MGMT2006 – Lecture 4: Basics of Database Management & Normalisation

What is a database and why is it important in business?

A database organizes related data to serve all business functions and ensures data integrity.

Define the key concepts of a database.

Tables, records, fields, and relationships.

What is normalisation in database management?

The process of structuring a database to reduce redundancy and improve data integrity.

What are the steps of normalisation?

1NF → 2NF → 3NF.

How does normalization improve data quality?

By reducing redundancy and supporting MIS efficiency.

What is the purpose of a DBMS?

To allow administrators to manage data, update records and generate reports.

What does 1NF stand for and what is its goal?

First Normal Form; to eliminate repeating groups in a table.

What does 2NF focus on removing?

Partial dependencies within tables.

What does 3NF aim to achieve?

To remove transitive dependencies among data.

Why are databases important for multi-user environments?

They provide data integrity, prevent redundancy, and support security controls.

What is an example of how databases are used in a university?

Storing student information such as name, ID, courses, and GPA.

Explain the concept of relational data in a database.

It refers to the use of relationships among tables to link related data.

What is a foreign key in a database?

A key used to link two tables together, establishing a relationship.

Identify one benefit of using normalisation in databases.

It ensures the database structure is logical and efficient.

How does normalization support decision-making?

By providing accurate and systematically organized data.

What is an example scenario of using a database in an insurance company?

A client provides vehicle details for a quotation, which is stored temporarily and can be converted to a policy.