My understanding of DVD-RAM is that you use it just like you would a floppy disk. Once you insert a disk, the computer should ask you to format it, then you can add files to it, read them, open them, re-save them, etc etc etc, right on the disk.

Unfortunately, a bootable DVD-RAM will probably never exist, and also unfortunately, if they work in system 8/9 at all, you'll likely need to be running system 8.6 or later so that it has all of the correct support files. (as per the wiki page about dvd ram http://en.wikipedia.org/wiki/DVD-RAM )