What Are Three Uses of Databases in the Business World?
Businesses may use databases to manage customers, inventory and personnel. Databases are powerful organizational tools that help businesses quickly record, view and respond to important information. When used effectively, they can improve the efficiency and profitability of a business.
Customer relationship management (CRM) software allows businesses to document every interaction with a current or potential customer, leading to more efficient marketing and sales departments. Some modern CRM databases even integrate information from traditional contact methods such as phone calls and printed mail with data obtained from a company’s social media efforts.
Businesses can use databases to keep track of inventory so they know how much merchandise is in a warehouse and how much is available for customers to purchase from a store’s shelves. Companies also manage their employees using databases, effectively tracking large amounts of salary, payroll and tax data.