Foundation of Information System: TPS Selection and Analysis Report

This report delves into the foundations of information systems, emphasizing the crucial role of modern information systems in achieving competitive advantages, particularly in supply chain management. It explores the selection of Transaction Processing Systems (TPS) using a case study of the XYZ Company, evaluating four different TPS systems based on transaction records and system errors. Data visualization techniques, including charts and graphs, are employed to compare the performance of each system, ultimately recommending the most efficient TPS (TPS2) based on its lower error rate. The report highlights the importance of data representation in interpreting complex data and presents the significance of tables and graphs in data analysis. It concludes by reiterating the importance of modern information systems in enhancing supply chain management, accelerating internal coordination, and improving decision-making strategies, with a focus on the effective use of data visualization in presenting results and creating competitive advantages. The report also references several sources to support the findings.

Running head: FOUNDATION OF INFORMATION SYSTEM
Foundation of Information System
Name of the Student:
Name of the University:
Author Note:

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Table of Contents
Introduction................................................................................................................................2
Transaction Processing System Selection..................................................................................2
Importance of Data Representation............................................................................................4
Conclusion..................................................................................................................................5

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Introduction
The information system is playing an important role in the victory of operations,
supply chain management and thus creating competitive advantage. Supply chain
management has significant role in creating and making sustainable competitive advantage.
The modern information system or information technology is needed to share the information
connected to the services that generates additional value (Msallam et al. 2019). It is hugely in
use to take part in the competition of supply chains that is spreading itself due to intense
global competition. Firms are using the system or the technology, to make a direct impact on
the process of incorporating the value chain. The modern technology is helping the firms to
accelerate the coordination within the firm, intensify the integration among external elements
with the constituencies like consumers, clients and suppliers and also to grow the decision
making strategies among the members of supply chain. This incidents are the evidence of
growing utilization and use of information system to peruse integration in several areas for
example, information system infrastructure that includes standard data structure, network
connection, unified coding standards and the data communication tools (Bright and Asare
2019). Moreover, there are applications of information systems that includes the centralized
data base management systems, electronic data interchange and internet based information
system.
Transaction Processing System Selection
Transaction processing system or method incorporates the interface where
transactions are made, a range of memory to store the data of transactions and a processor.
The function of processor is creating an identifier through identifier generator for every
single transaction in the memory, providing the access to the transaction through the use of
identifies by transaction controller. Transaction processing system is for the management and

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transaction processing that includes inventory control, accounts payable, payroll, order entry
and accounts receivable (Lerner et al. 2019).
Here, the discussion is about a case study. The case study is on the XYZ Company
that wants to find an efficient TPS to make a competitive advantage against the rivals in the
market. The company is investigating four TPS systems by implementing them in four
different sites. The data is available on transactions, system errors and total transactions.
Charts are very useful to present a set of data and it is well-established to present the TPS. So,
to analyse the better TPS that should be recommended by the analysis to the company, two
figures are generated: Figure 1 and Figure 2. Figure 1 represents the number of transactions
recorded in a TPS and Figure 2 represents the number of re-entries of transaction for system
errors in a TPS.
Figure 1: Total records entered in particular TPSs
TPS1 TPS2 TPS3 TPS4
0
200
400
600
800
1000
1200
1400
1600
1800
2000
Total Records Entered
TPS
Total transactions ($)
The above figure shows that the TPS4 records the most numbers of transactions
among all other TPSs. TPS3 and TPS2 records almost same number of transactions that are
following TPS4. Finally, the lowest transactions are recorded by TPS1. This chart shows only
the correct number of total transactions. To shows the accuracy it is needed to show an

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additional graph that shows the errors in the system. To do so, a pie chart is generated that is
shown in the figure 2. This graph will tell the reliability of the systems.
Figure 2: System errors recorded in particular TPSs
System Errors
TPS1 TPS2 TPS3 TPS4
The number of total errors recorded in a system is represented by the above chart using
the given data. Here the chart shows that the TPS2 has least numbers of reentries due to
system error. The second lowest error is recorded by the TPS4 and the maximum reentries
were made in case of TPS3 due to the system errors. From the above figure it is easy to
conclude that the TPS2 is more efficient than any other systems in terms of making reentries
due to system error. So, from the discussion TPS2 can be recommended as it has less errors
and thus more efficient than other TPSs.
Importance of Data Representation
Data visualization is a significant stage of analyzing and interpreting complicated data
in an easy and conventional way. Researchers and data scientists use graphs and tables to
interpret their data in an organized way that is very easy tom understand the data (Hutchison
2019). Tables and graphs have their very specific rules and functions to present different data
in order to interpret a result efficiently and in a correct way. There are tables that presents

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different types of regression results and comparison of statistics. There are few graphs which
are commonly used in data presentation that are line chart, bar chart and pie chart. These
charts are used to show specific results like, line chart is used to show the trend between two
variables, the bar chart is used to show the comparison between categorical variables and pie
charts are used to show the proportion of a sub categorical variable in categorical variables
(Saddiqa et al. 2019).
Conclusion
The proper use of modern system provides an opportunity to make a competitive
advantage to the profit earning companies against their rivals by enhancing their supply chain
management. It accelerates the coordination among the internal elements off firms, intensifies
the integration among the external elements and enhances the decision making strategies.
The two figures concludes that the TPS2 is better in recording and making less number of
system errors. There are more ways to show the result by generating additional variables and
representing them through graph. For example, the variable percentage of making error can
alone explain the efficiency of a TPS.
Data presentation is the most important and efficient technique to present numerical data
in a visual way. The above discussion and presenting results through graphs is the best
example of how much modern information system is important in creating comparative
advantage and how data visualization explains the results.

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Reference:
Allen, C.M., Hale, C. and Nomura, C., Kountable Inc, 2019. Systems and Methods that
Utilize Blockchain Digital Certificates for Data Transactions. U.S. Patent Application
16/108,867.
Bright, A.A. and Asare, G., 2019. THE IMPACT OF MANAGEMENT INFORMATION
SYSTEM ON UNIVERSITY OF EDUCATION WINNEBA, KUMASI CAMPUS-
GHANA. European Journal of Research and Reflection in Management Sciences Vol, 7(1).
Hutchison, L., 2019. Systems and methods for parallelization of program code, interactive
data visualization, and graphically-augmented code editing. U.S. Patent Application
10/209,963.
Lerner, Y., Shah, M., Alston, G. and Kim, B., Groupon Inc, 2019. Transaction processing
system. U.S. Patent Application 16/139,944.
McLaughlin, E.G., Haymond, S.G., Jansson, C.D., Lorberg, D.J. and Clark, R., Mastercard
International Inc, 2019. Method and system for improved transaction processing and routing.
U.S. Patent Application 16/034,489.
Msallam, A.A., Al Hila, A.A., Abu-Naser, S.S., Al Shobaki, M.J. and Al-Habil, W.I., 2019.
Computerized Management Information Systems and Its Relationship to Improving the Job
Performance of the Employees of the Palestinian Cellular Telecommunications Company-
Jawwal.
Przhedetskaya, N. and Borzenko, K., 2019. Marketing model of promotion of remote
education by modern university. International Journal of Educational Management, 33(3),
pp.446-453.

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Saddiqa, M., Larsen, B., Magnussen, R., Rasmussen, L. and Pedersen, J.M., 2019. Open Data
Visualization in Schools. In IEEE Pacific Visualization Symposium.