The introduction of databases as a way of managing information has revolutionized many businesses. In a database system, computers from different departments or units are connected to a central computer, which receives or distributes information ( Sakthivel , 2014). One time, I worked at a retail store where most of the processes were manual. When customers made purchases, the items’ details would be manually written on receipts, and then calculators would be used to find the total. During prime hours, long queues would be witnessed at the store because of the slow processing. Besides, the senior management would pick the receipt books to establish the number of sales made. The process was tedious and full of errors. However, the management decided to automate the process and introduce databases, where whenever purchases were made, the details captured by computers at the payment desks would be automatically send to a central computer and the management would access the data whenever they needed it. Consequently, the operations improved and customers expressed more satisfaction.
Management of information through database systems has led to more efficiency in businesses. The organization of information allows the management to make evidence-based decisions, and also to project sales or even buying habits (Jaklič, Popovič, & Coelho, 2011). The objective of operating a business should not just be about getting customers and making sales; rather, it should also be about collecting information about the customers, and organizing it to assist the business improve on its operations. For instance, through databases, the management can establish the types of products that have the highest sales, as well as those that have low sales ( Sakthivel , 2014). Besides, managers can also establish the purchasing habits during the different seasons of the year. Consequently, the management can order and manage its stock better based on the information provided by the database system.
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References
Jaklič, J., Popovič, A., & Coelho, P. S. (2011). The impact of quality information provided by business intelligence systems on the use of information in business processes. In International Conference on ENTERprise Information Systems (pp. 158-167). Springer, Berlin, Heidelberg.
Sakthivel , R. (2014). Role of Management Information System. Linkedin. https://www.linkedin.com/pulse/20140901121616-270946654-role-impact-and-importance-of-mis
