information integrity and accuracy.
• Produce timely documents and reports.
• Increase labour efficiency.
• Help provide increased and enhanced efficiency.
• To build and maintain customer loyalty.
• Achieve competitive advantage.
Characteristics of TPS
1. Type – These activities occur at the operational level.
2. Inputs – Day –to – day transactions or events are inputs to TPS.
3. Processing – Converting of input into output and providing
meaningful information.
4. Output – TPS updates the database and generates printed materials.
5. Users – All operational level personnel's, stores manages H.R manager
etc.
6. Decision making – It is computer based application system which is
highly structured.
Types of TPS
These are 2 fundamental types of TPS
• Online systems( On line transaction processing )
• Batch systems (Batch transaction processing)
1. On – line systems:
In this processing system data are processed as they are entered as
opposed to batch processing. It involves direct connection between
the operator and the TPS program. They provide immediate results.
They are used to process a single transaction at a time.
Example: An order arrives by telephone call, it is processed at that
moment and the results are produced.
OFFICE AUTOMATION
The term office automation refers to all tools and methods that are applied to
office activities which make it possible to process written, visual, and sound
data in a computer-aided manner.
Office automation is intended to provide elements which make it possible to
simplify, improve, and automate the organisation of the activities of a company
or a group of people (management of administrative data, synchronisation of
meetings, etc.).
Considering that company organizations requires increased communication,
today, office automation is no longer limited to simply capturing handwritten
notes. In particular, it also includes the following activities:
• exchange of information
• management of administrative documents
• handling of numerical data
• meeting planning and management of work schedules
The term "office suite" refers to all software programs which make it possible
to meet office needs. In particular, an office suite therefore includes the
following software programs:
• word processing
• a spreadsheet
• a presentation tool
• a database
• a scheduler
• AppleWorks
• Corel WordPerfect
• IBM/Lotus SmartSuite
• Microsoft office
• Sun star office
Automation Systems Overview
Electronic Publishing
Electronic Communication
Electronic Mail
E-mail is software that allows users, via their computer keyboards, to create,
send, and receive messages and files to or from anywhere in the world. Most e-
mail systems let the user do other sophisticated tasks such as filter, prioritize,
or file messages; forward copies of messages to other users; create and save
drafts of messages; send "carbon copies"; and request automatic confirmation
of the delivery of a message. E-mail is very popular because it is easy to use,
offers fast delivery, and is inexpensive. Examples of e-mail software are
Eudora, Lotus Notes, and Microsoft Outlook.
Voice Mail
Desktop Videoconferencing
Electronic Collaboration
Studies have found that telecommuting programs can boost employee morale
and productivity among those who work from home. It is necessary to maintain
a collaborative work environment, however, through the use of technology and
general employee management practices, so that neither on-site employees nor
telecommuters find their productivity is compromised by such arrangements.
The technologies used in electronic communication and teleconferencing can
be useful in maintaining a successful telecommuting program.
Presentation graphics software uses graphics and data from other software tools
to create and display presentations. The graphics include charts, bullet lists,
text, sound, photos, animation, and video clips. Examples of such software are
Microsoft Power Point, Lotus Freelance Graphics, and SPC Harvard Graphics.
Multimedia systems are technologies that integrate two or more types of media
such as text, graphic, sound, voice, full-motion video, or animation into a
computer-based application. Multimedia is used for electronic books and
newspapers, video conferencing, imaging, presentations, and web sites.
MANAGEMENT
INFORMATION SYSTEMS
Management information systems:
MIS can be defined as a system that processes information input in the form of
data (the raw material) and helps support the management in decision-
making and strategic planning. These systems assist lower management in
problem solving and making decisions. They use the results of transaction
processing and some other information also. It is a set of information
processing functions. It should handle queries as quickly as they arrive.
An important element of MIS is database
Functions:
Components of MIS:
1.Hardware
Input and output devices constitute the hardware components of MIS
2. Software
The programs and applications that convert data into machine-readable
language are known as software
3. Procedures
Procedures are sets of rules or guidelines, which an organization establishes for
the use of a computer-based information system
4. Personnel
The computer experts, managers, users, analysts, programmers, database
managers, and many other computer professionals who utilize the computer-
based information systems are the personnel in a management information
systems.
The purpose of MIS is to help the smooth running of the business by providing
information on the firms data (such as accounting figures) employees from
different levels will then evaluate this information so that decisions can be
made to ensure that the business remains competitive and successful.
OBJECTIVES:
Suppose the company wants to increase its market segment ‘A’ from 10% to
14% per year, numerous information must be available, like:
Which are the competitor’s product offer to hold share in the market?
In what stage of the product life cycle in each product and so on…
• To make available, right information at the right place, at the right time
and at the low cost.
APPLICATIONS:
1. Transportation
2. Finance and Accounting
3. Laboratories
4. Trafficking Systems
5. Graphic Design
6. Geographic Information Systems (GIS)
7. Telecommunication
8. Satellite imaging
9. Healthcare, etc
DECISION SUPPORT SYSTEMS
DECISION SUPPORT SYSTEM (DSS)
Definition:
According to Scott Morton – “Decision Support System are Interactive
computer based systems, which helps decision-makers utilize data and models
to solve unstructured problems.”
• DSS is not structured, finished systems as TPS and MIS are.
• DSS is collection of data and data processing tools used to creatively
manipulate data to answer unknown and often unexpected questions.
• Unlike TPS and MIS which are regular and recurring, the need for DSS
can be irregular.
Architecture of DSS
DSS
DSS User
Program
Responses
Graphs Reports
The Architecture of a DSS application is as shown in above figure.
• Data from the organizations, TPS and MIS applications are input to the
DSS programs, along with data from external sources and DSS model
data. The DSS may store and later reprocess its own model data as well.
• The user interacts with the DSS online and requests are made, models
are created or adjusted and data is manipulated.
• The outputs of the DSS program can be either text, structured reports or
graphics.
• The data management subsystem contains all the data that flow from
several sources, and are extracted prior to their entry into a DSS
database or a data warehouse.
Characteristics of DSS
1. DSS offer users flexibility, adaptability and a quick response.
2. DSS operate with little or no assistance from professional
programmers.
3. DSS provide support for decisions and problems whose solutions
cannot be specified in advance.
4. DSS uses sophisticated data analysis and modeling tools.
5. DSS is typically designed for either a particular decision-maker
or a group of decision-makers.
6. DSS provides more consistent and objective than complex
decisions that are mode intuitively.
7. Designed to help support decisions that are formulated as semi-
structured, complex problems.
Capabilities of DSS
1. A DSS provides support for decision makers at all management levels,
whether individuals or groups, mainly in semi-structured and
unstructured situations by bringing together human judgment and
objective information
2. A DSS supports several interdependent and/or sequential decisions.
3. A DSS supports all phases of the decision-making process – intelligent,
design, choice and implementation.
4. A DSS is adaptable by the user over time to deal with changing
conditions.
5. A DSS is easy to construct and use in many cases.
6. A DSS promotes learning, which leads to new demands and refinement
of the current application, which leads to additional learning.
7. A DSS usually utilizes quantitative models (standard or custom made).
8. Advanced DSS’s are equipped with a knowledge management
component that allows the efficient and effective solution of very
complex problems.
9. A DSS can be disseminated for use via the web.
10. A DSS allows the easy execution of sensitivity analysis.
Example of DSS:-
Sales managers typically rely on management information
systems to produce sales analysis reports. These reports contain sales
performance figures by product-line, salesperson, sales region, etc. The
DSS on the other hand shows the sales manager the effects on sales
performance of changes in a variety of factors (such as promotion expense
and salesperson compensation). The DSS could then use several criteria
(such as expected gross margin and market share) to evaluate and rank
several alternative combinations of sales performance factor.
Therefore, DSS systems are designed to be ad hoc, quick-
response systems that are initiated and controlled by business decision
makers.
DSS are thus able to directly support the specific types of
decisions and the personal decision-making styles and needs of individual
executives, managers and business professionals.
Comparison between DSS and MIS
Following are the few differences between DSS and MIS:
Points MIS DSS
Components of GDSS
The difference between GDSSs and DSSs is the focus on the group versus the
individual decision-maker. The components of a GDSS are basically similar to
those of
DSS, including hardware, software, and people; but in addition, within the
collaborative
environment, communication and networking technologies are added for group
participation from different sites.
ADVANTAGES
Group Decision Support Systems give groups several advantages
over many traditional, non-automated group meetings (Nunamaker, et
al., 1991):
1.More participation
In a typical meeting, group members have only few minutes to express
their ideas rather than the entire meeting time. In some non-
automated meetings, a few group members may exert undue influence or
monopolize the group's time; a GDSS makes every participant equal,
eliminating member status incongruities. Finally, more information
will be presented to the group as more participate.
2.Group synergy
Other group members will be able to use an idea in a manner that the
originator did not because participants have different information
skills. Also, the group as a whole will be better able to catch
errors in a comment than the individual who proposed the idea.
3.More structure
A GDSS also provides a certain amount of structure to the meeting.
With this structure in place, it is more difficult to deviate from the
problem-solving cycle and make incomplete or premature decisions.
The group has a more concentrated discussion, and they stay focused on
the issues throughout the meeting. Lower levels of non-task
interactions (gossiping, for example) in such groups have been
observed as compared with traditional meetings.
4.Other benefits
As a result of more participation, group synergy, record keeping, and
structure, many groups have been able to accomplish more in
significantly less time necessary for traditional, non-automated
meetings. Also, these factors have contributed to higher group
satisfaction with the meeting process. Finally, the new technology
has enabled larger groups to meet, resulting in more information,
knowledge, and skills that are brought to bear to the task at hand.
DISADVANTAGES
There are some disadvantages to the technology, however, and they
include:
1.Slow Communication
Most people speak much faster than they type, and thus would usually
prefer a verbal environment (other things being equal). However, a
GDSS allows participants to review recorded comments (people may read
and scan faster than they can hear and process). Other advantages,
including anonymity and parallel communication, may override the slow
typing speed. The break-even point, where it is more efficient to
type in parallel rather than speak and listen in sequence, occurs at a
group size of approximately eight members (depending upon typing
speed).
2. Knowledge base.
3. Inference engine
CONSULTATION DEVELOPMENT
ENVIRONMENT ENVIRONMENT
2. Knowledge base:-
3. Inference engine:-
• Brain of ES
4. User inference:-
II. Diagnosis
III. Monitoring
V. Reliability
ADVANTAGES OF ES
It is faster and consistent.
LIMITATIONS OF ES
They excel only in solving specific types of problems in limited domain.
They perform well with specific types of operational and analytical tasks
but latter at subjective decision making.
KNOWLEDGE SYSTEM
A knowledge system is a computer based system that represents knowledge
and makes it available to users in a tailored form to the solution of specific
problems.
TYPES OF KNOWLEDGE SYSTEM:-
a) Hyper text
b) Interactive video
c) Expert system
I. Hyper text:-
ATTRIBUTE DSS ES
Unstructured
KWS ESS
DSS
Semi-structured
EIS MIS
TPS
structured
Organization level
Computing involves DSS and ES, DSS differs from conventional MIS.
They have several advantage they are geared to information
manuplation
They are operated directed by their users and they help managers make
non- routine in unstructured decisions.