An UML diagram can show the structure and logic of an object oriented program (you can also draw diagrams for non-object oriented programs, but UML was designed with object orientation in focus). Thus the understanding of the whole development team increases, when you have such a diagram. Particularly of course in the design phase, drawing such diagrams helps the software architects to focus on the structure and develop a clear understanding of what shall be implemented, before writing any coding.
It is fact, that in software development, when an error is recognized sooner, it is much less costly to fix. So, when first drawing diagrams (without overdoing it), the possibility rises, that problems can be spotted earlier on and thus much wasted coding can be averted.
But UML diagrams can also be used to train new team members because it documents the structure of the program. Also in maintenance it is an invaluable resource for understanding the structure and functionality of the application. It is in software development similar what the floor-plan of a building for an building-architect is.
But of course, to be really valuable, those diagrams also must be updated when the application itself is changed.
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