Data classification provides the foundation for applying security controls based on risk and sensitivity, and in this episode, we examine the first part of a two-part discussion on classification strategy. We start by defining common classification tiers such as “sensitive,” “confidential,” “restricted,” and “critical,” each of which guides access control, encryption requirements, and handling procedures. We explain how these labels are applied based on data content, business impact, regulatory mandates, and compliance obligations. A classified dataset isn’t just labeled—it becomes subject to specific technical and procedural safeguards like monitoring, audit logging, and controlled distribution. Classification also supports incident response by helping teams quickly assess the severity of an exposure or breach. Ultimately, good classification isn’t about bureaucracy—it’s about knowing what matters most, and giving it the protection it deserves.