Breaking down the iterative process, step by step

When it comes to launching something — whether that’s a new website or a new car — reveal day is tense. What if your clients don’t like it? What if no one uses it? What if it’s a flop? 

If any of these things happen, it means something was lost along the way. Because no matter how much research you put in, between then and launch day, things change. Maybe the market shifted, or a competitor released something similar sooner. Or perhaps the client’s instructions just didn’t translate well. 

This is where the iterative process shines. Instead of going from start to finish in one swoop, you essentially check in with clients along the way. Not only does this take the stress out of that final reveal — it also gives you a chance to improve as you go — something that’s not possible with more linear, insular approaches. Let’s take a closer look. 

What is the iterative process?

The iterative process is a way of working that builds and improves things over time. 

Instead of planning everything upfront and launching a final product at the end, you make a first version, test it, gather feedback, and refine it in cycles. Each cycle, or iteration, gets you closer to a strong final outcome.

You’re most likely to encounter it in software development and product design. These are high-risk industries with lots of variables. This approach helps teams stay flexible, fix issues early, and make sure the end result meets real needs.

An iterative process has a few key traits:

• Cycles of improvement — Work happens in rounds, with each round refining the last.
• Early and ongoing feedback — Users, testers, or stakeholders give input after each iteration.
• Flexibility — Teams can change direction based on what they learn.
• Smaller risks — Instead of betting everything on a big launch, you improve as you go.

What are the benefits of using the iterative process?

The iterative process has big advantages, especially for teams working on complex projects in fast-moving environments. 

1. Early problem spotting 

Since each iteration includes testing and feedback, teams (and stakeholders) can find issues early. Whether that’s bugs, design flaws, poor user experience, or a lack of resonance with the core market — you can fix them before the turn into expensive mistakes.  

2. Flexibility and adaptability

Markets change and new ideas pop up like mushrooms in the night. The iterative process lets teams adjust their work based on feedback, instead of being locked into a rigid plan.

3. Faster value delivery 

Instead of waiting until the end of a project to release a full product, teams can deliver a basic but usable version early (like an MVP). This means users get value sooner, and teams can improve based on real-world use.

4. Lower risk

By working in small, manageable steps, teams avoid the risk of sinking time and money into something that doesn’t work. If one iteration fails, it’s a setback — not a disaster.

5. Lower costs

Fixing problems early, reducing waste, and focusing only on what works saves money. Teams don’t waste time building features or products that won’t succeed.

6. Better collaboration

The iterative approach fuels ongoing teamwork and feedback. Developers, designers, stakeholders, and users all play a role throughout the process, leading to a stronger end result.

7. Continuous improvement

Every iteration makes the product better. Instead of delivering something “final” and moving on, teams can keep refining and enhancing their work over time.

8. Higher-quality outcomes

Since each iteration builds on the last, improvements happen naturally. Regular testing and feedback cycles mean that by the time the project is finished, it has already been refined multiple times.

MVPs and prototyping

The iterative process often starts with a minimum viable product (MVP) or a prototype. 

These early versions help teams test ideas, gather feedback, and refine their work before investing too much into a dud. While both play a starring role in iterative development, they serve different purposes.

What is an MVP?

An MVP is a working product with just enough features to be useful. The goal is to launch something simple, see how users respond, and improve it over time. 

Example:

A new food delivery app might launch with just three key features:

1. Users can browse restaurants.
2. They can place an order.
3. They can track deliveries.

After app liftoff, the team can gather feedback and decide what to build next, like adding a rating system or faster payment options.

What is a prototype?

A prototype is a rough draft of a product. It can be a simple sketch or a basic model. Unlike an MVP, a prototype isn’t meant for public use. It’s for testing ideas and getting feedback before building the real thing.

Example:

Before creating a new website, a team might design a wireframe (a bare-bones version of a website/app) to show how pages will look and function. This lets them tweak the design without wasting time coding.

Why MVPs and prototypes matter in the iterative process

Both MVPs and prototypes help teams test ideas and improve them without wasting resources. 

• Reduce risk by catching mistakes early.
• Speed up development by focusing on what users actually need.
• Encourage feedback so teams can build better products.

Steps in the iterative process

The iterative process follows a structured cycle, with each step refining the product or system based on feedback. 

While the exact steps may flex depending on the field, the core structure remains the same. Here’s how it works:

1. Plan

This is where you lay the groundwork. Define business goals, and analyze user needs and potential risks before deciding what to tackle in the next sprint (or the first one if you’re just getting started). You’ll also want to articulate success metrics, so you can measure your progress and know when an iteration hits its goals. It also keeps your future decisions objective rather than guesswork-based. 

2. Design

This step focuses on shaping the solution. Sketches, wireframes, technical architecture, prototypes, and system models should all be on your radar. The goal is to create a structure that shapes the development process while keeping everything flexible enough for adjustments as new information comes in. 

3. Implement

Now it’s time to bring those ideas to life! Developers get busy writing code, engineers build prototypes, and designers fine-tune interfaces. The focus is on functionality rather than perfection since this is just the first in multiple iterations. The outcome should be a working version that you can test in the next phase rather than the finished product. 

4. Test

After you’ve launched phase one, it’s time to gather the feedback that will inform the next iteration. Speak to users, stakeholders, and use automated testing systems to gather as much info as you can about how well the implementation worked. 

In software, this could mean unit tests, usability testing, or A/B testing. In product design, it might involve real-world trials or controlled experiments. Remember, the goal here is to identify usability issues or performance bottlenecks before moving forward — not get glowing reviews. 

5. Review

Now it’s time to analyze those test results. This phase helps you find ways to improve in the next iteration. Teams look at what worked and what didn’t and how they can fine-tune the product. Everyone gets involved, from stakeholders to users and team members.

This phase also closes the loop and starts the next cycle of iteration. Go back to step one, rinse, and repeat! 

Examples of iterative processes

Several well-known methodologies use the iterative process. Each one varies in how it structures its cycles and workflows, but they all share the same core principle: improve through continuous feedback. Here’s the ‘who’s who’ of iterative methodologies. Just an overview here because we’ve already written extensively about each one.

1. Agile

One of the most popular options, Agile breaks projects into small, manageable cycles called sprints. These typically last 1-4 weeks. Each sprint delivers a working piece of the product, which teams then test and refine in the next round.

Agile is all about flexibility and delivering value as soon as possible. It’s especially useful when requirements are a little fuzzy or likely to change during the course of the project.

2. Scrum

Scrum is an offshoot of Agile. It organizes work into sprints, with daily standups where the team chats about what they’re doing for the day and whether there are any issues. Key roles include the Product Owner, who defines the product vision; the Scrum Master, who facilitates the process; and the Development Team, who does the work.

At the beginning of each sprint, the team decides which specific tasks to tackle first. They then develop, test, and review each one at the end of the sprint. 

3. Kanban

Kanban is a visual project management method that focuses on continuous delivery. Unlike Agile and Scrum, it doesn’t have fixed-length sprints or iterations. This is because it’s a tool, rather than a philosophy. 

Essentially, managers create a Kanban board (pictured below), with columns representing the stages of work (e.g., “To Do,” “In Progress,” and “Done”). They then add tasks and adjust priorities based on real-time feedback. 

The focus is on limiting work piling up in the “to-do” list so teams can focus on finishing jobs before accepting new ones. 

4. A/B Testing

A/B testing involves testing two variations (A and B) of a product or digital feature with different groups of users. One group interacts with version A, and the other group interacts with version B. You then compare the results to see what people like best. Refine, retest, and repeat. 

5. Lean Project Management

With roots in manufacturing, Lean focuses on maximizing value while minimizing waste. Who doesn’t want that?

It uses an iterative approach similar to Agile but with a stronger emphasis on optimizing processes and delivering value with fewer resources. Teams focus on delivering the simplest, most valuable solution first, then iterating based on user feedback. 

6. Rapid prototyping

This involves a physical model or software prototype that’s created quickly, tested, and refined. The goal is to test and improve the concept before fully committing to large-scale production or development. 

As with every iterative process, it allows teams to explore different solutions, gather feedback, and make more informed decisions as they develop the product. It’s especially valuable in hardware design, as well as software development when exploring new features or designs. 

The challenges of the iterative process (plus tips)

While the iterative process offers many benefits, it also comes with its own set of challenges. Knowing what you’re up against is the best way to overcome it! 

1. Scope creep

Challenge: It can be hard to keep track of all these iterative changes, which puts you in the scope creep danger zone. That’s when the project expands beyond the original plan. If it’s going to happen, it’s usually when new features or requirements get added after each iteration, making the project swell out of control.

Tip: You need to clearly communicate project goals with everyone, including stakeholders. Keep and maintain a defined backlog of tasks. Regularly review the scope to check changes are necessary and aligned with overall objectives. It’s also a good idea to implement a change management process to control additions or modifications. 

2. Inconsistent feedback

Challenge: Iterative processes rely heavily on user and stakeholder input, but gathering consistent, helpful feedback can be tough. If it’s vague, contradictory, or delayed, it’s like hitting mud — not what you want with an agile methodology, Confusion and frustration tend to follow.  

Tip: set clear expectations for the type and timing of feedback. Use structured methods like user interviews, surveys, or usability tests to gather specific insights. Establish regular loops and make sure these line up with both the stakeholder and wider business goals of each iteration. 

3. Resource allocation

Challenge: You’ll need to manage resources (time, people, tools) over multiple cycles. This is tricky, especially when the aforementioned three are limited or teams are managing multiple projects. 

Tip: Plan ahead and break the project down into smaller, manageable iterations that don’t need excessive resources. Prioritize tasks based on impact and feasibility, and use tools like Kanban boards or Gantt charts can help visualize progress and manage workloads and resources across teams. 

4. Staying focused 

Challenge: It’s easy for teams to lose focus during the iterative process, especially when juggling multiple cycles and dealing with change. Constant refinement can lead to a lack of direction and slow progress.

Tip: Make sure each iteration has a clear goal and set measurable acceptance criteria. Use short sprints or well-defined timelines to help the team stay on track. Encourage regular reviews to help keep work aligned with overall objectives while nipping time-wasting detours in the bud. 

5. Overengineering

Challenge: The iterative process is all about regular adjustments — but this can lead to teams over-engineering solutions in an attempt to get everything “just right”. It’s a classic case of the “perfect” being the enemy of the good. And it leads to wasted time, unnecessary complexity, and a product that’s harder to manage. 

Tip: Know when to say enough. Aim for simplicity and function rather than perfection in early iterations (a minimum viable product can help you here). And remember that each iteration is an opportunity to improve, so there’s no need to get everything right from the start.

6. Slow decision-making

Challenge: Iterative processes need regular decisions, otherwise the project stalls. This happens when stakeholders or team members don’t agree on next steps, or when there’s a lack of clarity about direction.

Tip: Set clear roles and responsibilities early on. Make decisions quickly and collaboratively. Hold regular decision-making meetings with all key stakeholders to keep the project moving forward. Encourage quick, data-driven decision-making over prolonged discussions.

7. Balancing innovation and stability

Challenge: The iterative process emphasizes frequent changes, but too much of a good thing can destabilize a product. Balancing new features with the need for a stable, reliable product can be tricky.

Tip: Use incremental changes rather than large-scale shifts. Prioritize changes based on user needs and business value. Implement version control and thorough testing to ensure that new features don’t disrupt existing functionality.

How diagramming tools can help

Want to keep your projects on track and your team aligned? Diagramming tools help project managers break down tricky tasks, map workflows, and track progress visually.

From sprint planning to issue tracking, having a clear visual plan makes it easier to manage iterations and refine your product with every step. With built-in task tracking, version control, and seamless collaboration, Backlog keeps your team moving forward. Ready to streamline your workflow? Try Backlog for free today!