CHAPTER ONE

1.0 INTRODUCTION

1.1 BACKGROUND OF STUDY

Transaction processing system is a computer-based group of logical

operations, which have been available since in the 1970’s, and nearly all

businesses use them. The advent of the Internet has seen a boom in transaction

processing systems and software. Over the years, the cost of buying and

implementing the necessary software has dropped so much that most

businesses can apply it profitably and it is less time consuming.

Therefore, a transaction can be defined as a record event having to do with

routine business activities, such as production, distribution, sales, and orders. It

also includes materials purchased, employees hired, taxes paid.

Also from a technical prospective, a transaction processing system monitors a

transaction program, a special kind of programs that manages data that must be

left in a consistent state. Every enterprises requires a tailored transaction

process that aligns with it business strategies and processes. For this reason,

this project is design to undertake a study on the sales order transaction

1
procedures of the Coca-Cola Bottling Company Plc, so as to develop a

computer-based sales order. Transaction processing system for management of

the company is under study.

1.2 AIMS AND OBJECTIVES

The aims and objectives of this project is to conduct a survey on the activities

of the sales outfit of Coca-Cola Bottling Company Plc and develop from the

findings a system design and implementation using an appropriate

programming language that can perform the functions of the company’s sales

transaction.

1.3 SIGNIFICANCE OF STUDY

This research work x-rays the benefits of using an electronic based application

in the day-to-day activities in the transaction processing unit.

2
In addition to the following, the significance of having a computerized

transaction processing system includes among others:

• Acts as a census point for the transaction unit of the company.

• Give user the opportunity to maintain up-to-date information of their

activities in the transaction unit.

1.4 RESEARCH METHODLOGY

The research will be carried by simple data collection methods as the range and

varieties of the parameter needed is small.

• Studying the current mode of managing transaction in the transaction

processing unit

• Interviewing staff involved with the management of transaction process.

• Design of prototypes through existing transaction processing system

management.

• General observation of transaction operations

3
1.5 SCOPE OF STUDY

Transaction process consists of three (3) basic steps, performed in the

following sequences:

I. Capture transaction data on source documents.

II. Record transaction data in journals, which represents a chronological

record of what occurs.

III. Post data from journals to ledgers, which sort data by account type.

1.6 BENEFITS OF TRANSACTION PROCESSING SYSTEM

Transaction processing has these benefits:

I. It allows sharing of computer resources among many users.

II. It shifts the time of job processing to when the computing resources are

less busy.

4
 III. It avoids idling the computing resources without minute-by- minute

human interaction and supervision.

IV. It is used on expensive classes of computer to help amortize the cost by

keeping high rates of utilization of those expensive resources.

V. A transaction is an atomic unit of processing.

1.7 TYPE OF PROGRAMMING LANGUAGE USING FOR THE

PROJECT

The study is descriptive in nature, showing all the phrases in the software

development life cycle. The implementation languages that were chosen to

code the system design produced from the design phase was the Visual basic

programming language, a rapid prototype language that enables a system

developer develop build and fix models.

CHAPTER TWO

2.0 INTRODUCTION

5
2.1 LITERATURE REVIEW

O’Brien (2006) defined a transaction processing system as a computer-based

information system that keeps track of the transaction needed to conduct
business by an organization. While the transaction process must be
standardized to maximize efficiency. Every enterprise requires a tailored
transaction process that aligns with its strategies and processes.

Marshall (1997) also stated, if an electronic payment is made, the amount must
be either both withdrawn from one account and added to the other or none at
all. In case of a failure preventing transaction completion the partially executed
transaction must be rolled back by the transaction processing system.

Transaction processing systems are imported example of operations support

systems that record and processing data resulting from business transactions,
O’Briens (2004).

2.2 HISTORICAL BACKGROUND OF COCA-COLA

Nigerian Bottling Company Plc is one of the few multinational organizations

that had its beginnings in Nigeria. From a small family owned operation at
inception, the company has grown to become the predominant bottlers of
alcohol-free beverages in Nigeria, responsible for the manufacturing and sale
of over 33 different Coca-Cola brands.

The Nigerian Bottling company (NBC) was incorporated in November, 1951,

as a subsidiary of the A.G. Leventis Group with the Franchise to bottle and sell

6
Coca-Cola products in Nigeria. Production began in 1953 at a bottling facility
in Ebuta-Metta, Lagos. Over the year production capacity has grown and it
presently has 13 bottling facilities and over 80 distribution warehouse located
across the country.

Since production started, NBC Plc has remained the largest bottler of non-
alcoholic beverages in the country in terms of sales volume, with about 1.8
billion bottles sold per year, making it the second largest market in Africa.

Today, the company is a part of the Coca-cola Hellinic Bottling Company

(CCHBC), one of the Coca-Cola Company’s largest anchor bottlers
worldwide. CCHBC operates in 28 countries, serving 540 million consumers
and selling over 1.3 billion unit cases of beverage annually. The company is
driven by over 6000 employees, a culture of passion for excellence, sophicated
technology and the best distribution network in the country, with over 80
depots and over 200,000 sales outlets nationwide, the company is the owners
of the following brand: Coca-Cola, Schweppes, Sprite, Eva Water, Fanta and
Five Alive.

2.3 TYPE OF TRANSACTION

We have the following types of transaction

I. Batch processing

II. Real time processing

2.3.1 Batch Processing

7
 This involves processing several transactions at the same time and the
result of each transaction is not immediately available when the
transaction is being entered. It has a time delay.

2.3.2 Real Time Processing

Each transaction in real time processing is unique and it requires the

master file to be available more often for updating and references. It has
fewer errors infrequent errors may occur in real time processing;
however, they are often tolerated. It is not practical to shut down the
system for infrequent errors. More computer operators are required, as
the operations are not centralized.

2.4 FEATURES OF TRANSACTION PROCESSING SYSTEM

Hutchison and sawyer classified TPS into the following:

2.4.1 Rapid Response

Fast performance with a rapid response time is critical. Businesses cannot

afford to have customers waiting for a TPS to respond, the turnaround
time from the input of the transaction to the production for the output
must be a few seconds or less.

2.4.2 Reliability

Many organizations rely on their TPS; a breakdown will disrupt

operations or even stop the business. For a TPS to be effective its failure
rate must be very low. If a TPS does fail, then quick and accurate
8
 recovery must be possible, this makes well-accurate recovery must be
possible. This makes well-defined backup and recovery procedure
essential.

2.4.3 Inflexibility

A TPS wants every transaction to be processed in the same way,

regardless of the user, the customer or the time for day. If a TPS were
flexible there would be too many opportunities for non-standard

operations.

2.4.4 Controlled Processing

The processing in a TPS must support an organization’s operations. For

example if an organization allocates role and responsibility.

2.5 ACID TEST PROPERTIES

I. ATOMICITY

A transaction’s changes to the state are atomic either all happen or none
happen. This change includes databases changes, messages and actions
on transducers.

II. CONSISTENCY

A transaction is a correct transformation of the state. The actions taken

as a group of not violate any of the integrity constraints associated with
the state. This requires that the transaction be a correct program.

9
 III. ISOLATION

Even though transactions execute concurrently, it appears to each

transaction T, which others executed either before T or after T, but not
both.

IV. DURABILITY

Once a transaction completes successfully, or changes to the state

survive failures.

V. CONCURRENCY

Ensures that two users cannot be the same data at the same time. That is,
one user cannot change a piece of data before another user has finished
with it.

2.6 ORDER PROCESSING

This is made-up of a number of activities that must be carried out efficiency

and effectively to ensure that the customer needs are not met, and these
activities are:

PACKAGING

Packaging serves two purposes

10
 a. Promoting the product

b. Protecting it

Promoting the product

The promotional effort is to make the product stand out on a store shelf. so
that, the customer will see it.

Protecting it

The protecting function is to protect the product and in some instances, to

keep the product from damaging surrounding items. Retails packagers of
food and drugs must be tamper proof to the extent that the consumer can
determine whether the package has been tampered with.

PARTS AND SERVICE SUPPORT

Equipment that has been sold must be maintained. Buyers of capital

equipment insist on knowing that their purchase will be kept in running order
for many years.

2.7 SALES ORDER PROCESSING TRANSACTION SYSTEMS

11
Steinbart (1997) describes the process involved in the order processing system
thus:

“Order processing starts with the receipt of an order from a customer. The
order may be obtained by a salesperson, be telephone in; or arrive by mail.
Regular buyers and sellers are often linked electronically. As the buyer’s
inventories become low, an electronic purchase order is generated. It is
recommended to the seller, whose computers will determine that the goods are
available, and the seller will inform the buyer. Still using electronic methods,
that the order will be filled and shipped by a certain date. The first step in most
order processing systems is to verify the accuracy of the order-that is, to make
certain that the document contains no internal errors that might mean the
customer was uncertain about what he or she was ordering.

The next step is to verify the customer’s credit or ability to pay. After
determining from which inventory point to ship the goods, instructions are sent
to that warehouse to fill the order. At the warehouse an “order-picking list” is
given to a warehouse worker, who assembles the specific order. In the packing
area, it is checked and packed for shipment, and the package is labeled. The
traffic manager prepares the transportation documents and notifies a carrier to
pick up the shipment. An invoice for the goods is sent to the buyer and various
inventory and financial records are updated. The shipment uses the term “order
circle” to indicate the span of time between receiving and shipping the order.
The buyer uses the phrase to indicate the span of time between placing and
receiving the order”.

CHAPTERTHREE

12
3.1 METHODOLOGY AND ANALYSIS OF THE PRESENT SYSTEM

The research methodology adopted for this research is the structured systems

analysis and design procedures that were followed in order to achieve the set out

objective of this study. Structure analysis is a mode-driven, process-centered

technique used to either analysis an existing system, defined business requirements

for a new system or both. The models are pictures that illustrate the system’s

components pieces: processes and their associated input and outputs and files.

3.2 PROBLEM DEFINIFITION

Business Transactions are events that serve the mission of the business. They are

the primary means by which business interacts with its suppliers, customer,

partners, employees, and government, sales transaction is one example of

transaction Processing Systems that is used to update sales journal in accounting

system.

Coca-Cola Bottling Company PLC, has transacted businesses with retailers for a

very long time in this country. The procedures involved in sales order

transactions are still very much manual. These manual procedures have brought

about the following setbacks: the process is slow, error prone with regards to

billing and shipping and the transaction is always very tedious. The choice of this

13
project topic and cause study was born out of the desire to solve problems faced by

the existing system by automating the procedures related to order process.

3.3 SYSTEM IMPLEMENTATION

The implementation and conversion is the capstone phase where all the elements

and activities of the system come together. Due to its complexity and importance,

an implementation and conversion plan has been developed in this project write up.

The phase is composed of the following activities. Installation and testing of both

hardware and software components, staff braining or staff relocation, the

establishment of new processing procedures and production of the documentation

for the system.

3.4 SYSTEM DESIGN

This is the phase that creates a representation or model of the software, the design

model provides details about the system specification with regards to database,

diagram module, mathematical,, input/output design data dictionary, ODFD,

Algorithm, and choice of coding platform that are necessary to implement the

system in accordance with the terms provided in the analysis phase.

3.5 FEASIBILITY STUDY

14
Technically, the objective defined with regards to the preliminary investigation

conducted in this project shows that the researcher possesses the technical

knowhow of the problem solution and has at her disposal the required technology

in achieving the objective of the study.

3.6 ANALYSIS OF THE PRESENT SYSTEM

Fundamentally, system analysis is about problem solving. System analysis

approaches include structural analysis, information engineering, discovery

prototyping and object-oriented analysis. These approaches are all examples of

model-driven approaches. For the purpose of this project work, the implementation

of the structure analysis approach shall be illustrated as recommended by the

Department.

3.7 PRESENT PROCEDURE

The sales department is responsible (or conducting sales related function only.

These functions include all the activities involved in soliciting and processing

customer order. The sales department is involved with three main activities:

responding to customer inquiries, checking and approving customer credit.

3.8 DATA FLOW DIAGRAM OF THE PRESENT PROCEDURE

15
The present procedures implemented by the transaction processing system in the

Nigeria Bottling Company Pie, can be illustrated using the following

Data Flow Diagram below.

REPORT VIEW FLOWCHART

Start

Display customer report

Yes
If option =
Display customer
customer
view
report

No

Yes
If option
= order Display order report
report

No
Yes
If option =
Stock Display stock report
report
No
Yes
If option =
invoice Display invoice report
report
No

Stop

III.9 WEAKNESSES OF THE PRESENT PROCEDURE

DATA FLOW DIAGRAM OF THE PROCEDURES

16
The principal weakness in the sales transaction processing system is the

possibility of making sales that later turn out to be uncollectible. This

weakness is diminished by requiring proper authorization for each credit sale

CHAPTER FOUR

4.1 SYSTEM DESIGN AND IMPLEMENTATION

17
 This chapter is concerned with the implementation of the

system design technique.

4.2 SYSTEM INPUT AN OUTPUT

The data are obtained from the sales Order Entry Function of the Marketing

Department of Coca Cola Plc. The Sales Order Entry Function includes all the

activities involved in soliciting and processing customer orders. The sales order

Entry Function obtains needed information from:

1. the inventory control unit/function

2. Accounting functions.

The output specification is concerned with the details of the required output from

the system process e.g. is the sales order summary report, which is a

sales document that shows the total number of sales that were processed and

shipped to customers and total amount made.

4.3 DATABASE SPECIFICATION

Database specification is a specific arrangement of the data attributes that defined

the organization of a single instance of data flow. The specification is as follow:

ORDER =

ORDER NUMBER +

18
 ORDER DATE +

(PERSONAL CUSTOMER NUMBER, CUSTOMER ACCI.

NUMBER) +

SHIPPING ADDRESS=

ADDRESS+

(BILLING ADDRESS = ADDRESS) ÷

(PRODUCTION NUMBER +

PRODUCT DESCRIPTION +

QUANTITY ORDERED +

PRODUCT PRICE +

PRODUCTION PRICE SOURCE +

EXTENDED PRICE) +

SUM OF EXTENDED PRICE +

PREPAID AMOUNT

ADDRESS=

(POST OFFICE BOX NUMBER) +

STREET ADDRESS +

CITY+

(STATE)+

19
 (COUNTRY) +

POSTAL CODE

These can be illustrated diagrammatically using the database Normal form.

PRODUCT
ORDER
Prod No.
Prodmfg OrdNo
ProdaoH Orddate
Prodprice Ordname
ProdNextshipDate Ordstreet
Prdcity
Ordstate
Ordzip

Ordline CUSTOMER

CustFirstName
CustLastName
Oty
CustCity
CustState
CustZip
CustBalance

The Database Mode

20
The database mode consists of the following:

 The product data file

 Product order file

 Customer and

 Quantity line

It shall form a relational database table with stabled relationships between tables.

See the figure belows.

CUSTOMER TABLE

Customer Customer Name Customer balance …………………

Number(Primary
key)

ORDER TABLE

Order Number (Primary Customer Number …………..

Key)

PRODUCT TABLE

Product Number Product Quantity in Stock ………………

(Primary key) Description

21
 ORDERED PRODUCTS TABLE

Order Number Product Number Quantity Ordered ……………..

(Primary key) (foreign key)

4.4 PROGRAM MODULE SPECIFICATION

The system model for the sales order processing system as implemented in coca-
Cola company plc. using the structured analysis technique below. Ultimately, these
models serve as the blueprint for the program modules specification for the
software product.

SALES ORDER ENTRY

Sales order data

entry display Sales order
processing
system
Sales
invoice
Sales order record
data entry

Daily
invoice
generatio General
Customer Finshed Sales invoice n ledger
master file goods master file

Summary Customer
Inquiry report invoice
processin
g system

22
Inventory Customer
status Account
The sales order entry
4.5 INPUT \OUTPUT SPECIFICATION

This design phase, consider the users input/output requirement for the software

product. Every software comprises of inputs interfaces and output interface.

Therefore, this section will concentrate on the design requirement for the

output and input interfaces for the system.

 Input design

The design for the interface is as follows:

a. For the customer information/credits statues include:

23
 The inventory control Function include:

 Output Design

This shall be viewed with respect to the specification in the analysis

phase which indicate that the system outputs are of two categories: The

internal system output and the external output

24
 a. The internal system output:- they generates output for the user

view.e.g

 Inventory status screen

25
 b. External output:- they are hardcopies that must be printed out for the

user use e.g sales invoice

4.6 SYSTEM ALGORITHM

The basic program module specification for the system is

1. Start main program run

2. Choose from list of option (main menu):

3. If option = sales order entry

4. Do sales order entry routine;

26
5. Process sale order;

6. Update customer master file;

7. Update sales invoice master file;

8. Return to Main Program;

9. If Option = Inquiry Processing;

10. Do Inventory Status routine;

11. Do Customer Status routine;

12. Return to the main menu;

13. If option = Daily invoice generation run

14. Do:

15. Summary Report;

16. Customer invoice

17. Update general ledger

18. Return to main

19. Exit main program

27
 20. Stop

21. End

4.7 CHOICE OF PROGRAMMING LANGUAGE USED

Visual Basic was used because

1. It is object oriented database programming language that has the required

constructs for the implementation of the design.

2. Visual Basic provides a Visual Integrated Development Environment (IDE)

that allows for the easy creation of objects that can be coded to implement the

desired objective.

3. The back end of Visual Basic is enriched with a language that allows for

easy Data Definitions and a front end that the facilities for Data manipulation.

4.8 PROGRAM DOCUMENTATION AND IMPLEMENTATION

The implementation requirements of the software, hardware operating systems and

memory requirements for installing the software, detailed implementation

arrangements. Documentation serves as a method of communication among the

responsible for developing, implementing and maintaining a computer-based

system.

28
Hardware and operating system requirement.

The hardware system requirement.

i. A personal computer system with at least a Pentium III (1 .80 gigabertz

processor);

ii. At least a 4 Gigabyte of hard Disk space

iii. A 256 megabytes of Random Access memory

iv. A colour Visual Display Unit (VDU)

v. Standard keyboard and mouse

vi. A scanner and DVD Rom writer.

The operating system requirements includes:

1. Windows’ XP service pack one, operating system

4.9 HOW TO RUN /OPERATE A SYSTEM

The software product is save in Re-writable CD-ROM storage

medium which is required to be either installed first in system

before execution or run directly from the CD ROM provided. The

following procedures are designed to direct the system users on

how to either install or run the software product.

In installing the software, CD-ROM drive is required. The

29
user/operator is required to insert the CD-ROM containing the

software into the CD-ROM drive and do the following:

i. Go to windows explorer.

ii. Click on the CD drive which should contain CD for

installation.

iii. The CD contains the Application file, setup file and the text

document.

iv. Click on the setup file to start the installation. :‘

v. Follow the instruction that show on the screen until it

shows ‘installation completed’.

vi. Restart your system

vii. To run the software, click on START, programs and sales

order, wait for system to load.

4.10 DETAILED IMPLEMENTATION

System implementation is a process that involves a variety of activities that varies

from software acquisition whether off the shelf or developed specifically for that

purpose; testing; documentation; installation’ and conversion procedures. It also

30
involves the training of end users in the operation and use of the new information

system. Therefore, this section will highlight the implementation of these activities.

4.11 SOFTWARE ACQUISITION

The software product to be implemented in this project work was not acquired but

rather, conceptualized, analyzed and design to produce the desired results

(information) from scratch. Therefore, the software acquisition process shall not be

discussed rather, the coding procedure shall be illustrated using language of choice.

Coding is the process of expressing a problem solving algorithm (a specific set of

well-defined, simple

mathematical and logical procedure that can be followed to solve a problem in a

finite number of steps) in a programming language of choice is the Visual Basic

From Borland corporations the software package is primarily a database engine

with a software development interface (IDE) that can be

used to develop both the front end (the user interface and procedures) and the back

end (the database structure that is operated upon to yield the desired output) of a

software package. The resultant program codes are then translated using the Dbase

compiler. The program codes can be seen in appendix B

31
4.12 SOFTWARE TESTING

This requires the input of test variables or values to see that the

program is free from logical, syntax and run time errors, if any of

these mentioned errors are detected the program is debugged or

corrected to free the program from such errors. It is a joy in this

project to note that the program is free of errors and meets the

objective, it is set out to accomplish.

4.13 CONVERSION PLAN

The initial operation of a new computer-based system can be a difficult task. Such

an operation is usually a conversion process in which the personnel, procedures,

equipment, input/output media and databases of an old information system must

‘be converted to the requirements of a new system.

4.14 TRAINING OFOPERATORS AND USERS

32
Staff training is a very vital implementation activity. It is advised

that information systems personnel, such as user consultants, be

made available to ensure that end users are trained to operate

the new system or its implementation will fail. Training may

involve only activities like data entry, or it may involve all other

aspects of proper use of the new system. In addition,

management and end users must he educated in how the new

technology impacts the library operation and management.

CHAPTER FIVE

SUMMARY, CONCLUSION, AND RECOMMENDATION

V.1 SUMMARY

The psychology behind this research was to develop a computer-based

transaction processing system, using the sales department of the Nigerian

Bottling Company Plc as the case study, reviewing all the procedures

implemented by the sales department. The scope of the study: capture

33
 transaction data on source documents, Record transaction data in journals,

which presents a chronological record of what occurred and post data from

journals to ledgers, which sort data by account type. The scopes were

emphatically analyzed and designed using Structured System Analysis and

Design methodology. The results were implemented using Visual Basic

programming language. The software product developed was tested and found

to be efficient, meeting the user requirements specified in specification phase

of the system design section. The system thus developed, serves as appoint of

sale system designed to monitor the daily sales activities.

V.2 CONCLUSION

The industrial revolution brought the outbreak of industries all over the world

therefore new challenges keep emanating every day. Jobs need to be done much

faster than ever. Manually performed tasks have been taken over by automation.

Computer software is used to achieve these facts, but much is needed to be done as

to understand the functionality of this machine. This project work has been able to

show the importance of information systems to working organisations and has also

be able to develop for the sales department of the Nigeria Bottling Company Plc a

34
working computer algorithm that implements the functions of a sales order

processing an example of transaction processing system.

5.3 RECOMMENDATION

With the fact that, the use of computer has opened a wider in the operations of

virtually every aspect of human Endeavour, I therefore recommend the following:

 A stronger language, for example, the visual c++ object oriented

programming language is recommended for the implementation of the design,

if a greater level of efficiency is to be actualized.

 I recommend that every individual in the sales department should know how

to operate the machine.

35
 REFERENCE

Date, et al (2000) Foundation for Future database systems: The Third Manifesto,

2nd edition, Addison-Wesley professional ISBN 0-201-70928-7.

Kh’awar et al (2001) “Introduction to Enterprises Software.” Addison-Wesley

ISBN 0201-738290-5

Kumar N. Management Information System. Published by Anmol Publication

PVT. Ltd.

Lost (1969) Management Information System

36
Marshall et al (2000) Accounting Information Systems 8th Edition,

by practice-Hall Inc. New Jersey.

Marshall et al (1999) Accounting Information System 8th Edition,

Pretence Hall Publishers.

Michael V.M (2004) Database Design Application Development

and Administration. Second Edition. Irwin McGraw Hill Companies

New York.

37
APPENDIX A

38
MAIN PROGRAM FLOWCHART

STAR
T

Display Main Menu

Options

Select Option
from Menu Bar

Yes
If option =
customer Do Customer View
view
No

Yes
If option =
Do Customer order
customer order
View
view
No

Yes
If option =
Report Do Reports

No

No
If option =
Exit

Yes

STOP

39
CUSTOMER VIEW FLOWCHART

STAR
T

Display customer
view data entry form

Capture Input
data

Yes
If option = Add to customer
Addnew database

No

Yes
If option = Search for existing
Search record in the
database
No

Yes
If option = Delete record of
Delete customer from
database
No

Yes
If option = Close entries from
Close entry form

No

STOP

40
CUSTOMER ORDER FLOWCHART

STAR
T

Display customer
order data entry form

Capture Input
data

Yes
If option = Add to customer
Addnew order database

No

Yes
If option = Search for existing
Search record in the
database
No

Yes
If option = Delete record of
Delete customer order from
database
No

Yes
If option = Close entries from
Close entry form

No

STOP

41
STOCK FLOWCHART

42
APPENDIX B

43
44