Best Methodologies for Enterprise Software Development
Software development methodologies help control the entire process from start to finish. Enterprises are often interested in custom software that can uniquely meet their business needs and goals. The benefits of custom software also include:
- Improved scalability
- Rapid development
- Endless customization and exclusive features
- Long-term cost savings
Software development methodologies help enterprises reduce common development errors while delivering a great product. It is assumed that implementing a structured methodology will reduce disorganization, inefficiency, and missed deadlines.
Each enterprise must clearly define organizational, technical, and project parameters to consider when choosing a methodology. Enterprises can choose in-house development or turn to an outsourced software development team to free up internal resources for other projects.
The Agile development methodology has dominated for many years, but it is not the first or only methodology. There are excellent non-Agile software development methodologies, including Waterfall, V-Model, Dynamic Systems Development Method (DSDM), and Prototyping.
Most Popular Software Development Methodologies for Enterprises
Waterfall Methodology
The Waterfall methodology is a classic software development methodology that originated in the late 1970s to early 1980s. In the Waterfall model, development proceeds in a linear sequence broken into specific phases. Thorough planning and product analysis can save significant time and money. However, if the project is not well thought out in advance, some developed code segments may go unused.
5 phases of the Waterfall methodology:
- System and Software Requirements - the phase of gathering system and software requirements can take up to 40% of the total project timeline. Project managers determine estimated costs, associated risks, success metrics, etc.
- Design - Once system and software requirements are defined, the design phase begins. During this phase, developers determine the best logical design for the system architecture.
- Coding and Implementation - this is the first concrete phase where the software starts to come to life. The enterprise will continue to evaluate design options as it progresses to ensure the final project meets its unique needs.
- Testing - After coding and implementation are complete, functional units undergo thorough testing for full functionality. Each module must meet the expectations outlined in the first and second phases. Unit testing is a critical step in developing a reliable and stable software application.
- Deployment and Implementation - Now that the software application is functioning and has undergone thorough testing, the product is ready for use. Best development teams aim to regularly release new features and security updates.
Agile Methodology
Agile dominates the software development market, even though it was created only in 2001. A unique feature of Agile is its iterative nature. Iterative development allows for fast and high-quality software solutions. Agile has diversified into management frameworks and methods such as Scrum and Kanban. This methodology values responsiveness, customer collaboration, and delivering the most functional software possible.
Agile methodology is based on the belief that a stronger product results from working in small, fast steps. Agile teams can quickly respond to changing requirements and plans. Agile strongly recommends daily stand-up meetings. A daily stand-up, also called a daily scrum, is a short team meeting where members inform the rest of the team about what they are working on, progress, and any issues.
The Agile software development lifecycle includes 6 phases:
- Concept - The enterprise defines expectations and possibilities for the scope and concept, and the development team provides cost and time estimates.
- Inception - Here the bulk of project planning occurs. The project manager selects specialists and team members for the project. Charting helps determine each team member's responsibilities and the overall goal of each sprint.
- Iteration - the iteration phase is the main development phase. The development team starts working on tasks and coding. The workflow during this time includes all key components of standard software development, including:
- Development
- Testing
- Delivery
- Feedback
- Release
- Release - The repetition of the iteration phase occurs multiple times until the final product is complete. Then the team performs a final thorough testing phase, and quality assurance protects the product from problematic bugs. During the release phase, user documentation is created.
- Production - the development team monitors the software's performance and provides regular support to ensure internal and external users are satisfied with the product. This phase lasts as long as the software is in use.
- Retirement - this may be prompted by changes in architecture or other technologies. Retirement is uncommon for enterprise software development, as companies typically prefer major overhauls rather than disposal.

V-Model Methodology
The V-Model is similar to the Waterfall method, but instead of a linear process, it is divided into two main processes: Verification and Validation. These processes form the sides of the letter "V" and meet at the bottom at the implementation phase. The development lifecycle goes through verification stages, an implementation phase, and then moves into the validation phase.
- Verification Process
- Requirements Analysis - the project manager gathers all system requirements that the enterprise expects from its software. High-level managers can review this analysis and provide feedback.
- System Design - creating a blueprint of the system is the main goal of the system design phase. It includes software, network, and hardware requirements. The development team determines methods to implement the software requirements. This phase involves system organization, data structure, menu structure, backend structure.
- Architecture Design - during this phase, the development team works on defining the functionality of each element and component of the software. This is a design-only phase, as no actual coding occurs at this time.
- Module Design - each functionality described in the architectural design is broken down into smaller parts for coding individual sections.
- Implementation
- Coding - Software developers take the information and design developed during the requirements analysis, system design, architecture design, and module design phases and begin coding. Developers typically code in reverse order, starting with simple modules and then integrating them into the system architecture.
- Validation
- Unit Testing - unit test development occurs during the module design phase. Code execution helps identify errors or other issues. Ideally, unit testing should prove that each small unit of code can function independently of other units.
- Integration Testing - Small independent modules cannot create meaningful software without integration and interaction. Failed integration testing indicates that modules are incompatible.
- System Testing - during system testing, developers and management test the entire application. This phase typically involves significant feedback from internal users and focus groups. System testing includes performance testing, stress testing, regression testing, and load testing.
- Acceptance Testing - The V-Model recognizes the importance of user testing. The enterprise conducts acceptance testing to ensure the software is complete and ready for use.
Dynamic Systems Development Method (DSDM)
Originally developed for software development, DSDM is now widely used in project management. DSDM differs from other methodologies in that time and cost are calculated from the outset.
Early in development, enterprise priorities are defined. The software will have a set of "must-have", "should-have", "could-have", and "won't-have" features. This allows the development team to adjust the project to meet its deadlines. If the team is ahead of schedule, they can work on "could-have" and "should-have" items; if behind, they focus on "must-have" and "won't-have".
DSDM also uses an iterative approach to software delivery, with a strong emphasis on the importance of frequent communication and collaboration whenever possible.
Prototyping Methodology
The prototyping methodology works somewhat differently from others. Prototyping is the process of creating an early working model to test a concept. An early prototype is useful for determining what works and what doesn't. It allows developers to identify areas that need special attention.
Prototyping is also an invaluable tool if an enterprise is unsure of its software needs. An early prototype is tangible and allows for important feedback. After receiving feedback, the development team refines the prototype. The prototype is presented to management with each new iteration.
This method is less popular because it can lengthen development time. Without a well-defined project and requirements, developers may stumble. The software may be functional but may lack coherence, have less-than-optimal architecture or system design.
What to Choose?
Project managers, the development team, and enterprise leaders should jointly discuss the pros and cons of each methodology. Agile is popular because it is very effective and can be an excellent choice. Waterfall, V-Model, DSDM, and Prototyping are all effective methodologies if chosen for the right custom software.


