Identifying Key Business Transactions in New Relic

A business transaction is any economic event that affects a company’s finances. These include purchases and sales of services or goods such as payments to vendors or contractors, interest expense, and stock-based compensation. To qualify as a business transaction, it needs to be recorded in the company’s accounting records. Additionally, it must have a quantitative or qualitative influence on the company’s financial position. A sale, for instance, is a qualitative shift and an increase in revenue is an economic change.

The majority of companies participate in both business-to-business (B2B) and business-to-consumer (B2C) transactions. B2B transactions are typically more complex than B2C ones, and require special attention to detail to ensure the accuracy. For instance, if an organization sells a product or service to a different company it must make sure that the buyer is a qualified prospective buyer. This includes ensuring that the buyer’s company is legally authorized to purchase the product or services, determining if tax considerations are present, and creating documentation supporting the sale.

When a company is involved in an B2B transaction, the quality of the performance of its system can have significant implications for both parties. For instance, if the system is experiencing a large amount of latency issues, it might become difficult for the business to operate its core functions. To avoid such issues businesses should be aware of the systems responsible for running crucial transactions. For example in New Relic, you can make use of Flow Maps to find essential components of business transactions such as the LoanServices tier and backend database. You can also include these business transactions into the view of workloads to get an overview of all the components that make up a particular service. This can assist you to quickly troubleshoot issues when they occur.