ACLC COLLEGE OF TACLOBAN

TRANSACTION HANDLING IN POS SYSTEM

A College Research Paper

Presented to
Mr. Matthew Artiga

In Partial Fulfillment of the Course Requirements

In Information Management
(Quantitative Research)

Gabriel Rendiza (Leader)

Precila Josepine L. Abodeso
Justin G. Amascual
WAD 2-A

2023
ACLC COLLEGE OF TACLOBAN
 APPROVAL SHEET

This research entitled “Transaction Handling in POS System” prepared and submitted
by Rendiza Gabriel A.; Abodeso Precila Josepine L.; Amascual Justin G. in partial
fulfillment of the requirements in Information Management is hereby recommended for
approval.

_______________ Mr. Matthew Artiga

Research Adviser
Date

Accepted as partial fulfillment of the requirements in Information Management

NAME OF THE CHAIRMAN PANEL 1

Chairman, Panel Member Panel Member
ACLC College of Tacloban

PANEL 2 PANEL 3
Panel Member Panel Member
ACLC College of Tacloban ACLC College of Tacloban

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 ACKNOWLEDGMENTS

The quantitative research with the design of the Experimental study, entitled

“Transaction Handling in POS System. The researchers were very interested to

investigate and analyze the impact of different factors on the efficiency and

effectiveness of transaction handling. Though the researchers were excited about this

research, they researchers cannot have accomplished it without the help and effort of

the administration, research teacher, panelist, subject teacher, and the respondents.

The researchers would like to heartfully recognize the continuous guidance and help of

our Almighty God and impart sincere gratitude and appreciation to the following notable

people who were very useful in accomplishing this research.

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The MINISO gave the researchers the chance to learn important ideas and allowed

them to conduct the study.

Store Manager, for allowing the researchers to conduct the study in the Miniso store.

Heartfelt gratitude to the School Principal forgives their consent, understanding,

and support to the students. The researchers would like to give recognition to their

sincere approval to conduct the research with the use of the different facilities and

equipment available.

Words of thanks are also extended to Mr. Matthew Artiga, the research adviser

for giving his full effort to discuss and give more examples and encouragement to fulfill

our study. He also shared his knowledge about research with his students so that we

will become a good researcher as soon as we utilize his students and become

independent on our own.

Acknowledgment is also given to our Teacher’s, The researcher teachers for their

guidance and patience as well as for the extreme discussion that made the students

and surveyors fully understand the details of the research.

Great gratitude to the respondents for giving their honest and sincere responses

to our question the researchers by giving full time to answer.

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 TABLE OF CONTENTS

APPROVAL SHEET..................................................................................................................................
ACKNOWLEDGMENTS............................................................................................................................
TABLE OF CONTENTS............................................................................................................................
ABSTRACT..............................................................................................................................................
CHAPTER I...............................................................................................................................................
INTRODUCTION................................................................................................................................
Statement of the Problem...................................................................................................................
Purpose/Objectives of the Study.........................................................................................................
Scope and Limitation of the Study......................................................................................................
Significance of the study.....................................................................................................................
Conceptual Framework.......................................................................................................................
Related Literature.............................................................................................................................
CHAPTER II.............................................................................................................................................
METHOD............................................................................................................................................
Research Design................................................................................................................................
Description of the Respondents..........................................................................................................
Research Instruments.........................................................................................................................
............................................................................................................................................................
............................................................................................................................................................
............................................................................................................................................................
............................................................................................................................................................
Data Collection and Data Gathering Procedure..................................................................................
............................................................................................................................................................
............................................................................................................................................................
............................................................................................................................................................
CHAPTER III............................................................................................................................................
RESULT..............................................................................................................................................
Data Presentation...............................................................................................................................
Data Interpretation..............................................................................................................................
Data Analysis......................................................................................................................................
CHAPTER IV...........................................................................................................................................
DISCUSSION......................................................................................................................................
Summary.............................................................................................................................................
Conclusion..........................................................................................................................................

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 Recommendation................................................................................................................................
REFERENCES........................................................................................................................................
APPENDICES.....................................................................................................................................
Appendix A - Letter to the Research Adviser................................................................
Appendix B - Letter to the Manager of the Store..........................................................
Appendix C - Letter to the Respondents.......................................................................
Appendix D - Research Instrument...............................................................................

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 ABSTRACT

In the dynamic landscape of retail and commerce, the Point of Sale (POS) system plays

a pivotal role in facilitating seamless transactions between businesses and customers.

Efficient transaction handling within POS systems is crucial for ensuring accuracy,

speed, and reliability in the retail environment. This quantitative research aims to delve

into the intricacies of transaction handling in POS systems, seeking to identify key

performance indicators, challenges, and opportunities for improvement.

The study will employ a rigorous quantitative methodology, utilizing data gathered from

a diverse sample of retail establishments employing various POS systems. By

employing statistical analyses, the research will assess transaction processing times,

error rates, and overall system performance. Additionally, the study will explore the

impact of transaction complexities, such as refunds, discounts, and multiple payment

methods, on the efficiency of POS systems.

Through the systematic collection and analysis of data, this research intends to

contribute valuable insights into the current state of transaction handling in POS

systems, offering a quantitative perspective on areas for enhancement. The findings of

this study have the potential to inform both academic discourse and industry practices,

guiding the development of more robust and reliable POS systems to meet the evolving

demands of modern commerce.

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 CHAPTER I
INTRODUCTION
The retail landscape has undergone a change with the advent of advanced technology,
and at the forefront of this transformation is the Point of Sale (POS) system. Serving as
the center of commercial transactions, POS systems are integral to the smooth
functioning of retail operations, impacting both customer satisfaction and business
efficiency. As businesses increasingly rely on digital platforms to conduct transactions,
the need for a full understanding of the performance and difficulties of POS systems
becomes high.

This research begins on a quantitative exploration into the domain of transaction

handling within POS systems. The efficiency and reliability of transaction processing
play a critical role in shaping the customer experience, influencing purchasing
decisions, and ultimately determining the success of retail establishments. In this
context, the study aims to uncover quantitative insights that shed light on the key
aspects of transaction handling, identifying performance standards, challenges, and
opportunities for optimization.

As businesses grapple with the ever-growing complexities of modern transactions,

ranging from diverse payment methods to intricate discount and refund scenarios, the
need for a comprehensive analysis of POS system functionality becomes increasingly
apparent. The quantitative research outlined herein seeks to bridge this gap by
employing robust methodologies to evaluate transaction processing times, error rates,
and the impact of transaction intricacies on overall system performance.

The implications of this research extend beyond academic inquiry, with direct relevance
to industry practitioners, software developers, and policymakers. By examining
transaction handling in POS systems through a quantitative lens, this study aims to
provide actionable insights that can inform the design and improvement of POS
systems, ensuring they meet the evolving demands of the contemporary retail
environment. In doing so, it contributes to the ongoing dialogue surrounding the
intersection of technology and commerce, ultimately striving to enhance the efficiency
and reliability of transaction processes in the retail sector.

Statement of the Problem

The Point of Sale (POS) system is a critical component in retail and various
business environments, facilitating transactions between consumers and merchants.
Efficient transaction handling is paramount for the seamless functioning of POS
systems. However, several challenges and issues may impede the effectiveness of
transaction handling in POS systems, warranting a thorough investigation.

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Issues:

1. POS systems often face challenges related to transaction processing speed,

leading to delays and potential customer dissatisfaction.Slow transaction
processing may result in long queues during peak hours, impacting the overall
customer experience.
2. Accuracy in recording and processing transactions is crucial for maintaining
inventory integrity and financial records.Errors in transaction processing can lead
to discrepancies in stock levels and financial reporting, affecting the overall
business operation.
3. POS systems need to be reliable to ensure continuous service without
disruptions.Frequent system downtimes or technical glitches may lead to
transaction failures, causing inconvenience to both customers and businesses.
4. Security is a paramount concern in POS systems, given the sensitive nature of
transaction data.Vulnerabilities such as unauthorized access, data breaches, or
fraudulent activities may compromise customer information and erode trust in the
system.
5. Seamless integration with other business systems, such as inventory
management and accounting software, is essential for efficient
operations.Challenges in integration may result in data inconsistencies and
hinder the overall flow of information within the business.

Purpose/Objectives of the Study

The primary objective of this study is to analyze and address the challenges
associated with transaction handling in POS systems, aiming to enhance the efficiency,
accuracy, and reliability of the overall system.

Specific goals include:

1. Optimizing Transaction Processing Speed: Identify factors contributing to slow

transaction processing.Propose solutions to improve transaction speed and
reduce waiting times.
2. Ensuring Transaction Accuracy: Investigate the root causes of transaction
errors.Implement measures to enhance the accuracy of transaction recording
and processing.
3. Enhancing System Reliability: Evaluate the current system's reliability and
identify potential areas of improvement.Implement strategies to minimize system
downtimes and address technical glitches promptly.
4. Strengthening Security Measures: Assess the existing security protocols and
identify vulnerabilities.Implement enhanced security measures to protect
transaction data and prevent unauthorized access.

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 5. Improving Integration with Other Systems: Identify integration challenges with
other business systems.Propose solutions to ensure seamless data flow and
communication between POS and related systems.

By achieving these objectives, the study aims to contribute to the development of more
robust and efficient POS systems, ultimately enhancing the overall customer experience
and operational effectiveness for businesses.

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Scope and Limitation of the Study
Scope of the Study:

1. Transaction Processing Metrics:

● The study will focus on quantifiable metrics related to transaction handling,
including transaction processing speed, accuracy rates, and error
frequencies within POS systems.
User Interaction Metrics:
● Quantitative analysis will be conducted on user interactions with the POS
system, such as transaction completion time, frequency of user errors,
and user satisfaction scores.
System Performance Metrics:
● System performance metrics, including response times, downtimes, and
system reliability, will be quantitatively assessed to identify areas for
improvement.
Data Security Metrics:
● Quantitative measurements of data security, such as encryption strength,
frequency of security incidents, and adherence to security standards, will
be included in the study.
Integration Effectiveness Metrics:
● The study will quantify the effectiveness of POS system integration with
other business processes, measuring data accuracy and efficiency in
information flow.
Comparative Analysis:
● Quantitative comparisons will be made between different types of POS
systems, considering variables like transaction speed, accuracy, and user
satisfaction.
User Proficiency Metrics:
● Metrics related to user proficiency, such as training completion rates and
user error rates, will be quantitatively analyzed to understand the impact of
user skills on transaction handling.

Limitations of the Study:

1. Complexity of Human Factors: While quantitative data can measure certain

aspects of user interaction, the study may not fully capture the nuanced and
qualitative aspects of user experiences, preferences, and challenges.
2. Inability to Capture Contextual Information: Quantitative research may lack the
ability to capture contextual information surrounding specific transactions, limiting
the depth of understanding regarding transaction anomalies or unique scenarios.
3. Limited Scope in Identifying Root Causes: Quantitative methods may identify
issues and correlations but might have limitations in uncovering the underlying
causes or reasons behind certain trends, necessitating supplementary qualitative
research.

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 4. Dynamic Technological Landscape: The rapidly changing nature of technology
may limit the long-term applicability of quantitative findings, as new
developments in POS systems could emerge after the study's conclusion.
5. Risk of Oversimplification: Quantitative research may simplify complex issues,
potentially overlooking certain intricacies that qualitative research methods might
better capture.
6. Dependency on Available Data: The study's effectiveness depends on the
availability and accuracy of data, and any limitations or biases in the data
sources could impact the reliability of the quantitative findings.
7. Inability to Account for External Factors: Quantitative research may struggle to
account for external factors, such as changes in regulations, economic
conditions, or unforeseen events, which could influence transaction handling in
POS systems.

Despite these limitations, the quantitative research aims to provide valuable statistical
insights into the transaction handling aspects of POS systems, offering a basis for data-
driven decision-making and targeted improvements.

Significance of the study

The significance of a study on transaction handling in a Point of Sale
(POS) system is crucial for various stakeholders, including businesses, customers, and
technology providers.

1. Enhanced Customer Experience: Efficient transaction handling directly impacts

the customer experience by reducing waiting times, minimizing errors, and
providing a more pleasant and efficient checkout process.
2. Inventory Management Accuracy:Accurate transaction handling is essential for
maintaining precise inventory records, reducing stockouts, preventing overstock
situations, and ensuring that businesses can meet customer demand effectively.
3. Security Enhancement: Given the sensitive nature of transaction data, improving
transaction handling contributes to enhanced security measures, protecting
against data breaches, and ensuring the confidentiality of customer information.
4.Vendor and System Selection: Comparative analyses of different POS systems
and vendors help businesses make informed decisions when selecting a POS
system, ensuring that it aligns with their specific needs and requirements.
5. Employee Training and Proficiency: The study may identify areas where
additional employee training is necessary, ensuring that staff members are
proficient in using the POS system and can handle transactions effectively.
6. Brand Reputation: Efficient transaction handling contributes to a positive brand
reputation. Customers are likely to view a business favorably when transactions
are quick, accurate, and secure, leading to increased trust and loyalty.

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Conceptual Framework
In the realm of modern commerce, Point of Sale (POS) systems play a pivotal
role in facilitating transactions and managing business operations. This conceptual
framework delves into the intricacies of transaction handling within a POS system,
aiming to unravel the multifaceted processes and variables that influence the overall
performance of these systems.

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 Figure 1: Schematic Diagram of the Study

Related Literature
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 CHAPTER II
METHOD

Research Design
This study adopts a quantitative research design to systematically

investigate and analyze the impact of various factors on the efficiency and effectiveness

of transaction handling within Point of Sale (POS) systems. Quantitative research is

chosen for its ability to provide numerical data that can be analyzed statistically,

enabling the identification of patterns, trends, and correlations in a rigorous and

structured manner.

Variables in this study will be operationalized and measured through the utilization of

well-crafted instruments such as surveys and questionnaires. These instruments are

designed to capture relevant data from a diverse sample of retail establishments

employing different POS systems. The survey will encompass variables related to

transaction processing times, error rates, and the overall performance of POS systems.

Additionally, factors such as transaction complexities (e.g., refunds, discounts, multiple

payment methods) will be included to assess their impact on the efficiency of

transaction handling.

By adopting a quantitative research design, this study aims to provide a strong and

objective understanding of the dynamics surrounding transaction handling in POS

systems. The findings derived from statistical analyses will contribute valuable insights

to the existing body of knowledge, offering tangible recommendations for the

enhancement of POS system efficiency in the realm of transaction processing.

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 Description of the Respondents
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Research Instruments

Section 1: Participant Information

1. Business Information:

● Business Name:

● Industry:

● Number of Locations:

● Years in Operation:

2. Respondent Information:

● Position/Role:

● Years of Experience with POS Systems:

Section 2: Transaction Handling Perception

1. Transaction Speed:

● Please rate your perception of the speed of transaction processing in the

POS system.

● Very Slow

● Slow

● Neutral

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 ● Fast

● Very Fast

2. Transaction Accuracy:

● How would you rate the accuracy of transaction recording and processing

in the POS system?

● Very Inaccurate

● Inaccurate

● Neutral

● Accurate

● Very Accurate

3. System Reliability:

● To what extent do you believe the POS system is reliable in handling

transactions?

● Not Reliable

● Slightly Reliable

● Neutral

● Reliable

● Very Reliable

4. Security Measures:

● How confident are you in the security measures implemented in the POS

system for transaction data protection?

● Not Confident

● Slightly Confident

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 ● Neutral

● Confident

● Very Confident

5. Integration Efficiency:

● Rate the efficiency of the POS system in integrating with other business

processes (e.g., inventory management, accounting).

● Very Inefficient

● Inefficient

● Neutral

● Efficient

● Very Efficient

6. User Experience:

● Please rate your overall satisfaction with the user experience in

transaction handling using the POS system.

● Very Dissatisfied

● Dissatisfied

● Neutral

● Satisfied

● Very Satisfied

Section 3: Overall Transaction Handling Performance

1. Overall Transaction Handling Performance:

● Considering all aspects of transaction handling, rate the overall

performance of the POS system.

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 ● Very Poor

● Poor

● Neutral

● Good

● Very Good

Section 4: Additional Comments

1. Open-Ended Question:

● Please provide any additional comments or suggestions regarding transaction

handling in the POS system.

Section 5: Demographic Information

Business Size:

● Small (1-50 employees)

● Medium (51-200 employees)

● Large (201+ employees)

Annual Revenue:

● Less than $1 million

● $1 million - $10 million

● $10 million - $50 million

● $50 million or more

This survey instrument can be distributed to participants electronically or in print,

depending on your research design. Ensure clarity in instructions and encourage

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participants to provide honest and detailed responses. Conducting a pilot test can help

identify any potential issues with comprehension or wording.

Data Collection and Data Gathering Procedure

Data collection for a study on transaction handling in POS systems

involves obtaining information from participants regarding their experiences and

perceptions. The primary methods used for data collection include surveys and

transaction log analysis. Below are detailed data collection and gathering procedures for

both methods:

Data Collection Procedure:

1. Survey Distribution:

a. Preparation: Develop the survey questionnaire based on the outlined

research objectives. Ensure the clarity, relevance, and appropriateness of survey

questions.

b. Pilot Testing: Conduct a small-scale pilot test with a representative sample to

identify any issues with clarity or ambiguity in the questions.Revise the questionnaire

based on pilot test feedback.

c. Participant Recruitment: Identify and contact businesses that use POS

systems for transaction processing.Provide a clear explanation of the research

objectives and assure participants of confidentiality.

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 d. Survey Administration: Distribute surveys electronically or in print based on

participant preferences. Include a cover letter explaining the purpose of the study, the

voluntary nature of participation, and the assurance of data confidentiality. Set a

reasonable deadline for survey completion.

e. Reminder and Follow-Up: Send reminders to participants to encourage

survey completion. Conduct follow-up communications to address any questions or

concerns.

2. Transaction Log Retrieval:

a. Coordination with IT Departments: Contact IT departments of participating

businesses to request access to POS system transaction logs. Clearly communicate the

purpose of data collection and assure the security and privacy of the information.

b. Data Extraction: Collaborate with IT professionals to extract relevant data

from POS system transaction logs. Ensure that the extracted data include transaction

timestamps, types, user interactions, and any other pertinent variables.

c. Data Storage and Security: Store extracted transaction log data in a secure

and encrypted environment. Adhere to data protection regulations to maintain

participant confidentiality.

Data Gathering Procedure:

1. Quantitative Data (Survey Responses):

a. Data Entry: Enter survey responses into a data management tool or statistical

software. Ensure accuracy and consistency during the data entry process.

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 b. Data Cleaning: Identify and address missing or inconsistent data. Validate

responses for completeness and accuracy.

c. Descriptive Analysis: Calculate descriptive statistics, including means,

medians, and standard deviations, for each variable.

d. Inferential Analysis: Conduct correlation analysis to examine relationships

between independent variables. Perform regression analysis to explore the impact of

independent variables on overall transaction handling performance.Perform

comparative analysis of transaction log data between different groups.

2. Quantitative Data (Transaction Log Analysis):

a. Data Integration: Merge survey responses with corresponding transaction log

data for a comprehensive analysis. Ensure proper matching of survey participants with

their respective transaction log entries.

b. Quantitative Analysis: Analyze transaction log data for key metrics such as

transaction completion time, error rates, and system uptime. Compare transaction log

metrics across different groups.

3. Qualitative Data (Open-Ended Comments):

a. Thematic Analysis: Conduct thematic analysis of open-ended comments

from the survey. Identify common themes and patterns related to transaction handling

experiences.

4. Data Validation:

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 a. Cross-Verification: Cross-verify quantitative and qualitative findings to ensure

consistency and triangulation of results.

5. Report Preparation:

a. Documentation: Document the entire data collection and analysis process for

transparency and replicability. Compile findings, insights, and recommendations based

on the data analysis.

6. Reporting and Dissemination:

a. Research Report: Prepare a comprehensive research report outlining the

study's objectives, methodology, findings, and conclusions. Include actionable

recommendations for improving transaction handling in POS systems.

By following these data collection and gathering procedures, you can systematically

collect and analyze both quantitative and qualitative data to gain insights into

transaction handling in POS systems.

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 CHAPTER III
RESULT

Data Presentation

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Data Interpretation
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Data Analysis
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 CHAPTER IV
DISCUSSION

Summary
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Conclusion
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Recommendation
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 REFERENCES

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APPENDICES

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Appendix A - Letter to the Research Adviser

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 Appendix B - Letter to the Manager of the Store

January 17, 2024

Mr. Antonio Jack Wong

Store Manager

ACLC College of Tacloban

579 Real St. Tacloban City

Dear Mr. Wong,

Good day! We the college student researchers would like to ask permission from

you in order for us to conduct our research study in this specific store with the research

design of experimental study. As our respondent is a selected staff who is active in

participating for our research as our respondent. Through our respondent we can gather

enough information for our study with your approval.

GABRIEL A. RENDIZA

Group leader

Noted by:

MR. MATTHEW ARTIGA

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Research teacher

MR. CESAR SILAY

Academic coordinator

Appendix C - Letter to the Respondents

Interview guide:

Title: Transaction Handling in POS System

Please use a scale of 1 to 5, where:

● 1: Very Poor
● 2: Poor
● 3: Neutral
● 4: Good
● 5: Excellent

User Experience:

1. How would you rate your overall experience with the POS system's
transaction handling capabilities? Speed of Transactions:
2. Rate the speed at which transactions are processed in the POS
system.
Ease of Use:
3. Considering the user interface, how easy is it to handle transactions
in the POS system?
Effectiveness of Training Programs:
4. If applicable, how effective do you find the training programs for
improving your transaction handling skills in the POS system?
Error Frequency:
5. Rate the frequency of errors encountered during transaction
handling.
Comparative Performance:
6. Compare the performance of this POS system with others you may
have used.

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 Impact of Transaction Volume:
7. Considering different transaction volumes, rate how well the POS
system handles transactions on the scale from 1 to 5.
Feature Importance:
8. Finally, rate the importance of specific features in the POS system
for efficient transaction handling.

Consent Form

Study title: Transaction Handling in POS System

Participant’s initials:

Date of Birth/ Age:

1. I confirm that I have read and understood the information sheet dated January
17, 2024 for the above study and have the opportunity to ask question.

2. I understand that my participation in the study is voluntary and that I am free to

withdraw cat anytime without giving any reason, without my medical care of legal rights
being affected.

3. However, I understand that my identity will not be revealed in any information

released to third parties or published.

4. I agree not to restrict the use of any data or result that arise from this study
provided such a use of only for scientific purposes.

5. I agree to take part in the above study.

I have read the above information and agreed to participate in this study

I have received a copy of this information.

Participant’s Name (Print):

Participant’s Signature and Date: January 17 2024

Address:

Appendix D - Research Instrument

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