A Transaction Processing System is a set of information which processes the data transaction in database system that monitors transaction programs. The system is useful when something is sold over the internet. It allows for a time delay between when an item is being sold to when it is actually sold. An example is that of a sporting event ticket. While the customer is filling out their information to purchase the seat ticket; the transaction processing system is holding the ticket so that another customer cannot also buy it. It allows for a ticket not to be sold to two different customers.
Batch processing: Processes several transactions at the same time, with a time delay.
Real-time processing: Deals with one transaction at a time and does not have a time delay.
Rapid Response: The response time of a transaction processing system (TPS) is important because a business cannot afford to have their customers waiting for long periods of time before making a transaction.
Reliability: A good TPS must be very reliable because if it were to break down businesses could lose a huge portion of revenue because customers would not be able to purchase their products.
Inflexibility: The TPS must work the same way for every transaction as long as the TPS is being used. The formality and structure should never change.
Controlled processing: The TPS must be able to allow authorized employees to be able to access it at any time.
Storing and Retrieving Data
A TPS must be able to easily be accessed by authorized employees so that information in the TPS can be retrieved. The information that goes through a TPS must never be deleted so that there will not be any confusion of what orders have gone through it. It is a good idea to have a back up hard drive so that older information can still be stored, but will not slow down the server which houses the TPS.