Creating links is done with the ln command. Say you want to create a link to the reports database on the /data directory. To create a hard link to this directory, enter the command (from within the directory you want the link to be):
ln /data/reports
Now, let's suppose that database is on a different drive. For this you need to create a soft link (or symlink) like so:
ln -s /data/reports
Remove links with the standard Linux rm command like:
rm ~/reports
The above command would remove only the link created in your home directory. Any time you use that file, when you save data, the saved data would be immediately reflected in the original file that you linked to.