Waterfall methodology: 5 steps to manage your project, waterfall style

The Waterfall methodology is a highly applicable project management approach. It is characterized by its clear and strict sequence of stages, where each project phase must be completed before proceeding to the next.

This article will provide comprehensive insights to help businesses understand the Waterfall methodology, its benefits and drawbacks, and how to apply it to project management effectively.

What is Waterfall methodology?

The Waterfall methodology is one of the most straightforward project management methodologies. It emphasizes managing a project through a sequential and continuous process.

In the Waterfall methodology, each project phase is executed in a specific order, with a new phase beginning only after the previous one has been fully completed. This linear approach ensures a clear and logical progression throughout the project's lifecycle, reducing the likelihood of errors and misunderstandings.

History of the Waterfall methodology

The Waterfall methodology originated in industries such as manufacturing and construction, where making changes to product designs during development was costly and complex, especially after the project had already commenced. Projects were divided into sequential stages to minimize risks and costs, with each stage beginning only after the previous one had been completed and approved.

The Waterfall methodology gradually gained popularity in software development in the 1950s and 1960s. Herbert D. Benington introduced it at the “Symposium on Advanced Programming Methods for Digital Computers” in 1956.

By 1970, Winston W. Royce proposed a detailed chart for the software development process, laying the foundation for a complete Waterfall methodology. Royce also offered several suggestions to address the limitations of the early Waterfall methodology, such as the importance of reporting progress at each stage of the project.

5 stages of Waterfall methodology

In project management, the Waterfall methodology consists of five stages: Requirements, Design, Implementation, Verification, and Maintenance.

Stage 1 – Requirements

During the Requirements stage, the project team develops a comprehensive plan for the entire project, gathering and documenting all the needs of the customers and stakeholders. The information collected during this stage includes:

• Project scope and timeline: What are the project's goals? What are the customer's expectations for the quality of the final product or service? How long is the project expected to take? What are the related costs?
• Stakeholder expectations: What do customers or partners genuinely want from the project in terms of both timeline and deliverables? The project team must clarify all stakeholder expectations upfront since they will have limited involvement once the project begins.
• Market research: This information is crucial for every product development cycle. Depending on the product, the project team may need to research competitors, market conditions, and other relevant factors.

Stage 2 – Design

At this stage, the information and data gathered in Stage 1 are translated into concrete "blueprints." The Design stage typically includes two key steps:

• Step 1 – Logical design (High-level design): The project team proposes feasible ideas and develops a theoretical plan to transform these ideas into the final product.
• Step 2 – Physical design (Low-level design): The project team refines the theoretical ideas into a more specific plan, including budget, timeline, resources, and other factors. A comprehensive product design is also established.

Stage 3 – Implementation

During this stage, the project team begins the actual production of the product based on the previous plans and process documentation. Activities during this stage include:

• Task assignment: With a detailed design plan, the project team can utilize tools like Gantt charts to assist with task assignments.
• Progress tracking and resource management: Close monitoring is essential to minimize potential errors.
• Progress reporting to stakeholders: Although the Waterfall method typically limits customer interaction during implementation, the project team should still provide periodic progress updates—especially for large, complex projects.

Stage 4 – Verification

Before any product or service can be commercialized, it must undergo testing. Business projects are no exception. This is often the most stressful stage in the process because some exciting ideas from the early stages might be discarded at this point, and any severe issues could mean starting the project over.

During the Verification stage, it's crucial to ensure everything functions correctly and that all customer requirements are met to a high standard. The features and operation of the product or service must be thoroughly tested to avoid negatively impacting the customer experience.

Stage 5 – Maintenance

This stage occurs after the project team delivers the final product to the customer. However, the nature of this stage can vary depending on the product and the prior agreements. In some cases, maintenance might continue until the customer is satisfied. In other circumstances, maintenance could be ongoing indefinitely if the product is launched to the market.

The main activities during the Maintenance stage include:

• Addressing unresolved issues, bugs, or defects not fully dealt with during the Verification stage.
• Receiving and acting on customer feedback.
• Improving the product or service and providing updates to customers.

Even with significant investment in quality control processes, some issues might still be overlooked. Typically, these problems only come to light when customers actively use the product or service and provide feedback.

Example of Waterfall methodology in marketing project management

The Waterfall methodology can be applied across various fields, including marketing. For instance, when implementing a marketing campaign for a new product, a business might follow these steps:

- Requirements stage: The marketing team conducts market research, gathers information about target audience, and determines the campaign’s objectives, key messages, and overall goals.

- Design stage: Based on the collected data, the marketing team selects the appropriate marketing channels, creates a detailed rollout schedule, and defines the necessary budget and resources.

- Implementation stage: The team executes the campaign according to the pre-established plan. Activities like social media advertising, Google search ads, and email marketing are carried out on schedule.

- Verification stage: The team monitors and evaluates the effectiveness of the above activities, making adjustments as needed. They also draw lessons for future campaigns.

- Maintenance stage: The marketing team maintains and optimizes the ongoing marketing campaign, ensuring the business objectives are maximized.

Pros and Cons of Waterfall methodology

Pros

• Clear project structure: The Waterfall methodology helps managers and team members understand the output requirements, goals, and the roles and responsibilities of each individual in the project.
• Simple: The Waterfall methodology discourages sudden changes after the information-gathering stage. Therefore, it is mainly suited for projects with stable requirements that don’t need significant changes across different stages.
• Easy progress tracking: The Waterfall methodology clearly defines milestones and specific goals, helping the project team adhere to deadlines, ensure the quality of deliverables, and easily track progress.
• Risk reduction: Since each stage in the methodology must be completed before proceeding to the next, businesses can better anticipate and manage risks.

Cons

• Lack of flexibility: For large projects, breaking down the project into sequential stages can reduce flexibility and adaptability. Moreover, changes after stage 1 might require significant effort and resources to restart from scratch, leading to potential delays and increased costs.
• Limited customer feedback: In the Waterfall methodology, testing and customer feedback usually occur late in the project. This delayed discovery of issues and subsequent adjustments can complicate the process and increase costs.
• Higher potential for failure: The Waterfall methodology limits stakeholder involvement, increasing the risk of project failure if initial requirements are misunderstood or overlooked. Therefore, it is crucial to invest considerable time and resources in detailed planning.

Waterfall vs. Other project management methodologies

Waterfall vs. Agile

Agile is a flexible project management methodology that uses short iterations, typically 1 to 4 weeks, to minimize product development time. It emphasizes flexibility, which is reflected in its iterative and incremental approach.

Let's compare the key characteristics of Waterfall and Agile:

Waterfall vs. Scrum

Scrum is a project management methodology based on Agile methodology, commonly used for projects of all sizes, including those requiring fixed timelines.

Here are the differences between Waterfall and Scrum methodology:

Waterfall vs. Kanban

Kanban is a project management method rooted in Japanese practices. It focuses on developing and improving production and business activities by balancing workload demands with available resources.

The differences between Waterfall and Kanban methodology are highlighted below:

When to use Waterfall methodology

Although the Waterfall methodology is widely adopted in project management, it is not universally applicable across all scales of production or business. This methodology is best suited for the following types of projects

• Projects with specific objectives: The Waterfall methodology provides a clear roadmap from point A to point B, allowing project managers to develop a detailed and specific plan by working backward from the final goal. A typical example is product development projects based on customer orders.
• Projects with ample development resources: The Waterfall methodology should be applied to projects with no significant constraints in terms of budget, expertise, technology, etc., allowing team members to plan thoroughly in the initial stage. This approach helps minimize unwanted issues in later phases.
• Small or short-term projects: Because the stages in the Waterfall methodology occur in a fixed sequence without overlap, it is pretty suitable for small-scale projects with short completion timelines.

Conclusion

The information provided offers a thorough understanding of the Waterfall methodology, highlighting its strategic value and ease of application in project management. Waterfall is clearly a practical and effective approach that businesses should consider incorporating. However, to maximize its benefits, project managers must carefully assess the specific nature and requirements of each project to determine if the Waterfall methodology is the most suitable approach.