Modernizing Transactional Systems: Deep Dive from Monolithic to Micro services Architectures

The modern digital era depends on the transactional systems to maintain and process larger volumes of real-time transactions diagonally with the sectors such as e-commerce, banking, and online reservations which makes sure the protected payment processing, accurate account preservation, and real-time accessibility, are evolved from conventional monolithic and client-server architectures to more advanced micro services and server less computing models to meet increasing demands for accessibility, agility, and flexibility. As transaction volumes increase, monolithic system which combines the databases, business logic, and user interfaces into one unit face challenges with scalability and complexity. By splitting the applications into tiny, separate services, each of which oversees a distinct business process, micro services designs, on the other hand, enable fault isolation, autonomous scaling, and greater flexibility. Server less computing further converts the transactional systems by abstracting structural management, enabling businesses to focus on feature enhancement and cost-effectiveness through automatic scaling based on demand. This review inspects the evolution of transactional system architectures, highlighting the transference from monolithic structures to micro services and server less models. It investigates the role of these architectures in the sectors such as e-commerce, banking, and online transactions, addressing research questions about the most effective architectures for transactional applications and the influence of intelligent algorithms on real-time analytics and decision-making. By evaluating the benefits and challenges of each architectural approach, the review recommends a micro services architecture for one of the domains, highlighting its advantages in managing higher transactions, ensuring real-time accessibility, and providing scalable solutions, while also acknowledging difficulties in process management, data reliability, and system association.