TPS

Question 1

What is a Transaction Processing System (TPS)?

Answer 1

A system that records business events, generating data stored in a database (e.g., sales, services).

Question 2

What are the main functions of TPS?

Answer 2

Real-time data collection Handles high data volumes efficiently Ensures data accuracy and security

Question 3

What is Batch Processing in TPS?

Answer 3

Data is collected in batches and processed periodically (e.g., nightly).

Question 4

What is Online Transaction Processing (OLTP)?

Answer 4

Processes data in real-time, instantly updating related records as transactions occur.

Question 5

What is the purpose of Functional Area Information Systems (FAIS)?

Answer 5

Supports business functions like accounting, marketing, production, and HR.

Question 6

Name examples of FAIS modules and their functions.

Answer 6

Accounting IS: Handles budgeting and investment HR IS: Manages payroll and benefits

Question 7

What is Enterprise Resource Planning (ERP)?

Answer 7

Integrates organizational resources and operations using a common database and platform.

Question 8

What are core ERP modules and their functions?

Answer 8

Financial Management: Manages financial data Operations Management: Oversees production HR Management: Manages payroll and benefits

Question 9

What is Material Requirements Planning (MRP)?

Answer 9

A 1960s system for inventory control and production scheduling.

Question 10

How did MRP-II evolve ERP in the 1980s?

Answer 10

Added labor and cash flow management to resource planning.

Question 11

What is a major difference between FAIS and ERP?

Answer 11

FAIS is department-specific with no integration, while ERP centralizes data for the entire organization.

Question 12

What happens without ERP in order fulfillment?

Answer 12

Manual data transfer across departments leads to delays and errors.

Question 13

What are the benefits of using ERP in order fulfillment?

Answer 13

Real-time updates enable smooth processing and better customer tracking.

Question 14

What are the approaches to on-premise ERP implementation?

Answer 14

Vanilla (minimal customization) Custom (tailored features) Best-of-Breed (mixed modules)

Question 15

What are advantages of SaaS (Cloud-Based ERP)?

Answer 15

Lower costs and scalability

Question 16

What are disadvantages of SaaS ERP?

Answer 16

Security risks and dependence on internet availability

Question 17

What are key benefits of ERP?

Answer 17

Flexibility and agility Real-time decision support Increased quality and efficiency

Question 18

What are the limitations of ERP best practices?

Answer 18

ERP best practices may not align with unique organizational processes.

Question 19

What are the main risks of ERP implementation?

Answer 19

High costs and time Potential for failure (e.g., FoxMeyer Drugs case)

Question 20

Explain the difference between batch processing and OLTP.

Answer 20

Batch processing processes data periodically OLTP updates data in real-time as transactions occur.

Question 21

List core ERP modules and their primary functions.

Answer 21

Financial Management, Operations Management, and HR Management.

Question 22

What are some limitations of adopting ERP best practices?

Answer 22

Standardized practices may not fit unique organizational needs.

Question 23

Describe the process of order fulfillment with and without ERP.

Answer 23

Without ERP: Manual, error-prone With ERP: Real-time updates and smooth tracking

Question 24

Discuss the advantages and disadvantages of SaaS ERP.

Answer 24

Advantages: Lower costs, scalability Disadvantages: Security issues, internet dependence