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<span id="openzim-page-title" class="mw-page-title-main"><span class="mw-page-title-main">Transaction processing system</span></span>

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<p>A <b>transaction processing system</b> (<b>TPS</b>) is a <a href="Computer_software" class="mw-redirect" title="Computer software">software</a> system, or software/<a href="Computer_hardware" title="Computer hardware">hardware</a> combination, that supports <a href="Transaction_processing" title="Transaction processing">transaction processing</a>.

</p>

<div class="mw-heading mw-heading2"><h2 id="History">History</h2></div>

<p>The first transaction processing system was <a href="Sabre_(computer_system)" class="mw-redirect" title="Sabre (computer system)">SABRE</a>, made by <a href="IBM" title="IBM">IBM</a> for <a href="American_Airlines" title="American Airlines">American Airlines</a>, which became operational in 1964.<sup id="cite_ref-1" class="reference"><a href="#cite_note-1"><span class="cite-bracket">[</span>1<span class="cite-bracket">]</span></a></sup> Designed to process up to 83,000 transactions a day, the system ran on two <a href="IBM_7090" title="IBM 7090">IBM 7090</a> computers. SABRE was migrated to <a href="IBM_System/360" title="IBM System/360">IBM System/360</a> computers in 1972, and became an IBM product first as <i><a href="IBM_Airline_Control_Program" title="IBM Airline Control Program">Airline control Program (ACP)</a></i> and later as <i><a href="Transaction_Processing_Facility" title="Transaction Processing Facility">Transaction Processing Facility (TPF)</a></i>. In addition to airlines, TPF is used by large banks, credit card companies, and hotel chains.

</p><p>The <a href="Hewlett_Packard_Enterprise" title="Hewlett Packard Enterprise">Hewlett Packard Enterprise</a> <a href="NonStop_(server_computers)" title="NonStop (server computers)">NonStop</a> system (formerly <a href="Tandem_Computers" title="Tandem Computers">Tandem</a> NonStop) is a hardware and software system designed for <i>Online Transaction Processing (OLTP)</i> introduced in 1976.<sup id="cite_ref-2" class="reference"><a href="#cite_note-2"><span class="cite-bracket">[</span>2<span class="cite-bracket">]</span></a></sup> The system provides an extreme level of availability and data integrity.

</p>

<div class="mw-heading mw-heading2"><h2 id="List_of_transaction_processing_systems">List of transaction processing systems</h2></div>

<ul><li>IBM <a href="Transaction_Processing_Facility" title="Transaction Processing Facility">Transaction Processing Facility</a> (TPF) – 1960. Unlike most other transaction processing systems TPF is a dedicated operating system for transaction processing on <a href="IBM_System_z" class="mw-redirect" title="IBM System z">IBM System z</a> mainframes. Originally <a href="IBM_Airline_Control_Program" title="IBM Airline Control Program">Airline Control Program (ACP)</a>.</li>

<li><a href="IBM_Information_Management_System" title="IBM Information Management System">IBM Information Management System</a> (IMS) – 1966. A joint hierarchical database and information management system with extensive transaction processing capabilities. Runs on <a href="OS/360_and_successors" title="OS/360 and successors">OS/360 and successors</a>.</li>

<li><a href="CICS" title="CICS">IBM Customer Information Control System</a> (CICS) – 1969. A transaction manager designed for rapid, high-volume online processing, CICS originally used standard system datasets, but now has a connection to the <a href="IBM_Db2" title="IBM Db2">IBM Db2</a> relational database system. Runs on <a href="OS/360_and_successors" title="OS/360 and successors">OS/360 and successors</a> and <a href="DOS/360_and_successors" title="DOS/360 and successors">DOS/360 and successors</a>, <a href="IBM_AIX" title="IBM AIX">IBM AIX</a>, <a href="VM_(operating_system)" title="VM (operating system)">VM</a>, and <a href="OS/2" title="OS/2">OS/2</a>. Non-mainframe versions are called <i><a href="IBM_TXSeries" title="IBM TXSeries">TXSeries</a></i>.</li>

<li><a href="Tuxedo_(software)" title="Tuxedo (software)">Tuxedo</a> – 1980s. Transactions for Unix, Extended for Distributed Operations developed by <a href="AT%26T_Corporation" title="AT&T Corporation">AT&T Corporation</a>, now owned by <a href="Oracle_Corporation" title="Oracle Corporation">Oracle Corporation</a>. Tuxedo is a cross-platform TPS.</li>

<li><a href="UNIVAC" title="UNIVAC">UNIVAC</a> Transaction Interface Package (TIP) – 1970s. A transaction processing monitor for <a href="UNIVAC_1100/2200_series" title="UNIVAC 1100/2200 series">UNIVAC 1100/2200 series</a> computers.<sup id="cite_ref-3" class="reference"><a href="#cite_note-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup></li>

<li><a href="Burroughs_Corporation" title="Burroughs Corporation">Burroughs Corporation</a> supported transaction processing capabilities in its <a href="Burroughs_MCP" title="Burroughs MCP">MCP</a> operating systems using GEMCOS (Generalized Message Control System of 1976). As of 2012 <a href="UNISYS" class="mw-redirect" title="UNISYS">UNISYS</a> <a href="Burroughs_large_systems" class="mw-redirect" title="Burroughs large systems">ClearPath Enterprise Servers</a> include Transaction Server, "an extremely flexible, high-performance message and application control system."<sup id="cite_ref-4" class="reference"><a href="#cite_note-4"><span class="cite-bracket">[</span>4<span class="cite-bracket">]</span></a></sup></li>

<li><a href="Digital_Equipment_Corporation" title="Digital Equipment Corporation">Digital Equipment Corporation</a> (DEC) Application Control and Management System (ACMS) – 1985. "Provides an environment for creating and controlling online transaction processing (OLTP) applications on the VMS operating system."<sup id="cite_ref-5" class="reference"><a href="#cite_note-5"><span class="cite-bracket">[</span>5<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-6" class="reference"><a href="#cite_note-6"><span class="cite-bracket">[</span>6<span class="cite-bracket">]</span></a></sup> Runs on <a href="VAX" title="VAX">VAX</a>/<a href="OpenVMS" title="OpenVMS">VMS</a> systems.</li>

<li><a href="Digital_Equipment_Corporation" title="Digital Equipment Corporation">Digital Equipment Corporation</a> (DEC) Message Control System (MCS-10) for <a href="PDP-10" title="PDP-10">PDP-10</a> <a href="TOPS-10" title="TOPS-10">TOPS-10</a> systems.</li>

<li><a href="Honeywell" title="Honeywell">Honeywell</a> <a href="Multics" title="Multics">Multics</a> Transaction Processing. Feature (TP) – 1979.<sup id="cite_ref-7" class="reference"><a href="#cite_note-7"><span class="cite-bracket">[</span>7<span class="cite-bracket">]</span></a></sup></li>

<li><a href="Transaction_Management_eXecutive" title="Transaction Management eXecutive">Transaction Management eXecutive</a> (TMX) was <a href="NCR_Corporation" class="mw-redirect" title="NCR Corporation">NCR Corporation</a>'s proprietary transaction processing system running on NCR Tower 5000-series systems. This system was used mainly by financial institutions in the 1980s and 1990s.</li>

<li>Hewlett Packard Enterprise <a href="NonStop_(server_computers)" title="NonStop (server computers)">NonStop</a> system – 1976. NonStop is an integrated hardware and software system specifically designed for transaction processing. Originally from <a href="Tandem_Computers" title="Tandem Computers">Tandem Computers</a>.</li>

<li><a href="Transarc" title="Transarc">Transarc</a> <a href="Encina_(software)" title="Encina (software)">Encina</a> – 1991.<sup id="cite_ref-8" class="reference"><a href="#cite_note-8"><span class="cite-bracket">[</span>8<span class="cite-bracket">]</span></a></sup> Transarc was purchased by IBM in 1994. Encina was discontinued as a product and folded into IBM's <i><a href="IBM_TXSeries" title="IBM TXSeries">TXSeries</a></i>.<sup id="cite_ref-9" class="reference"><a href="#cite_note-9"><span class="cite-bracket">[</span>9<span class="cite-bracket">]</span></a></sup> Encina support was discontinued in 2006.</li></ul>

<div class="mw-heading mw-heading2"><h2 id="Processing_types">Processing types</h2></div>

<p>Transaction processing is distinct from and can be contrasted with other computer processing models, such as <a href="Batch_processing" title="Batch processing">batch processing</a>, <a href="Time-sharing" title="Time-sharing">time-sharing</a>, and <a href="Real-time_computing" title="Real-time computing">real-time processing</a>.<sup id="cite_ref-Schuster_10-0" class="reference"><a href="#cite_note-Schuster-10"><span class="cite-bracket">[</span>10<span class="cite-bracket">]</span></a></sup>

</p>

<div class="mw-heading mw-heading3"><h3 id="Batch_processing">Batch processing</h3></div>

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</style><div role="note" class="hatnote navigation-not-searchable">Main article: <a href="Batch_processing" title="Batch processing">Batch processing</a></div>

<p>Batch processing is execution of a series of programs (<i>jobs</i>) on a computer without manual intervention. Several transactions, called a <i>batch</i> are collected and processed at the same time. The results of each transaction are not immediately available when the transaction is being entered;<sup class=" nourlexpansion citation" id="ref_HSC"><a class="external autonumber external" href="https://en.wikipedia.org/wiki/Transaction_processing_system#endnote_HSC">[1]</a></sup> there is a time delay.

</p>

<div class="mw-heading mw-heading3"><h3 id="Real-time_processing">Real-time processing</h3></div>

<div role="note" class="hatnote navigation-not-searchable">Main article: <a href="Real-time_computing" title="Real-time computing">Real-time computing</a></div>

<p>"Real time systems attempt to guarantee an appropriate response to a stimulus or request quickly enough to affect the conditions that caused the stimulus."<sup id="cite_ref-Schuster_10-1" class="reference"><a href="#cite_note-Schuster-10"><span class="cite-bracket">[</span>10<span class="cite-bracket">]</span></a></sup> Each transaction in realtime processing is unique; it is not part of a group of transactions.

</p>

<div class="mw-heading mw-heading3"><h3 id="Transaction_processing">Transaction processing</h3></div>

<div role="note" class="hatnote navigation-not-searchable">Main article: <a href="Transaction_processing" title="Transaction processing">Transaction processing</a></div>

<p>A Transaction Processing System (TPS) is an information system that collects, stores, modifies, and retrieves the data transactions of an enterprise. Transaction processing systems also attempt to provide predictable response times to requests, although this is not as critical as real-time systems. Rather than allowing the user to run arbitrary programs as time-sharing, transaction processing allows only predefined, structured transactions. Each transaction is usually short, and each transaction's processing activity is programmed in advance. It is an MIS model.

</p>

<div class="mw-heading mw-heading2"><h2 id="Transaction_processing_system_features">Transaction processing system features</h2></div>

<p>The following features are considered important in evaluating transaction processing systems.<sup id="cite_ref-Schuster_10-2" class="reference"><a href="#cite_note-Schuster-10"><span class="cite-bracket">[</span>10<span class="cite-bracket">]</span></a></sup>

</p>

<div class="mw-heading mw-heading3"><h3 id="Performance">Performance</h3></div>

<p>Fast <a href="Performance_test_(assessment)" class="mw-redirect" title="Performance test (assessment)">performance</a> with a rapid response time is critical. Transaction processing systems are usually measured by the number of transactions they can process in a given period of time.

</p>

<div class="mw-heading mw-heading3"><h3 id="Continuous_availability">Continuous availability</h3></div>

<p>The system must be available during the time period when the users are entering transactions. Many organizations rely heavily on their TPS; a breakdown will disrupt operations or even stop the business.

</p>

<div class="mw-heading mw-heading3"><h3 id="Data_integrity">Data integrity</h3></div>

<p>The system must be able to handle hardware or software problems without corrupting data. Multiple users must be protected from attempting to change the same piece of data at the same time, for example two operators cannot sell the same seat on an airplane.

</p>

<p>Often users of transaction processing systems are casual users. The system should be simple for them to understand, protect them from data-entry errors as much as possible, and allow them to easily correct their errors.

</p>

<div class="mw-heading mw-heading3"><h3 id="Modular_growth">Modular growth</h3></div>

<p>The system should be capable of growth at incremental costs, rather than requiring a complete replacement. It should be possible to add, replace, or update hardware and software components without shutting down the system.

</p>

<div class="mw-heading mw-heading2"><h2 id="Types_of_transaction_processing">Types of transaction processing</h2></div>

<div class="mw-heading mw-heading3"><h3 id="Processing_in_a_batch">Processing in a batch</h3></div>

<p>Transactions may be collected and processed as in batch processing. Transactions will be collected and later updated as a batch when it is convenient or economical to process them. Historically, this was the most common method as the <a href="Information_technology" title="Information technology">information technology</a> did not yet exist to allow real-time processing.

</p>

<div class="mw-heading mw-heading3"><h3 id="Processing_in_real-time">Processing in real-time</h3></div>

<p>This is the immediate processing of data. It provides instant confirmation of a transaction. It may involve a large number of users who are simultaneously performing transactions which change data. Because of advances in technology (such as the increase in the speed of <a href="Data_transmission" class="mw-redirect" title="Data transmission">data transmission</a> and larger systems and networking <a href="Bandwidth_(computing)" title="Bandwidth (computing)">bandwidth</a>), real-time updating is possible.

</p>

<div class="mw-heading mw-heading2"><h2 id="Databases_for_transaction_processing">Databases for transaction processing</h2></div>

<div role="note" class="hatnote navigation-not-searchable">Main article: <a href="Database" title="Database">Database</a></div>

<p>A database is an organized collection of data. Databases offer fast retrieval times for non-structured requests as in a typical transaction processing application.

</p><p>Databases for transaction processing may be constructed using hierarchical, network, or relational structures.

</p>

<ul><li>Hierarchical structure: organizes data in a series of levels. Its top-to-bottom-like structure consists of <a href="Node_(computer_science)" title="Node (computer science)">nodes</a> and branches; each child node has branches and is only linked to one higher level parent node.</li>

<li>Network structure: network structures also organizes data using nodes and branches. Unlike hierarchical structure, each child node can be linked to multiple, higher parent nodes.</li>

<li>Relational structure: a relational database organizes its data in a series of related tables. This gives flexibility as relationships between the tables are built.</li></ul>

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<p>The following features are desirable in a database system used in transaction processing systems:

</p>

<ul><li><b>Good data placement</b>: The database should be designed to access patterns of data from many simultaneous users.</li>

<li><b>Short transactions</b>: Short transactions enables quick processing. This avoids concurrency and paces the systems.</li>

<li><b>Real-time backup</b>: <a href="Backup" title="Backup">Backup</a> should be scheduled between low times of activity to prevent lag of the server.</li>

<li><b>High <a href="Database_normalization" title="Database normalization">normalization</a></b>: This lowers redundant information to increase the speed and improve concurrency, this also improves backups.</li>

<li><b>Archiving of historical data</b>: Uncommonly used data are moved into other databases or backed up tables (files). This keeps tables small and also improves backup times.</li>

<li><b>Good hardware configuration</b>: <a href="Computer_hardware" title="Computer hardware">Hardware</a> must be able to handle many users and provide quick response times.</li></ul>

<div class="mw-heading mw-heading2"><h2 id="Backup_procedures">Backup procedures</h2></div>

<div role="note" class="hatnote navigation-not-searchable">Main article: <a href="Backup" title="Backup">Backup</a></div>

<p>Since business organizations have become very dependent on transaction processing, a breakdown may disrupt the business' regular routine and stop its operation for a certain amount of time. In order to prevent data loss and minimize disruptions well-designed <a href="Backup" title="Backup">backup</a> and <a href="Recovery_procedure" title="Recovery procedure">recovery procedures</a> must exist and be adhered to. The recovery process can rebuild the system when it goes down.

</p>

<div class="mw-heading mw-heading3"><h3 id="Types_of_back-up_procedures">Types of back-up procedures</h3></div>

<p>There are two main types of back-up procedures: <b>grandfather-father-son</b> and <b>partial backups</b>:

</p>

<div class="mw-heading mw-heading4"><h4 id="Grandfather-father-son">Grandfather-father-son</h4></div>

<p>This procedure involves taking complete backups of all data at regular intervals – daily, weekly, monthly, or whatever is appropriate. Multiple generations of backup are retained, often three which gives rise to the name. The most recent backup is the son, the previous the father, and the oldest backup is the grandfather. This method is commonly used for a <i>batch transaction processing system</i> with a <a href="Magnetic_tape" title="Magnetic tape">magnetic tape</a> drive. If the system fails during a batch run, the master file is recreated by restoring the son backup and then restarting the batch. However, if the son backup fails, is corrupted or destroyed, then the previous generation of backup (the father) is used. Likewise, if that fails, then the generation of backup previous to the father (i.e. the grandfather) is required. Of course the older the generation, the more the data may be out of date.

</p><p><b>Partial backups</b>

</p><p>Partial backups generally contain only records that have changed. For example, a full backup could be performed weekly, and then partial backups taken nightly. Recovery using this scheme involves restoring the last full backup and then restoring all partial backups in order to produce an up-to-date database. This process is quicker than taking only complete backups, at the expense of longer recovery time.

</p>

<div class="mw-heading mw-heading4"><h4 id="Advantages">Advantages</h4></div>

<ul><li>Batch or real-time processing available</li>

<li>Reduction in processing time, lead time and order cycle time</li>

<li>Reduction in inventory, personnel and ordering costs</li>

<li>Increase in productivity and customer satisfaction</li></ul>

<ul><li><a href="Server_(computing)" title="Server (computing)">Server (computing)</a></li>

<li><a href="Online_transaction_processing" title="Online transaction processing">Online transaction processing</a></li>

<li><a href="Customer_Integrated_System" class="mw-redirect" title="Customer Integrated System">Customer Integrated System</a></li>

<li><a href="Data_warehouse" title="Data warehouse">Data warehouse</a></li></ul>

<div class="mw-heading mw-heading2"><h2 id="References">References</h2></div>

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<li id="cite_note-9"><span class="mw-cite-backlink"><b><a href="#cite_ref-9">^</a></b></span> <span class="reference-text"><cite id="CITEREFIBM_Corporation" class="citation web cs1">IBM Corporation. <a rel="nofollow" class="external text" href="http://www-01.ibm.com/software/htp/cics/txseries/v51/">"TXSeries for Multiplatforms"</a><span class="reference-accessdate">. Retrieved <span class="nowrap">November 16,</span> 2012</span>.</cite></span>

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<li id="cite_note-Schuster-10"><span class="mw-cite-backlink">^ <a href="#cite_ref-Schuster_10-0"><sup><i><b>a</b></i></sup></a> <a href="#cite_ref-Schuster_10-1"><sup><i><b>b</b></i></sup></a> <a href="#cite_ref-Schuster_10-2"><sup><i><b>c</b></i></sup></a></span> <span class="reference-text"><cite id="CITEREFSchuster1981" class="citation news cs1">Schuster, Stewart A. (June 15, 1981). <a rel="nofollow" class="external text" href="https://books.google.com/books?id=dPLZ7QidjbEC&q=characteristics+transaction+processing+systems&pg=RA1-PA20">"In Depth: Relational Data Base Management"</a>. <i>Computerworld</i><span class="reference-accessdate">. Retrieved <span class="nowrap">November 16,</span> 2012</span>.</cite></span>

</li>

</ol></div></div>

<div class="mw-heading mw-heading2"><h2 id="Further_reading">Further reading</h2></div>

<ul><li>Gerhard Weikum, Gottfried Vossen, <i>Transactional information systems: theory, algorithms, and the practice of concurrency control and recovery</i>, Morgan Kaufmann, 2002, <a href="ISBN_(identifier)" class="mw-redirect" title="ISBN (identifier)">ISBN</a> <bdi>1-55860-508-8</bdi></li></ul>

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