Employee Databases

5 advantages of using a database within a company

Don't you know the benefits of implementing a database for employees yet? We detail them and advise you on their use. Read us!

consultor

Marcos Lopez

HR Consultant

advantages database company

17 of April, 2025

Nowadays many businesses have a good strong employee database. Having this system in the Human Resources department can make a difference thanks to the benefits of a quality database.

This tool is indispensable for any organization, as it allows for better decision-making, helping to more accurately define company strategies.

You may be wondering why I should use this type of program? To answer your questions in this article we tell you what are the advantages of a database in the HR department of your company.

What is a database in HR?

It is a computer support that serves to store data in a structured way. This information is presented in an organized way and is available to be processed.

That is, it is a set of data, in all kinds of file formats, ordered according to certain criteria. This information is usually stored on a server or in the so-called cloud, which can be accessed comfortably and simply.

But what are the advantages of a database? Take note of what we tell you next!

5 Advantages of using a database

The advantages of using a database for Human Resources management are numerous once you know how to use them correctly. Here are 5 benefits of using these types of tools in your company.

Optimizes selection and hiring processes

One of the advantages of a database is that it facilitates important decisions about personnel recruitment for the team. Thus, the resolutions will be much smarter due to the use of Big Data.

The data is collected before, during, and after decision-making. The result is a more efficient and committed staff.

This collection and selection of data can be done using a team management software, like Sesame HR’s, which collects, stores and evaluates all incoming CVs. This rationalization helps reduce the time of this task.

Many of these programs allow on-demand hiring and easy mobile app access to schedule interviews.

Helps identify development opportunities and potential problems

By analyzing the data provided by these programs, department or organization leaders can identify possible growth opportunities. Without a doubt, it is one of the most important advantages of a database. On the contrary, they also show us the problems that exist or that will arise.

In this way, there is a direct influence on business decisions, helping with greater proactivity by being able to detect potential needs or plan staff growth.

Another of the advantages of using a database is that it improves workforce planning and allows the detection of ineffective processes being carried out by the department.

Increases commitment levels of workers

Employee commitment is one of the advantages of using a database. This is even more important when talking about teleworking. Furthermore, it is one of the key parts when talking about management in the company.

Beyond its use for the follow-up of the data that worker satisfaction surveys may produce, it also rewards those who show higher performance.

Similarly, it can indicate which employees are losing motivation or performing less, detecting potential problems in time. For this, certain indicators are very useful, such as the achievement of objectives or absenteeism.

Facilitates more informed decision making

One of the advantages of a database in HR is that they offer the chance to stay informed, almost in real-time about what the trends are. This is possible because of the historic data stored in the dashboards and the possibility of comparing them with the current ones.

In this way, large decisions can be made thanks to these quality tools such as the knowledge of performance management or employee experience.

Among other benefits of using databases is the possibility of developing necessary strategies. This, in turn, increases employee retention and decreases desertion, by knowing what their experience in the company is like. This way, awareness of the trends and patterns that the teams follow will be raised.

Links employee data to metrics

To maximize results, one of the advantages of using databases is the ability to link data to metrics. These, on the other hand, are aligned with the objectives of the organization.

By establishing a link between performance and data, it is possible to identify where better results can be achieved. An example of these are performance evaluations.

Tips for using a database in the company

Once you know what are the advantages of using a database, it’s time to effectively implement it in your organization. For that, we leave you with some tips to keep in mind:

  • Plan the structure of the database before starting to introduce all the information. It is important to know what its n is, taking into account the objectives and KPIs of each department.
  • Dump the information. To accomplish this part, it is convenient to have an HR software, which will save a lot of time.
  • Ensure the security of the data that is uploaded, to avoid leaks. It is recommended to use a good antivirus for this, and even encrypt the document.
  • Administer access permissions, so it is easy and secure.

To facilitate all these tasks, the most efficient thing is to have an HR software, which ensures simple and safe processes, managing each employee’s permissions.

Now that you know the advantages of a database in companies, you just have to start yours. On the Sesame HR website, we have all kinds of guides for Human Resources that will be useful to you. We are your trusted HR software.

Iris Serrador

People Partner | LinkedIn | | Web | +post

Customer-oriented, both internally and externally, specializing in the definition and implementation of HR policies, as well as talent management, recruitment, and retention. Strong leadership, communication, negotiation, organization, and team coordination skills. Over 12 years of experience in Human Resources.

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