1. Inam Ul-Haq
Lecturer in Computer Science
University of Education Okara Campus
organizer@dfd-charity.com, inam@ue.edu.pk
E-Com & Transaction Processing System, University of
Education Okara Campus
E Commerce & Transaction
Processing Systems
1

2. 1.
2.
3.
4.
5.
6.
7.
8.
9.
Identify several Advantages of e-commerce.
Identify some of the major Challenges companies must overcome
to succeed in e-commerce.
Identify several e-commerce Applications.
Outline the key components of Technology Infrastructure that
must be in place for e-commerce to succeed.
Discuss the key features of the electronic Payments Systems
needed to support e-commerce.
Identify the major Issues that represent significant Threats to the
continued growth of e-commerce.
Identify the basic activities and business Objectives common to all
transaction processing systems.
Discuss the importance of business resumption planning and
Disaster Recovery for key transaction processing systems.
Define the term ERP System and discuss the advantages and
disadvantages associated with the implementation of such a
system.
E-Com & Transaction Processing System, University of
Education Okara Campus
Learning Objectives
2

3. E-Commerce (Examples)
• Example: Bookstore selling books to customers (amazon.com)
• Annual online spending in 2002 was $85 billion
• Business-to-Business
• Example: A data processing company handling data services for a
company (adp.com)
• $5.3 trillion impact by 2005
• Consumer-to-Consumer
• Example: A customer selling goods to another customer (e-bay.com)
E-Com & Transaction Processing System, University of
Education Okara Campus
• Business-to-Consumer
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4. •
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•
•
•
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Cut transaction costs
Speed flow of goods and information
Improve customer service
Coordinate manufacturers, suppliers, and customers
Improved order handling and shipment
Various Reports (customers, suppliers, employees, sales, delivery,
payments, taxes, discounts etc.)
E-Com & Transaction Processing System, University of
Education Okara Campus
Why Use E-Commerce?
4

5. E-Com & Transaction Processing System, University of
Education Okara Campus
Supply Chain Management
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6. • Conversion to e-commerce supply chain
management provides businesses with an
opportunity to:
• increase revenues or decrease costs by eliminating
time-consuming and labor-intensive steps throughout
the order and delivery process
• improve customer satisfaction by enabling customers
to view detailed information about delivery dates and
order status
• reduce inventory including raw materials, safety
stocks, and finished goods
E-Com & Transaction Processing System, University of
Education Okara Campus
Value Chains in E-Commerce
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7. E-Com & Transaction Processing System, University of
Education Okara Campus
Value Chains in E-Commerce
Less Labor, Less time, Increased Revenue
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8. E-Com & Transaction Processing System, University of
Education Okara Campus
Product and Information Flow for
(HP Printers Ordered Over the Web)
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9. • Retail and Wholesale: www.ebay.com/
• Manufacturing: www.covisint.com/
• Marketing: www.doubleclick.com
• Investment and Finance: www.garanti.com.tr/
• Auctions: www.tradera.com
• Price comparison: www.pricerunner.se
E-Com & Transaction Processing System, University of
Education Okara Campus
E-Commerce Applications
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10. E-Com & Transaction Processing System, University of
Education Okara Campus
Model of an Electronic Exchange
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11. E-Com & Transaction Processing System, University of
Education Okara Campus
Web Sites Useful to Investors
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12. E-Com & Transaction Processing System, University of
Education Okara Campus
Popular Stock Tracker Web Sites
Quicken.com: organizes all your financial information, together in one place
Fool.com: provides financial solutions for investors, personal finance
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13. E-Com & Transaction Processing System, University of
Education Okara Campus
Technology, Infrastructure,
and Development
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14. E-Com & Transaction Processing System, University of
Education Okara Campus
Key E-Commerce Technical Components
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15. • The amount of storage capacity and computing
power required of the Web server depends
primarily on two things:
• the software that must run on the server
• the volume of e-commerce transactions that must be
processed
E-Com & Transaction Processing System, University of
Education Okara Campus
Hardware
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16. Software (1)
• Apache Server
• Microsoft Internet Information Server
• Web site development tools
• FrontPage, NetStudio
• Database management system
• SQL Server
• Oracle
• E-commerce software
• Catalog software (e.g. catalog creator)
• Product configuration software
• Electronic shopping cart
E-Com & Transaction Processing System, University of
Education Okara Campus
• Web server software
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17. •
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Combines product data formats into a standard format
Creates a central repository of product data
Catalog resides on a database
Amazon’s book, music catalog
E-Com & Transaction Processing System, University of
Education Okara Campus
Catalog Management Software
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18. E-Com & Transaction Processing System, University of
Education Okara Campus
Catalog Management Software
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19. • Allow buyers to build the products they want to buy
• www.dell.com lets you choose parts of the computer
separately
• Better customization, better sales
• E.g. Product Configurator
E-Com & Transaction Processing System, University of
Education Okara Campus
Product Configuration Software
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20. •
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Track items selected for purchase
Let buyers modify their choices (add or delete items)
Let buyers “checkout” (begins a purchase transaction)
Wish list
E-Com & Transaction Processing System, University of
Education Okara Campus
Electronic Shopping Cart
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21. E-Com & Transaction Processing System, University of
Education Okara Campus
Electronic Shopping Cart
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22. • Electronic cash
• Money that is “computerized”
• Used as cash in e-commerce transactions
• Electronic wallets
• Holds credit card, e-cash, address information
• Automatically handles checkout
• Credit, charge, debit, and smart cards(chip information)
E-Com & Transaction Processing System, University of
Education Okara Campus
Electronic Payment Systems
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23. E-Com & Transaction Processing System, University of
Education Okara Campus
An Overview of Transaction
Processing Systems
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24. Employees
Schematic View (Cont.)
Business
transactions
Transaction
processing
systems
Databases
of
valid
transactions
MIS
Corporate
intranet
Decision
support
systems
Application
databases
Drill-down reports
Exception reports
Demand reports
Key-indicator reports
Operational
Databases
(CRM)
Databases
of
external
data
Input and
error list
Scheduled
reports
Executive
support
systems
Expert
systems
University of Education Okara Campus
App databases
Ebay.com, photo.net uses Oracle
Facebook.com built over MySQL
Corporate
databases
of
internal
data
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25. E-Com & Transaction Processing System, University of
Education Okara Campus
TPS, MIS/DSS, and Special-Purpose
Information Systems
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26. • Batch processing – method of computerized
processing in which business transactions are
accumulated over a period of time and prepared for
processing as a single unit
• On-line transaction processing (OLTP) - method of
computerized processing in which each transaction is
processed immediately and the affected records are
updated
E-Com & Transaction Processing System, University of
Education Okara Campus
Traditional Transaction Processing
Methods
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27. •
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Data collection: Capturing data necessary for the transaction
Data editing: Check validity and completeness
Data correction: Correct the wrong data
Data manipulation: Calculate, summarize
Data storage: Update transactions
Document production and reports: Create end results (paychecks)
E-Com & Transaction Processing System, University of
Education Okara Campus
Transaction Processing Activities
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28. E-Com & Transaction Processing System, University of
Education Okara Campus
Data Processing Activities Common in
Transaction Processing Systems
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29. E-Com & Transaction Processing System, University of
Education Okara Campus
Point-of-Sale Transaction System
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30. Systems that Support Order Processing
Purpose
Order entry
Sales configuration
Shipment planning
Data for order
Ensure enough products
Which order from which
location
Shipment execution
Right products on time
Inventory control
Invoicing and billing
Reflect exact quantity
Generate customer
invoice
Customer management
Routing and scheduling
Monitor customer contact
Best way to move
products
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E-Com & Transaction Processing System, University of
Education Okara Campus
Order Processing System