What is a RDM and when would i use a RDM vs a regular vm?
Typically you would use RDMs when you want to use Microsoft Cluster Service (MSCS) or you want to make use of SAN snapshots.
what other uses is it for?
SAN Management agents is another use for RDM.
Check out Chapter 8 of the "Server Configuration Guide" at the for a lot more info about when and why to use them.
Best practice seems to be to only use RDM when you have a very specific need for them, like Microsoft clustering or SAN agents, snaps, etc.