Normalization is a technique for organizing data in a database to eliminate redundancies and anomalies. There are three normal forms - 1st, 2nd, and 3rd normal form. The document provides examples of how to normalize tables to each form by removing repeating groups and partial dependencies. Primary keys uniquely identify each row and are used in the normalization process. Normalizing tables can help reduce data issues like inconsistent updates, insertions, and deletions.