Paneling is generally done to add warmth and elegance, and yet is affordable; they have become today's most attractive decorating option. Paneling can be found in living rooms, dining rooms, libraries, family rooms, bedrooms, entry foyers, and along staircases. Paneling is such a popular addition to homes because; it is steeped in tradition and has been a symbol of status, of wealth, and of excellent taste. The reason it rose to such prominence is the other explanation for its popularity. It's meant to look good and to be noticed, no matter where you choose to have it installed.
Technically, paneling means decorative treatment of walls, ceilings, doors, and furniture consisting of a series of wide, thin sheets of wood, called panels, framed together by narrower, thicker strips of wood.

It is directly attached to the walls, floors, ceiling, etc to provide a decorative finish, and to provide sound and heat insulation. It is the easiest way to change the appearance of you room by covering it with panels.