A transaction is an elementary activity conducted during business operations. Transaction processing systems (TPS) process the company's business transactions and thus support the operations of an enterprise. A TPS records a non-inquiry transaction itself, as well as all of its effects, in the database and produces documents relating to the transaction.
TPS are necessary to conduct business in almost any organization today. TPSs bring data into the organizational databases, these systems are also a foundation on which management oriented information systems rest.
Transaction Processing Modes Transaction processing may be accomplished in one of two modes:
1. On-line mode
2. Batch mode
Characteristics of on-line transaction processing:
1. Each transaction is completely processed immediately upon entry.
2. OLAP is the most common mode of used today
3. More costly than batch processing
4. Database is always up to date.
Transaction Processing Subsystems in a Firm
Overall transaction processing, also known as data processing, reflects the principal business activities of a firm. The principal transaction processing subsystems in a firm are those supporting:
DECISION SUPPORT SYSTEM
A Decision Support System (DSS) is a computer-based information system that supports business or organizationaldecision-making activities. DSSs serve the management, operations, and planning levels of an organization (usually mid and higher management) and help to make decisions, which may be rapidly changing and not easily specified in advance (Unstructured and Semi-Structured decision problems). Decision support systems can be either fully computerized, human or a combination of both.
DSSs include knowledge-based systems. A properly designed DSS is an interactive software-based system intended to help decision makers compile