Is your GIS starting to look like your office junk drawer? Stray databases and shapefiles everywhere but not quite sure how to get things organized? Centralized databases might be just the thing to get you back on track.
Looking at data that only you use, a centralized database allows you to decrease clutter and keep things in one location. Multiple databases, or even shapefiles, can be difficult to navigate when trying to accomplish tasks efficiently. If someone else has to use your system, they may have trouble orienting themselves.
Try using one database (or a handful) to centralize your data. Put all your data or similar data in one place. Utilize datasets to help keep things organized within the database instead of multiple databases.
For multiple users, you can use an enterprise geodatabase to utilize the capabilities of a centralized database. Enterprise geodatabases allow for multiple users to concurrently connect and work with the stored data in a Relational Database Management System (RDBMS) such as: SQL Server, Oracle, or Postgres
You can also set up replication and deploy services to allow for editing in multiple places. Have replicas syncing to the central database or connect to a service from ArcGIS Online or Enterprise. This allows you to get your data into the hands of those that need to work with it without needing to constantly reconcile changes.