Data classification overview

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Data classification helps organizations understand and protect their data by identifying, categorizing, and tagging information based on sensitivity and business needs. Classifying data ensures that protections, such as encryption and access controls, are applied consistently. It also helps organizations meet compliance requirements and manage risks associated with sensitive information.

How data classification works

Microsoft Purview provides built-in capabilities to classify data, helping organizations protect sensitive content across Microsoft 365 services. These classification methods allow organizations to detect and manage structured and unstructured data at scale:

• Sensitive information types (SITs): Identify structured patterns like credit card numbers, Social Security numbers, and keywords using predefined or custom detection rules.
• Trainable classifiers: Use AI to recognize content based on context and meaning rather than specific keywords. Organizations can create their own classifiers by training them on real-world examples.

Where data classification is used

Data classification is integrated into Microsoft Purview solutions that help organizations protect and govern their data:

• Information protection: Supports sensitivity labels and encryption to classify and secure data.
• Data loss prevention (DLP): Prevents unauthorized sharing or transfer of sensitive data.
• Data lifecycle management: Supports retention and deletion policies to manage content throughout its lifecycle.
• Records management: Applies retention labels and legal holds to maintain regulatory compliance.
• Communication compliance: Detects sensitive or inappropriate content in workplace communications.

Why data classification matters

Proper classification ensures that security, compliance, and governance policies are applied effectively. Organizations gain better visibility and control over their data, helping prevent accidental exposure, enforce compliance requirements, and apply the right protections without disrupting productivity.