
Data modeling, at its core, is the process of transforming raw data into meaningful information. It involves creating representations of the structure and organization of a database. These models are often created using charting software that allows business analysts to define tables, fields, and relationships between tables.
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Data modelers use these diagrams to create an accurate picture of how databases look before they are created, allowing them to plan what needs to be included in the design phase. In addition, data modeling helps identify data, where it comes from and how it is used. It also helps businesses comply with regulatory requirements such as privacy and security. In this comprehensive guide, learn how data modeling works and what tools and resources are available.
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Data modeling explained
Data modeling is the process of designing and creating a data model from a real-world business, system, or phenomenon. Many types of models are used in data modeling, including relational diagrams, entity-relationship diagrams, and decision trees. All of these models are created to help make sense of large volumes of information and find patterns or associations in the data.
Data models typically contain three components: entities, attributes, and relationships. The purpose of a data model or diagram is to map the various components of a problem and how they relate to each other. A typical diagram begins with an overview of the modeled system, which covers the attributes of each component, the relationships with other components, the input and output flow between components, and constraints.
Putting these pieces together creates a logical picture that anyone who understands the system should be able to read. An entity-relationship diagram can also include multiple diagrams per component: one that describes its internal structure and behavior, another showing its relationship to other components, and another showing the constraints imposed by external factors. Creating a clean and accurate data model helps companies make informed decisions about database design.
Types of data models
Conceptual data model
Conceptual data models provide a high-level understanding of a system and how entities relate to each other. It is a way of representing an organization’s data and procedures as a unified whole. It also helps identify the need for design changes and modifications to achieve organizational goals.
Logical data model
Logical data models detail how entities in the conceptual model are mapped to tables, fields, indexes, and relationships within a relational database. For example, a relational table might represent an entity such as a product order. The table columns correspond to various order properties, such as customer ID and total cost. When related data from multiple tables is joined in a query, this process is called JOINS.
Physical data model
The physical data model specifies how physical structures such as databases will store data, including formats for tables, indexes, rows, and columns. Its main purpose is to show what kind of hardware and storage configuration will be needed for the proposed database.
Key Features of Data Modeling Tools
Data modeling tools vary in their scope, but they all provide ways to visualize data sets and find insights. Common features of the data modeling tool are categorized as follows:
Main modeling features
- Support for different types of data models
- Creating custom fields with defined attributes
- User-defined relationships for constraints and entities
- Model subsets and model validation
- Definition of atomic data elements
- Definition of Business Vocabulary
- Development of new models from existing models
- Collaborative features
Usability Features
- Object query
- Import and export capabilities
- Managing windows, toolbars and menus
- Easy to use GUI
- Automatic diagram layout
- Build queries with ranking, grouping, filters, and joins
Benefits of data modeling for your business
Data modeling is an essential part of every business. Having a solid and comprehensive understanding of your data can help you make informed decisions and create better strategies for your business. Here are some of the main benefits of a successful data modeling strategy:
- Faster performance: Modeling enables faster processing by establishing an organized foundation for storing and accessing information.
- Reduced risk: Data modeling reduces risk by identifying gaps or inconsistencies between data sets. This saves companies time and money as they resolve their issues before they become bigger.
- Improved efficiency: Modeling streamlines processes and eliminates redundancies that could be costly for a business to keep on its books.
- Better decision making: It enhances decision-making capabilities by helping leaders identify trends and patterns within their business operations. They can then use this knowledge to make smarter choices about their strategy.
- Increased precision: Accurate data ensures that managers make smart investments without wasting resources on wasted effort.
- Fewer errors: A well-organized system eliminates typos, errors, and other unintentional errors from a company’s information system.
- Reduced workload: Employees can focus on higher-level tasks with less repetition and duplication of tasks while ensuring the necessary work gets done.
- Cost reduction: Data modeling may seem like an extra step in the process, but it pays off. The process can prevent oversights and potential problems that often cost businesses dearly.
- Democratization of data: Data models often make it easier to interpret and understand business data. This means that the organization’s stakeholders can effectively use the data to their advantage.
Examples of data modeling solutions
Businesses can use data modeling tools to create a model of the desired system and generate a corresponding database design. Additionally, developers or business analysts can use the solution to create and visualize complex models. Here are some of the most commonly used data modeling tools across business types and industries:
erwin data modeler

Quest’s erwin Data Modeler enables users to search, filter, design, visualize, deploy, and manage data while helping them create and refine data models. The program allows users to import data from various sources, including SQL databases and spreadsheets.
erwin Data Modeler can be used for various tasks such as automated data modeling and database schema generation, centralized model development and management, data literacy development, and collaboration. It also includes modules that support advanced data manipulation, data mapping, reports, and dashboards.
IDERA Emergencies/Studio

ER/Studio is an end-to-end physical database design and data modeling tool by IDERA, Inc. It provides tools to build data models for existing databases or new database designs. data from scratch.
This tool enables developers, data architects, modelers, database administrators, and business analysts to create and manage database designs and document and reuse data assets. ER/Studio creates ER diagrams from existing database schemas and provides reverse engineering capabilities to read physical tables, join views, and create new models.
IBM InfoSphere Data Architect

IBM InfoSphere Data Architect is a cross-platform application that enables users to visually design, create, discover, model, relate, standardize and manage databases. IDA includes tools for creating logical and physical designs. It also offers metadata discovery and exploration features that help users analyze existing database structures.
Key features of IDA include native data querying, constant mapping import and export, and source control management. The solution integrates with related products such as IBM Db2, IBM Informix, Oracle, Sybase, Microsoft SQL Server, MySQL and Teradata source systems.