Strategic Use of Databases - Case Study Example

The unstructured data can be used in organizations to analyze and make important decisions (Browman 1998). It has been argued that information technology has been seen to be a tool for empowerment. This is no longer the case. Information technology is more often seen to be a tool that is used in making decisions. The type of technology that is in question will determine the types of decision-making approach that is being adopted in an organization. With databases and data mining now being adopted widely for many organizations, it is now easier to adopt information technology while making important decisions (Browman 1998). Senior managers are adopting the use of information technology in making very important decisions. Decision-making partially relies on the available information and functions that support the process. For instance, when the objectives of management are absent mainly due to a lack of sufficient information, the basis of the search will be destabilized. If information search is not done, there will be limited information for comparison thus leading to undesired results (Kueh 2008). The type of information that is required at different levels of management varies.  For instance, senior management need the information to aid them in business planning, more detailed information is essential for middle-level management to assist them in monitoring and controlling the day-to-day running of the business, and lower-level management where the majority of the employees lies only require information that will help them administer their duties (Nobel 2010).

It is through organization decision-making processes’ complexity information system has been categorized as per the level in which it is addressed. An executive information system is meant to assist top-level management in making strategic decisions. The role of this system is collecting, analyzing, and summarizing both internal and external information that can be of benefit to the organization. The Executive Support System does more of analyzing data and tool modeling, for instance, “what if”; this will thus lead them into making a good strategic decision for their organization (Nobel 2010).

Information technology has been seen to be a useful tool for both middle and lower-level management in carrying out duties. It focuses on internal sources in analyzing information.  Management information system receives data that had been gathered by the Transaction processing systems so as to summarize in order to come up with a series of management reports (Kueh 2008).

In addition, the Decision Support system is a complicated system as it employs databases and spreadsheets so as to develop models like “what if”. Top-level management finds this system useful during uncertainties since it takes them through a situation where results are unpredictable. It, therefore, comprises techniques and tools that help and analyze data.

Knowledge management information system is used in firms such as lawyers, management consultants, and accountants. It helps in creating and sharing information; in an organization, employees in a given function acquire knowledge through this system before it is shared in the entire organization (Kueh 2008).

The knowledge management system is a knowledge-based system where categories and distribution are embraced. Internet is a necessity in sharing of information under this system.

In conclusion, effective decisions require relevant and timely information. Occasionally, appropriate decisions are achieved due to the fact that few managers get the right information at the right time for the right purpose thus good planning is attained (Browman 1998).

When the structure of an organization is complicated then, it calls for more coordinated functions between various departments, and for this to be achieved, information is needed.  

Use of large databases to formulate business strategy

Information technology has been seen to be a strategy that is used by many organizations in their decision-making process. Large databases have been adopted in formulating business strategies. This is because of the feature of data mining that has taken shape. Data mining is a technique where data from the database is analyzed for specific information that will be used to make important decisions. Data mining is gaining popularity in businesses, private organizations as well as government agencies. The importance of the same in security agencies cannot be overlooked. There has been an interest in law enforcement agencies to develop mechanisms of information processing that would generate knowledge from unknown to known. The setback faced in data mining, therefore, is the approach in which it is deployed. Only conceptual statistical methods which have no learning ability have been in the recent past applied. Efficient data mining models should include intelligent algorithms that are able to learn over time.  Different forms of data are collected depending on the objective of the extraction. When mining data in order to identify, criminal activities of an individual various types of data ranging from biodata, spatial data as well as time-series data will be involved. An efficient algorithm that can effectively mine data while ensuring avoidance of spurious correlations is therefore necessary (Kueh 2008). 

The emergence of bid data

Big data is the database and the information that is found and tapped from the normal business processes available in organizations today. It is this information that has been found to be important and used by many organizations to make important business decisions. With this information, it is now possible to get this information and use it for important decisions that are used for business growth. Information technology is a tool that has helped firms competes in business (De Wit and Meyer 2004).