AI in the SDLC: Rethinking AI Coding Tools & AI Agents

0:00 When I talk to developers, a lot of folks are worried about how AI might take their job. Maybe they've been pressured to pick up a new AI-assisted coding tool, or they're being told to become AI native. But what does this all really mean? And what should you be doing to prepare yourself for the future? Well, most people think that it's because of productivity gains and how AI can make software development easier. But a model evaluation and threat research organization published a controlled study on open source developers.

0:29 Who thought that they were 20% faster thanks to the coding tools that they were using. Now, turns out they were actually 20% less productive and slower because of these new tools that were introduced. So the question isn't, can AI write code? Yes, it definitely can, but why isn't AI translating into real improvements across this entire software development lifecycle? So let me explain. Let's draw out the typical software delivery lifecycle, where we begin with determining the requirements for our application, designing what this ideal system would look like, building this, so actually coding and being able to test these features that we built, releasing this in a stable and predictable way, and then operating, which means maintaining this application.

1:17 Well, this is how we've delivered high quality software for decades, but let me give you a little secret. A lot of the time that you would think spent in this entire lifecycle is not spent writing code. It's the waiting from a, for example, developer waiting on the product team in order to clarify a story that we need to build out, or to, let's say for example, ops, ops waiting on developer for their release. And then, hey, QA is over here and QA needs to test out a new build.

1:51 So everyone in this entire lifecycle, all these teams, all these engineers are waiting for each other across a series of fragmented tools and platforms in order to just deliver software. And these environments might be different because what the QA and production team sees is gonna be different than staging and the product team who are just trying to build out these features and test things out. And when AI makes one box in this diagram faster, so for example here, with the coding part, well those gains get absorbed by all of the other phases and you don't see that big of an impact for the entire software delivery lifecycle.

2:31 So sure, maybe you're coding three times faster, but the surrounding processes aren't changing, but just not yet. So typically when teams try to use AI for the build phase, a lot of them fall in one of two situations and you can kind of think of it like a spectrum. So on one end, you have over delegation, where you hand a frontier model a big ambiguous problem, like, hey, I want you to code me an e-commerce platform.

2:57 And you expect that to run autonomously across this entire software delivery lifecycle. But the problem with this request is it's full of unstated decisions. What about the payments, the authentication, the shipping, all of these that typically would be thought of during the requirements and the design stage has now been hand it over to one model to do everything and generate thousands of lines of code that they didn't read through. And this process seldom works, especially for production, because review is slow.

3:27 And so in this stage of testing, you're typically waiting for a team to be able to review your code. And that requires so much time that you essentially lose all of these gains where you typically would be able to build code faster because you're not able to review and you're constantly going back and forth based on decisions that a model did. So you slow down the software development lifecycle. On the other end is under delegation. So let's say for example, a senior developer does all of the planning and they break down the tasks themselves.

4:00 And they're inserting AI into specific areas like, hey, write this function or review this code for SQL vulnerabilities. Now, this part actually produces good code. But the intellectual heavy lifting now is still 100% human. So you're putting all of the time and effort into these first two places, but without using AI. And that slows down productivity, because yes, you might be coding some parts faster, but you're still spending a lot of time on the design and architectural stages of the software development lifecycle.

4:34 At this point, you may be thinking, well, dang, AI doesn't work. It's all hype. Or maybe you're in the other camp. You think, hey, it's fine, but it's not useful, and it's the 10x in productivity that we thought it would be. So what happens when you redesign the lifecycle around AI instead of sticking AI onto the existing lifecycle? Well, instead of trying to generate more lines of code, let's look around to other high-impact areas, starting with the requirements and design, where now lots of unstructured data coming from surveys, user reports, emails.

5:07 Conversations with stakeholders. All of this can be synthesized to understand your user behavior bottlenecks and usage patterns. This can help us to generate user stories, which then builds out the next set of features and capabilities for the software we're trying to deliver. Or as an example, we can use an agent to analyze logs and bug reports to identify root causes of problems. And this over here can even help us at this beginning stage of requirements and design.

5:37 To develop our software by knowing what works and what fails in production. Now, let's talk about coding because the vibe coding of today simply doesn't scale. Instead of asking AI to build entire systems, we can focus on small and well-defined tasks. This is where spec-driven development becomes really important, not just for breaking work into tasks, but taking the intent that we have for the software we need to build and turning that into a specification that a model can read and follow.

6:07 So your agent, or the harness which includes the entire system around the agent like tools, allows us to take that original specification and build it out with subagents. So one to do, say for example, research on a specific topic and dependencies you're using. One to use with MCP servers in order to pull data from different sources your team needs. And then one to do code editing in order to build out the new features and functions that allow us to create this next set of features in the software development lifecycle.

6:43 Being able to use different capabilities like the agents.markdown, allow us share context around different teams in our organization, and be able to you skills to make sure that each time we get an output from a model, whether it's one that's running locally or a private one or something in the Cloud, we're getting the same response back as we're building out our application. Now, moving to testing, because we know manual testing is a classic bottleneck, but just as AI models can generate code, we can also build unique test data for, say for example, unit testing specific cases that might come up in our application, and we can do this even directly from a user's story, and this can all help the QA team down the line, but with the amount of log data generated by our applications, AI can help diagnose problems like a stack trace error that might be helpful when the system goes down at 3 a.m.

7:40 Finally, with deployment where we release and maintain our software, well, models are well-trained with infrastructure as code. And so writing things like Ansible scripts in order to update virtual machines or Kubernetes YAML in order to deploy our containerized applications to the hybrid cloud, well, all of this is already possible with today's agents. Now a big use case for AI and software development is modernizing, whoa, legacy software systems that no one really understands and the original developers aren't around anymore to maintain.

8:13 And what AI is able to do is explain this code and help us to reverse engineer systems to give you a path forward. So you can still use a software development lifecycle, but use AI to understand what the purpose of the code was and what functions do in a language that you might not understand. But the productivity gain from AI isn't because of a better model or tool. It's from redesigning the software delivery lifecycle around the model.

8:38 Like moving the human role from typing to validating and working with other teams in the organization. We're removing friction and coordinating work across the software development lifecycle. And instead of measuring metrics like the lines of code generated, it's all about outcomes. So how's the health of our systems? What's our code maintainability and complexity? And are we reducing the time for changes and new features in the software? And all of this is to make the developer's life easier all around, but also all of the teams that developers work with.

9:09 So if you found this topic interesting, let me know what we should cover in the next video. And feel free to like the video if you learned something today.