Agile development or Waterfall

Before developing the application itself, it is necessary to decide whether we will develop the application using an agile method or the Waterfall method. What does this mean for us?

Waterfall development
Waterfall development takes place in such a way that we have a complete assignment. We hand it over to the developers and expect that we will receive exactly this assignment processed in the form of an application for a pre-known price and on an agreed date. (so-called fix time - fix price). At first glance, this method sounds ideal. The customer knows exactly what he will get and how much he will pay. At second glance, it is necessary to realize that in order for anyone to commit to a fixed price and stick to it, he must also include previously unknown factors in this price. A custom-developed application is not the same as mass production, where it is clear to everyone that each piece will cost the same. Each custom development is unique. The price of a custom-made application can therefore only be estimated at best based on the required functionality written in the project and experience with previous similar projects. The price will always include a so-called reserve so that developers can be sure that they will fit in the promised time. The reserve usually ranges between 5-20% of the total price. The larger the application, the harder it is to estimate the complexity and price, and the larger the reserve must be.
Agile development
The second option is agile development. In agile development, a task is also created at the beginning, based on which it is possible to give an initial price estimate and according to which development will begin. Agile development takes place after so-called sprints - short periods of time (typically 2-3 weeks), when together with the customer, we plan in advance what exactly will be done. The result is a given part processed in such a way that the customer can try it out and evaluate it himself. Based on this, he can then decide whether it is necessary to develop the given part further or whether he can move on to another functionality. The customer thus largely manages the project himself. The advantage of this approach is the possibility of a faster start of the development itself and the subsequent creation of the application so that it is always in line with the customer's current needs. The advantage of management by the customer can also be a disadvantage, because it requires the customer to be involved in the project even during its implementation. Another disadvantage occurs in a situation where the customer starts to so-called 'invent'. The functionality of the not yet completed The application is constantly expanding, which also increases the price. This disadvantage can be corrected by continuously creating reports on where the development is currently compared to the plan. Thanks to this, the customer can continuously see estimates of how much it will cost to create the entire application.