Benefits of databases

Using database technology to gather, store, and process information about your customers, suppliers and competitors can give your business a real advantage. Creating a database can help you:

• save time on data management
• analyse data in different ways for better insights
• organise your data management processes
• turn scattered information into a valuable resource
• improve the quality and consistency of information

Many businesses struggle to gather and process large volumes of information due to limited time and resources. This can lead to a lack of understanding about:

• how well the business is performing
• the profitability of different products
• customer buying habits

A good database can help across all these areas. If you're not sure how, see 5 reasons why your business needs a good database.

The role of data in your business

A strong relational database management system lets you store large amount of data, which can become increasingly valuable over time. For example:

• historical data can show trends in your business
• sales records can identify valuable customers

In addition, setting up processes to gather, enter, and manage data can help your business run efficiently and stay organised.

It's not always clear what information is potentially valuable, so try to gather as much data as possible while keeping data protection responsibilities in mind.

Data protection and compliance in database development

When you gather, store and process personal data, you must comply with the relevant data protection legislation. According to UK data protection laws, the personal data you process must be:

• adequate - enough to fulfil your stated purpose
• relevant - directly linked to that purpose
• limited - restricted to only what is necessary for that purpose

For more information, see our guide on complying with the UK General Data Protection Regulation.