Some advantages of a database approach include consistent information, flexibility, easy management of data security and privacy and a reduced application development time. Simply put, a database is defined as a collection of related information. Companies use a Database Management System, or DBMS, to assist in data organization.
Most companies use a relational database system. This type of system allows different pieces of information to be accessed at the same time. All of this information can be shared across the different files. A couple examples of relationship database software are Oracle and Paradox.
In relational database, all of the different information is stored in tables which are organized into rows and columns. The rows represent an individual record, and the columns are a specific field within the record. For example, rows may be designated as "Last Name," "First Name" and "Phone Number" for a database comprised of employee contact information.
Online forms are often used to quickly enter information into a database. The different blanks that a person completes on the form point to the individual fields in the database. Then companies can easily run reports by manipulating the information. For example, an employer can run a report listing employee names, phone numbers and email addresses as a quick reference tool.