why do we need to use database

Spreadsheets are great tools for number crunching. But if you have lots of data, for example on customers, staff or your inventory, you may benefit from a more efficient data management tool. Here's why you should consider replacing spreadsheets with databases to help your business growв
1. Centralised systems If your business is growing and you have staff to help you run it, keeping track of the increasing amount of data can be tricky. Good database systems can help you manage all your business-critical data centrally, safely and securely - whenever you need it - to boost you chances of success. 2. Better management of human resource (HR) matters Using a HR database to manage growing staff records can save you time and money. It can streamline most of the HR tasks, automate routine jobs and speed up processing of data such as staff hours, leave, benefits, payroll, etc.


This can leave you more time to focus on furthering your business. 3. Managing customer data and relationships If customers are the lifeblood of your business, then a good customer relationship management (CRM) database should be at the heart of your growth plans. Full-featured CRM databases are usually powerful enough to store and process everything, from customer contact details, interaction history and accounts, to new prospects, leads and business opportunities. Some CRM systems can even help you run and track marketing campaigns, such as email newsletters. See more on. 4. Efficient inventory tracking Managing your inventory well can occasionally feel like a balancing act. Itвs easy to have too much в sitting on a shelf risking wastage, or too little в disappointing your customers and damaging your reputation.


If youвre tracking your inventory manually, itвs also easy to miscount, make data entry errors or misplace spreadsheets and notes. By employing an inventory tracking database, especially alongside electronic data interchange and bar code scanning, you can avoid those risks and minimise lost sales while maximising your opportunities for growth. 5. Planning for growth Most business databases have some form of reporting capabilities в from analysing input data and productivity tracking, to anticipating future trends and customersв needs. If youвre planning a strategy for growth, a robust database system can be your business' most valuable resource. For more advice on using a database in your business, see. Why use a database? Databases can store very large numbers of records efficiently (they take up little space). information data with context or meaning. data information without context, eg a list of students with numbers beside their names is data, when it's made clear that those numbers represent their placing in a 100 metre race, the data becomes information and to edit or delete old data.


Data can be searched easily, eg 'find all Ford cars'. Data can be sorted easily, for example into 'date first registered' order. application applications serve a specific purpose, eg Microsoft Word is used for word processing, for example a mail-merge letter to a customer saying that an MOT test is due. multi-access a system that can be used by several users simultaneously via a local area network (LAN). Security may be better than in paper files. When a database holds details about people, it's likely to include their first name, surname and their date of birth. In addition to this, specialist information data with context or meaning is stored depending on the database's intended use.


The police have details of all known criminals in a database, eg crimes they've comitted. Schools use a database to store details about their pupils, eg how many days they've been off school sick. A hospital will store details of all its patients in a database, eg a history of their health issues. The Government uses a database to store records of people's income tax payments. A database is used to keep track of all the drivers in central London who have (or haven't) paid the Congestion Charge. In the case of the Congestion Charge database, if someone hasn't paid the congestion charge, a fine will be issued. The database would play an integral part in automating the process. Information stored in the other databases listed above could be used in similar ways.

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