One of the reasons that organization were so slow to respond in the past was that they simply did not have a clear view of what was happening within their company.
The data was inconsistent due to different definitions, cut-off dates and measurement criteria. Data often partitioned into several disjointed systems, with each system having its own collection of files.
Large businesses (and countries) have been traditionally less efficient than smaller organizations due to the cost of coordination and the increase in bureaucracy to deal with large amounts of information. Delegation of authority to compensate for this factor has led to lack of control, lower efficiency and fragmentation of business.
The solution is a single, logical, and central database. When all the data for the various systems is stored in a single database, it gives everybody in the organization access to the same data at the same time. Many organizations are now bringing together all their separate systems to achieve this singular view.
Most data items are stored in only one file, which greatly reduces duplicate data. The data various users can be combined and shared among authorized users, allowing all users access to a greater pool of data.
The single database helps create an environment in which end users have better access to compare and better-managed data. Such access makes it possible for end users to respond quickly to changes in their environment.
A single source of data gives the organization the ability to combine information across all business operations. Whereas managers used to receive a separate printed monthly report from each system, they can now obtain daily, or even hourly, electronic reports that give a single view of what matters, as it happens, across their entire organization.
Organizations that use database typically have security setting to define who can access, add, modify and delete the data in a database.
Chief executive can access a single dynamic report on screen to monitor their critical success factors and key performance indicators, such as sales, leads, liquidity, staffing or inventory levels.
These interactive reports allow the user, not just to monitor everything that is important to the company, but also to investigate variances and get immediate answers within a few mouse clicks.
In single database, when users modify data in the database, they make changes to one file instead of multiple files. Thus, the database approach increases the data’s integrity by reducing the possibility of introducing inconsistencies.
The availability of global information systems enables companies to maintain a functional structure on a large scale, which is more efficient, rather than creating multiple business units with complicated communication cycles.
The advantages of single database in organization
