Database Management from a Business Perspective
Introduction
Data management is an essential part of any organization as it plays various roles in facilitating the completion of organizational tasks. For instance, database management allows an organization, storage as well as retrieval of data from computers. Database management allows organizations to divide the company’s data into different sections that can be used for specific tasks. For instance, through data management, financial information about the organization is stored separately from data on the consumer market. This organization allows for easy retrieval, thus eliminating time wastage. Proper data management, therefore, allows the organization to optimally use the information availed to them for the success of the organization. For instance, an organization with a proper data management system is able to easily reveal relevant financial information to tax authorities or their data on product market performance to acquire loans from creditors. Data management systems play a big role in the business operations of every organization, and while this area is considered the realm of the tech-savvy, managers should understand database management system technologies and data management practices from a strategic business perspective.
Essentials of a good management system
Managers need to understand the features of a good database management system for them to efficiently use it. First, a good database management system should be neither repetitive nor redundant. This is done through the creation of a single data repository accessible to all users within the organization. This eliminates the need to create numerous copies of the same data in a database which is time-consuming and labour-intensive and also reduces problems such as insertion anomalies that come with redundancy. Insertion anomaly refers to difficulties in the insertion of a data record which can only be solved by adding unrelated data to the record. (GeeksforGeeks 2019). Differences that at times occur when data is replicated in a redundant system can negatively affect decision making processes in turn adversely affecting the course of business. A system devoid of repetition and redundancy is therefore good as it allows access to the same information, thereby facilitating proper decision making.
Most organizations store data in huge databases and therefore need database management to maintain such large volumes of data. A database management system maintains large databases by utilizing user-defined and integrity constraints such as user-based access (Lu, Holubová, & Cautis, 2018). Given its importance, therefore, a database management system should be regularly maintained failure to which organization data may be rendered inaccessible. However, most managers face challenges in maintaining their database management systems which expose them to potential risk of data loss. Managers should, therefore, be keen to adopt maintenance practices such as regular troubleshooting and fixing of bugs, cleaning up data and changing functionalities when variations in requirements arise. A regularly well-maintained data management system ensures that a business readily has the information required to make decisions regarding its operations and performance (Joshi, & Morena, 2017).
The management systems should also be secure and safe from unauthorized access. Managers should, therefore, have the knowledge and ability to oversee designing and implementation of system securities such as the use of passwords, patterns and completely automated public Turing test to tell computers and humans apart (CAPTCHA test). Such measures regulate the number of people with access to specific data that is essential to the survival of the business organization. Knowledge on the safety of the data management system is important from a business standpoint as it prevents valuable organization information from getting into the hands of competitors who would use it at the organization’s expense.
Data management systems should also have a multi-user feature that allows many people to access the same data and information simultaneously if need be without experiencing lags that hamper its efficiency. This eases access to data and also allows for effortless dissemination of information to a wide number of users. For instance, a multi-user data management system would allow management at the headquarters to disseminate relevant information to the various branches at a go rather than individually, which would take longer. A multi-use environment can be made possible by having database views that allow the employees to use the information to suit their different needs (Batra,2018). For instance, one employee may want to print bank details while the other one just wants to view them from the system. Different database views allow both employees to carry out their functions.
Effective database management practices
Managers at every organizational level should be equipped with practices that facilitate the efficiency of a database. First, they should be able to build robust file naming as well as catalog conventions that allows users to trace data within the organization’s database (Wiley & Mischo,2016). The filing system should be user friendly and should adopt names that are memorable and easy to locate and should also be in a format that allows users to search and locate needed sets of data. Additionally, the files should have dates and times in line with the various time zones of the company’s locations. Managers should also adopt the use of Metadata for the data in the firm’s database. Metadata refers to the descriptive elements that accompany data. It entails details on the contents of the data, structure and permissions that make it retrievable in the future. Absence of metadata can render important data undiscoverable as it does not contain searchable information. There should be catalog items that enable one to trace the lineage or path of the data. Such items include author details, details on where and why the data was created as well as reasons for its creation. Managers that implement a good filing system are able to ensure easy retrieval of data, ensuring that organizations readily have information that is requisite to their operations. A good filing system is especially important for sensitive information such as the company’s financial records for the various years, which is equally important to regulators.
Another important management practice is the storage of data. Preservation and backing of data ensure that it is available for future use. Failure to adopt proper data storage practices can result in loss of volumes of essential data which can cripple the organization’s operations. For instance, loss of data regarding inventory can encourage unscrupulous employees to steal from the organization. Similarly, loss of data concerning prototypes and products in early stages of development can hinder future production, making the company undergo heavy losses in potential revenue in addition to handing product rivals a competitive edge. Managers should, therefore, be on the lookout for the most favorable methods of data storage to avoid such eventualities. Cloud storage is considered the most convenient means of storage for organizations with large volumes of data, due to the convenience in access and the need for little physical space. However, no one means of storage should be used in isolation and managers are encouraged to store their information by multiple means. The 3-2-1 method of storage is particularly advised. It involves storing at least three copies of the same data, using at least two means of storage with one located offsite in case those in the company premises are compromised or destroyed. The need to adopt various means of storage, therefore, makes it necessary for managers to know the intricacies regarding data storage to ensure the business carries on smoothly in the current era where information is vital for survival.
The documentation process is also another key area that managers should be able to look into regarding the data management system. The documentation process has a number of stages starting with project level documentation. File-level, context levels and the software used should also be properly documented. Documenting these particulars helps determine software updates or determine problems in a system, especially in the absence of those responsible for designing it (Deng & Zhu, 2020). Documentation practices are necessary from a business standpoint as they ensure continuity of operations when new management or employees take over from those in place.
Managers should also be able to cultivate a conducive environment where employees can use data to carry out assigned tasks. This can be done by testing data management system packages before procuring them to determine their suitability to the work environment. Managers should also seek employee input and anticipate challenges that may come with the adoption of a new database management system. Knowledge of such technologies is also important in determining the best database technologies that complement the available training methods. Knowledge on the same also helps the manager come up with safety and security standards that prevent information from falling into unauthorized hands. A manager’s knowledge in the matters ensures the procurement of the most suitable database management system that complements the organization’s workforce ensuring minimal disruption that initially accompanies the adoption of new technology. In turn, the company experiences the benefits of the new technology with a minimal time lag.
Managers should also understand database management technologies as they are responsible for acquiring them. In obtaining such technologies, managers hope to improve organizational performance and get more out of the workforce. Information on what entails a quality data management software is thus essential. For instance, managers should adopt data management software that creates the right data sets that work for the organization’s needs. Knowledge on the database management technologies and practices also put the manager at a better position to determine the best suppliers in the market. The manager is also able to know the specific costs associated with various data management software such as whether licenses are renewable or whether they charge per user. A manager knowledgeable in this area is also able to consider the scalability of the software in advance before acquiring it-for instance, whether if the company triples its production, will the system keep up with sudden rise. The manager is also able to know the database management systems used by competitors in the industry and how this might play a role in giving the competitors a competitive edge. Therefore, from a business perspective, knowledge of the technologies is essential in the pricing and other decisions that accompany the procurement of the software.
Significance of database management systems
Database management systems hold a lot of significance in an organization’s operations as they facilitate efficient handling of data and information (Sui, Lecoultre, & Ugur-Ozekinci,2016). They can categorize and structure available data in a way that makes it more useful and easily accessible to users. It is for this reason that data management systems are used in almost all institutions to handle data such as employee records, financial and accounting records and inventory. Their versatility and adaptability that makes them accessible across most devices make them all the more popular with among organizations and employees. A manager who aspires to reach out or do business with other organizations, particularly corporates, therefore has to have relevant knowledge on database management systems to gain credence from parties relevant to the business.
An understanding of data management technologies and how they are employed can also save a manager to properly deal with human resource matters (Alijani, Kwun, Mancuso, & Omar,2016). For instance, a manager well versed with these technologies is able to manage staff records better and speedily process data such as work hours, leave and benefits. This leaves such a manager with more time to manage other aspects of the organization. A knowledgeable manager is also able to use the database management system to ensure the organization maintains good relationships with its customers. Through the use of customer relationships management, the organization is able to store the client’s contact details and buying patterns allowing the organization a better knowledge of their market base and the improvements required. A customer relationship management system also aids in marketing campaigns through emails and social media. A robust data management system, when put to good use, can also play a huge role in planning growth. It is able to do this by analyzing input data and tracking productivity as well as anticipating future market trends and the needs of customers. Through a data management system, a manager can generate a SWOT analysis to analyze the various aspects of the business as it seeks to expand.
Conclusion
Data management systems are widely used in business organizations, and their potential in improving the fortunes of organizations is virtually limitless. Managers should, therefore, tap into this system to improve the business performance of their organizations. To do this, managers should be aware of the various issues and process that come with the use of data management systems. For instance, managers should be aware of potential redundancy and take measures to eliminate is as it can adversely affect decision making. They should be aware of the various maintenance measures and oversee their execution since a technical failure of the system can cost the organization. Adequate knowledge of the technologies is also required to design security measures that govern data use and prevent unauthorized parties from accessing organization information. Adherence to effective database management practices is also essential for the success of the organization. Most importantly, managers should have adequate knowledge of how the business management system works. This way, they will be able to put it to most use such as predicting growth, conducting product promotion and other creative uses that put the organization ahead of its competitors.
References
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