Sunday, April 5, 2009

A Well-Deserved Superiority Complex

Alright, I definitely understand why a database is useful, and I can imagine that an efficient means of retrieving stored data would be an essential component in a business operations. But, seeing as I am hugely hesitant to "get with the times" and embrace technology in my daily student life, I can also imagine that to implement a DBMS in an organization that previously has not been using one would be nightmarish.

Time for a cost-benefit analysis

Just how useful would a DBMS be in an organization? Well...


As we can see from the image shown (open it in another window for additional clarity and readability), there are many, many advantages to embracing the "database approach".

However, before we get swept away with enthousiasm, we should consider if there are any drawbacks to implementing a DBMS in an organization.

Well, yes. There will certainly be some costs, both in opportunities and monetary. Chances are new personnel will need to be hired (database administrators) and old systems converted or adapted.

More importantly, however, is the overall culture of the organization attempting the change. If the culture is resistant to learning, management should perhaps consider whether the strategic advantages of a DBMS truly outweigh the possible costs due to employee sabotage. (Jessup, Valacich, and Wade 66)

Life in the Big Leagues

Now that management has bullied any rebellious staff into submitting to the Way of the Future, a database administrator (DBA) has been hired, and a DBMS has been successfully implemented, what next? Surely there is more excitement to come?

Yes, yes there is. And I will introduce this excitement with the following definition:

Data mining: A method used by companies to sort and analyze information to better understand their customers, products, markets, or any other phase of their business for which data have been captured.(Jessup, Valacich, and Wade 413)

And that, ladies and gentlemen, is one of the reasons why some people speak in hushed, respectful tones when referring to DBMSs. Data mining is a key component in any organization's serious attempt at reaching their strategic goals. Effective data mining, using an organization's existing DBMS renders the need for a separate Customer Relationship Management System unnecessary, once again, allowing for the most efficient use of an organization's resources (Zahorsky).

Further Excitement:

Incredibly, there are many more advantages to using DBMS in an organization. Here are some definitions, and links to enjoyable reading :

Online Analytical Processing (OLAP) : Graphical software tools that provide complex analysis of data stored in a database. (Jessup, Valacich, and Wade 418)

OLAP server: The chief component of an OLAP system that understands how data is organized in the database and has special functions for analyzing the data. (Jessup, Valacich, and Wade 418)

References:

Jessup, Leonard M., Joseph S. Valacich, and Michael R. Wade. Information Systems Today: Why IS Matters. 2nd ed. Toronto: Pearson Prentice Hall, 2008.

Zahorsky, Darrell. "Customer Mining for Gold." About.com. 5 Apr 2009

Zoufaly, Frederico. "Issues & Challenges Facing Legacy Systems." www.developer.com. 5 Apr 2009

Pendse, Nigel. "What is OLAP?." www.olapreport.com. 03 Mar 2008. 5 Apr 2009

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