In-memory caching is a pattern where data is stored temporarily in the program's memory to speed up repeated access. When a request for data comes in, the program first checks if the data is already in the cache. If it is, it returns the cached data immediately, saving time. If not, it fetches the data from a slower source like a database, stores it in the cache, and then returns it. This way, subsequent requests for the same data are faster. The example code uses a Map object as the cache. The execution table shows the steps: first call misses cache and fetches data, second call hits cache and returns data quickly. This pattern helps improve performance and reduce load on external data sources.