What does the term 'refactoring' refer to in agile software development?

The term 'refactoring' in agile software development refers to improving code without changing its external behavior. This practice involves restructuring existing code to enhance its readability, maintainability, and efficiency while ensuring that the software's functionality remains intact. Refactoring helps developers eliminate technical debt, making future enhancements easier and less error-prone.

By focusing on the internal structure of the code, developers can make it cleaner and more understandable without altering what the code actually does from the user's perspective. The goal is to create a more optimal codebase that is easier to work with, which aligns perfectly with the agile principles of responding to change and continuous improvement.

In contrast, rewriting the entire codebase represents a more drastic approach that could disrupt existing functionalities. Focusing on documentation rather than code would neglect the importance of code quality itself. Eliminating unnecessary features is related to feature management but does not encapsulate the essence of refactoring, which is more about improving the existing code structure rather than removing elements.