Mod-TWO. Transaction Processing System (TPS) Office Automation System (OAS)

Transcription

1 Mod-TWO Transaction Processing System (TPS) Office Automation System (OAS)

2 TPS, MIS, DSS, and AI/ES Hierarchy: Information AI/ES Less More Less More DSS MIS Routine Decision support Input & output Sophistication & complexity of processing & analysis Data TPS More Less More Less

3 Transactions Transactions Basic business operations such as customer orders, purchase orders, receipts, time cards, invoices, and payroll checks in an organization Transaction processing systems (TPS) Perform routine operations and serve as a foundation for other systems

4 Purpose : Support operations Recording Processing Reporting TPSs exist in e.g. Purchase of an airline ticket Deposit or withdrawal of funds at a bank

5 Transaction Processing Systems (TPS) Computerized system that performs and records the daily routine transactions necessary to conduct the business; these systems serve the operational level of the organization

6 TYPE: Operational-level INPUTS: transactions, events PROCESSING: updating OUTPUTS: detailed reports USERS: operations personnel, supervisors DECISION-MAKING: highly structured EXAMPLE: payroll, accounts payable

7 Batch vs. On-Line Transaction Processing Two types of TPS: Batch processing A system whereby business transactions are accumulated over a period of time and prepared for processing as a single unit or batch On-line transaction processing (OLTP) A system whereby each transaction is processed immediately, without the delay of accumulating transactions into a batch

8 Batch Schematic Data entry of accumulated transactions Input (batched) Output

9 On-line Schematic Terminal Terminal Terminal Output Terminal Immediate processing of each transaction Terminal Terminal

10 Objectives 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 labour efficiency Help provide increased and enhanced service Help build and maintain customer loyalty Achieve competitive advantage

11 Simplified Overview of a Transaction Processing System Schematic

12 Data entry & input Processing Documents & reports Internally generated transactions: shipped shipped orders orders purchase orders orders employee time time cards cards Externally generated transactions: customer orders orders vendor vendor invoices invoices customer payments Database Database update: update: customer orders orders inventory purchase orders orders customers suppliers Documents: pick pick list list cheques cheques to to vendors vendors receiving notices notices paycheques Operational reports: finished finished product product inventory status status raw raw materials; packing packing materials; spare spare parts; parts; inventory status status

13 Data Processing Activities Common to TPSs A transaction processing cycle Data collection Data editing Data correction Data manipulation Data storage Document production Schematic

14 Original data Data collection Data edit Data correction Data manipulation Data storage Document production

15 Source Data Automation Source data automation The process of capturing data at its source with minimal manual effort Data are entered directly into the computer

16 Transaction Processing Systems Collects and Store data about transactions Are designed based on detailed specifications for how the transactions should be performed and how to control the collection of specific data in specific data formats and in accordance with rules and procedures for work done by clerks and customer service agents A well-designed TPS has back-up and recovery procedures that minimize disruptions resulting from computer outages Two types of TPS Batch Processing Information for individual transaction is gathered but not processed immediately Real Time Processing Each transactions is processed immediately

17 Point-of-Sale Transaction Processing System Scanner UPC Quantity, Date, time Point-of-sale transaction processing system Customer s receipt UPC and quantity Item, quantity, date, time, price Inventory database Management information system Exception report UPC Price Purchases database Item database

18 Traditional TPS Order Processing Order processing Processing an order from entry to delivery, including traditional accounting transactions Schematic

19 Invoice Products Customer Customer order in person or via mail, phone, EDI, internet Inventory status Order entry/ sales configuration Finished product inventory Shipment planning Shipment execution Orders Pick list Planned shipments Routing Planned shipments & routes Shipped orders Scheduling Invoicing

20 Customer Request for proposal Sale Problem, idea, request for information Other contacts Customer interaction system Market research Product development Sales Marketing Quality control

21 Transaction Processing System (TPS)

22 Typical Applications of TPS

23 A transaction processing cycle Data collection Data editing Data correction Data manipulation Data storage Document production

24 Management Information Systems (MIS)

25 WHAT IS MIS? The MIS program combines the fundamental intellectual content of both Computer Science and Business Management Economics. MIS is the application of information technology to support the major functions and activities of either a private sector business or public sector institution. These systems provide feedback on organisational activities and help to support managerial decision making.

26 In the past, organizations recognized the importance of managing resources such as labor, capital, and raw materials. Today, it is widely accepted that managing the information resource is very often equally important. MIS supports the process of collection, manipulation, storage, distribution and utilization of an organization's information resources.

27 WHAT IS MIS? The vast majority of information systems are developed for and used by people in functional areas (e.g., manufacturing, human resources, accounting, finance and marketing). To develop information systems that address the needs of the organization, MIS professionals must possess a solid mix of business and technical knowledge.

28 They must understand organizational structures, objectives, operations (including processes and the flows of data between processes) and the financial implications related to these factors. MIS managers and professionals must stay up-todate with evolving information technologies and have a solid foundation of technical skills to select appropriate technologies and to implement computer-based information systems.

29 Business information systems (BIS) The interactive relationships between the information systems and organizations, both technically and socially, and the business opportunities and challenges brought about by the BIS. This describes information systems used to support the functional areas of business.

30 MIS helps: to establish relevant and measurable objectives to monitor results and performances (reach ratios) to send alerts, in some cases daily, to managers at each level of the organization, on all deviations between results and pre-established objectives and budgets.

31 Decision-Support Systems (DSS)

32 Interaction among Systems

33 Summary Different types of IS by organizantional levels include: Transaction Processing Systems (TPS) Management Information Systems (MIS), and Decision Support Systems (DSS) Executive Support Systems (ESS), also known as Executive Information Systems (EIS)

34 Purposes of Information Systems

35 Types of Operations Support Systems Transaction Processing Systems Record and process business transactions Examples: sales processing, inventory systems, accounting systems Process Control Systems Monitor and control physical processes Example: using sensors to monitor chemical processes in a petroleum refinery Enterprise Collaboration Systems Enhance team and workgroup communication Examples: , video conferencing

36 Two Ways to Process Transactions Batch Processing Accumulate transactions over time and process periodically Example: a bank processes all checks received in a batch at night Online Processing Process transactions immediately Example: a bank processes an ATM withdrawal immediately

37 Components of an IS

38 Office Automation Systems (OAS) Computer system, such as word processing, electronic mail system, and scheduling system, that is designed to increase the productivity of data workers in the office.

39 Office Automation Systems Facilitates everyday information processing tasks in offices and business organization Includes a wide range of tools Spreadsheets Word processors Presentation packages Personal database systems and note-taking systems Help people perform personal record keeping, writing and calculation chores efficiently

40 TYPE: Knowledge-level INPUTS: documents, schedules PROCESSING: document management, scheduling, communication OUTPUTS: documents; schedules USERS: clerical workers EXAMPLE: document imaging system

41 Decision Support Systems (DSS) Information system at the management level of an organization that combines data and sophisticated analytical models or data analysis tools to support semi-structured and unstructured decision making.

42 TYPE: Management-level INPUTS: low volume data PROCESSING: simulations, analysis OUTPUTS: decision analysis USERS: professionals, staff managers DECISION-MAKING: semi-structured EXAMPLE: sales region analysis

43 Characteristics of Decision-Support Systems 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 use sophisticated data analysis and modelling tools.

44 Decision Process Decision makers goes through a fairly systematic process. Define the Process or Problem Intelligence phase Develop Alternative Courses of Action Modeling phase Select The Best One Review It Choice phase Act on it Implementation phase

45 Decision Support Systems Decision support system (DSS) is a computer-based information system that combines models and data in an attempt to solve semistructured and unstructured problems with user involvement.

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47 Decision Support Systems - Components Every DSS consists of at least data management, user interface, model management components, and the end users. A few also contain a knowledge management component.

48 A DSS 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. A model management subsystem contains completed models (financial, statistical, management science, or other quantitative models), and the routines to develop DSSs applications.

49 The user interface covers all aspects of the communications between a user and the DSS. The Users. The person (manager, or the decision maker) faced with the problem or decision that the DSS is designed to support A knowledge-based or intelligent subsystem provides the expertise for solving some aspects of the problem, or the knowledge that can enhance the operation of the other DSS components.

50 DSS Process Data Model

51 Group Decision Support System (GDSS) A Group Decision Support System (GDSS), also known as an Electronic Meeting System or groupware, is commonly defined as a collection of software, hardware, and procedures designed for the automated support of group work (Dennis, et al., 1988; Kraemer & King, 1988).

52 Group Decision Support Systems The DSS methodology was initially designed to support individual decision makers. However, decision making is frequently a shared process. Where a group may be involved in making the decision. When a decision-making group is supported electronically, the support is referred to as a group decision support system (GDSS). Groups One-room group whose members are in one place Virtual group, whose members are in different locations

53 a DSS whose design, structure, and usage reflect the way in which people cooperate to make a particular decision or type of decision

54 an interactive, computer-based system which facilitates the solution of unstructured problems by a set of decision makers working together as a group consisting of a set of software, hardware, language components, and procedures that support a group of people engaged in a decision-related meeting

55 Characteristics of a GDSS Special design: Effective communication Group decision making Ease of use Flexibility Accommodate different perspectives Anonymous input Individuals names are not exposed Parallel communication

56 Characteristics of a GDSS Decision-making support Delphi approach: Decision makers are scattered around the globe Brainstorming: Say things as you think---think out loud Group consensus approach: The group reaches a unanimous decision (everybody agrees) Nominal group technique: Voting Reduction of negative group behavior A trained meeting facilitator to help with sidetracking Automated record keeping

57 Executive Information (Support) Systems An executive information system (EIS), also known as an executive support system (ESS), is a technology designed in response to the specific needs of top-level managers and executives.

58 Executive Support Systems (ESS or EIS) Internal Data TPS/MIS data Financial data Office systems Modeling/ analysis External Data Dow Jones Internet news Standard & Poor s

59 EIS are: Very user friendly Is supported by graphics Provides the capabilities of exception reporting (reporting only the results that deviate from a set standard) Provide drill down (investigating information in increasing detail). ESS goes beyond EIS to include: Analyse support Communications Office automation Intelligence support

60 ESS - Expansion ESS can be enhanced with: Multidimensional analysis and presentation Friendly data access User-friendly graphical interface Imaging capabilities Intranet access Internet access Modeling ESS goes beyond EIS to include: Analyse support Communications Office automation Intelligence support Intelligent ESS saves an executive's time in conducting drill downs, exceptions, or identifying trends by automating these activities.

61 ISS - Artificial Intelligence The development of machines that exhibit intelligent characteristics draws upon several sciences and technologies, ranging from linguistics to mathematics.

62 Expert Systems (ES) One type of ISS Expert systems (ESs) are attempts to mimic human experts. It is decision-making software that can reach a level of performance comparable to a human expert in some specialized and usually narrow problem area. The idea is simple: expertise is transferred from an expert or other source of expertise to the computer.

63 The transfer of expertise from an expert to a computer and then to the user involves four activities: Components of Expert Systems (ES) Knowledge acquisition (from experts or other sources) Knowledge Base -Knowledge representation (organized as rules or frames in the computer) Knowledge Engine Knowledge inferencing is performed in a component called the inference engine of the ES and results in the recommendation. Knowledge transfer to the user (the expert s knowledge has been transferred to users).

64 Expert Systems (ES) Benefits:

65 Expert Systems

66 Attributes DSS ES Objective Assist Dm Duplicate Dm Recommendation About Decision Made By User/System System Major Orientation Dm T/F Of Expertise Query Direction Human System System Data Manipulation Numerical Human Symbolic Characteristics Of Problem Area Complex/Broad Specific Types Of Database Factual Knowledge Rules Reasoning Ability Absent Present Explanation Limited Total Learning Capability Absent Present Nature Of Support Personal Personal & Group