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Try to normalize the tables as much you can....And then do all your programming in your Stored Procedures avoid much programming at application back-end level....this will reduce your headache in future if you update your system constantly.....or you are eager to use the system on multi platforms....
Once you have did you programming you can build on your stored procedures....DAL (Data Access Layer), BOL / BLL (Business Object / Logic Layer).......then you can compile them to run-time assemblies and can you use them on multi platforms....
Understand the FD exactly.
Achieve TD from FD.
Imagine UI with respect to DB side by side.
Identify importance of work flow b/w different modules.
Identify strong FD with respect to Keycolumns.
Derive tables with help of FD and TD.
Finally think about the relations, check constraints, normalization
Ø For unlimited hierarchical data self-reference PK and FK
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