A Sankey diagram is a visual representation in the form of flow. This flow gets distributed according to the dataset and flows towards other nodes. Links are the points where flow meets nodes. These diagrams highlight the width of flows with their distribution visually.
Why do you need it?
We need a Sankey diagram to show many-to-many relationships. This diagram is really useful for leaders to stand out from the data. We should keep in mind not to use complex data by this diagram, as it may conceal the desired output instead of highlighting.
What kind of data you can visualize with it?
A Sankey diagram is best suited to data that indicates flow. If you have data on the flow of energy in a system, then this diagram could be the one for you. The place where the width of flow is more indicates that it consumes high energy and can be improved instantly. Other examples of such datasets are material flow, the flow of money, etc.