Data modeling involves designing and organizing data structures to represent how data is stored, accessed, and related within a database or data system. It creates visual diagrams, such as Entity-Relationship Diagrams (ERDs) or Unified Modeling Language (UML) diagrams, to illustrate the data entities, attributes, and relationships between them. Data modeling helps ensure that data is organized in a way that supports efficient querying, data integrity, and system performance. It plays a crucial role in database design, data warehouse-ing, and business intelligence by providing a blueprint for how data is structured and used. Effective data modeling aids in aligning data architecture with business requirements and improving overall data quality.