What is CRISP-DM? The Six Phases Explained

The Cross-Industry Standard Process for Data Mining (CRISP-DM) is the most widely adopted framework for structuring data mining and data science projects. This methodology provides a systematic approach that guides a project from its initial conception to its final implementation. The primary purpose of the framework is to offer a repeatable and manageable process that helps teams translate complex business problems into specific analytical tasks. By establishing a clear sequence of steps, CRISP-DM increases the probability of delivering actionable, valuable results.

Understanding the CRISP-DM Framework

The CRISP-DM framework was developed in the late 1990s by a consortium including Daimler-Benz, SPSS, and NCR Corporation, to standardize the nascent field of data mining. The “Cross-Industry Standard” highlights its design as a domain-agnostic model, applicable to any industry, from finance to healthcare. This universal applicability is a core reason for its sustained popularity among data practitioners.

The methodology is not strictly linear; it is a cyclical process involving frequent feedback loops between the phases. Teams often cycle back to an earlier phase, such as returning from Modeling to Data Preparation, when new insights or data quality issues are discovered. This iterative nature allows for continuous refinement of the approach, minimizing the risk of delivering a solution that fails to meet initial business requirements. The framework serves as a flexible blueprint that can be customized to specific project needs.

The Six Core Phases of the Methodology

Business Understanding

The project begins by defining objectives from the business perspective, which is the most consequential step for success. This phase involves clearly articulating the problem the project is intended to solve and the desired business outcome. Teams must assess the current situation, including resources, constraints, and risks, to ensure the project is feasible and aligned with organizational strategy.

This phase also includes defining technical data mining goals and business success criteria, which serve as metrics for evaluating final results. Once goals are established, a detailed project plan is developed, outlining steps, tool selection, and resource allocation for subsequent phases. This thorough assessment prevents effort from being expended on solving the wrong problem or delivering a commercially irrelevant solution.

Data Understanding

Following business goal establishment, the next step involves the initial collection and exploration of all available data sources. Teams acquire the necessary data and load it into the analysis environment to familiarize themselves with its characteristics. This phase focuses on describing the data, examining its surface properties, and documenting details like formats, record counts, and field identities.

A key task is verifying data quality, which involves identifying missing values, inconsistencies, and errors within the datasets. Exploratory data analysis, often through visualization and statistical summaries, is performed to gain initial insights and test hypotheses about data relationships. Findings inform the subsequent preparation stage and may lead to a revision of the initial business understanding if the data proves insufficient.

Data Preparation

Data Preparation is the longest and most labor-intensive phase, often consuming up to 80% of a project’s total effort. The goal is to construct the final, clean, and appropriately formatted dataset for modeling. Tasks include data cleaning, where erroneous or missing values are corrected, imputed, or removed to maintain data integrity.

Data integration involves merging information from multiple sources to create a unified view for analysis. Data transformation is performed, which may include normalizing numerical variables or encoding categorical features for machine learning algorithms. Feature engineering, creating new variables from raw data, is conducted to maximize the predictive power of the eventual model.

Modeling

With the final dataset prepared, the team moves into the Modeling phase, where various analytical techniques are selected and applied. Appropriate modeling techniques are chosen based on the business problem, such as classification, regression, or clustering. A test design is generated to ensure the model’s performance can be objectively measured against unseen data.

The selected algorithms are built and trained using the prepared data, and their parameters are fine-tuned to optimize performance. Different models are often tested and compared to determine which technique yields the most promising results. This phase is experimental, requiring technical expertise to manage the complexities of model training and validation.

Evaluation

The Evaluation phase assesses the model’s performance for both its technical accuracy and its ability to meet defined business objectives. The model’s results are rigorously tested against technical criteria established earlier, using metrics like precision, recall, or accuracy. The team evaluates the model’s impact within the business context, determining if the generated insights are sufficient to justify deployment.

A key decision point occurs here: the team determines if the model is ready for deployment, requires further iteration, or if the project should be terminated. If performance is insufficient or business objectives have shifted, the project cycles back to an earlier stage, such as re-evaluating data or re-engineering features. The evaluation must confirm that the model delivers tangible value aligned with the organization’s needs.

Deployment

The final phase involves transitioning the tested and approved model from the development environment into the operational environment to generate business value. Deployment can range from generating a final report with recommendations to integrating a fully automated predictive system into existing IT infrastructure. A detailed deployment plan must be created, outlining how the results will be consumed by end-users or other systems.

The team establishes a plan for monitoring and maintenance, an ongoing process to ensure the model’s performance does not degrade due to changes in the underlying data or business environment. Once deployment is complete, a final project review is conducted, documenting lessons learned, summarizing results, and formally concluding the project. This review is important for improving future data science initiatives.

Key Benefits of Using CRISP-DM

The adoption of CRISP-DM provides a predictable and standardized structure for managing complex data projects. It establishes a common language and set of expectations that facilitate clear communication between technical data scientists and non-technical business stakeholders. This shared vocabulary ensures that technical work remains focused on delivering solutions that directly address a business need.

By mandating thorough planning, the framework reduces project risk and the likelihood of costly errors later in the process. The requirement for iteration and feedback loops allows teams to adapt quickly to new findings or shifting requirements. The standardized nature of the six phases makes the data mining process repeatable, allowing organizations to create templates and best practices that improve the efficiency of subsequent projects.

Limitations and Application in Modern Data Science

Despite its popularity, the CRISP-DM framework faces limitations when applied to modern, fast-paced data science environments. Developed before the rise of big data and continuous delivery, it can appear rigid and documentation-heavy, potentially slowing progress in agile settings. The original framework does not explicitly account for modern practices like continuous integration/continuous deployment (CI/CD) or MLOps, which govern the automated operationalization of machine learning models.

The methodology’s focus on the technical workflow means it often lacks a formal structure for team coordination and stakeholder communication, which are paramount in large, multi-disciplinary teams. Contemporary projects frequently adopt Agile or Lean Data Science practices, which prioritize rapid, incremental delivery and frequent feedback.

CRISP-DM is rarely used in isolation today; instead, it is often integrated into newer methodologies. Teams use the six phases as a high-level conceptual map for the project life cycle while overlaying coordination frameworks like Scrum or Kanban. This approach manages day-to-day work, ensuring the project remains structured yet responsive to change.