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Capability-Driven Development (CDD)

A capability-first approach to designing AI-enabled software systems


Overview

Capability-Driven Development (CDD) is a practical, capability-first approach to designing AI-enabled software systems.

It provides a structured method for translating human, organisational, and institutional capability requirements into concrete system design decisions — before architectures, automation, or implementation choices are made.

CDD is designed to be used alongside the CloudPedagogy AI Capability Framework, helping builders, designers, and institutions ensure that AI-enabled systems remain responsible, governable, and defensible as technologies evolve.


Why Capability-Driven Development Exists

The CloudPedagogy AI Capability Framework defines what responsible AI capability looks like across six domains:

  • awareness
  • co-agency
  • applied practice
  • ethics and equity
  • governance
  • continuous learning

However, many organisations struggle with a practical gap:

How do we actually design and build software systems that embody those capability requirements?

In practice, AI-enabled systems are often developed by:

  • starting with tools or platforms
  • automating tasks before defining human oversight
  • addressing ethics and governance after deployment
  • treating capability as training rather than design

Capability-Driven Development exists to close this gap.

It ensures that:

  • capability requirements are defined before automation
  • human judgement is designed into systems, not added later
  • governance and accountability are treated as design constraints
  • systems can evolve without undermining institutional responsibility

Relationship to the AI Capability Framework

The relationship between the two is intentional and explicit:

AI Capability Framework
→ defines WHAT responsible AI capability is

Capability-Driven Development → defines HOW to design and build systems that embody that capability

Key principles of this relationship

  • CDD does not replace the AI Capability Framework
  • CDD assumes and applies the Framework
  • The Framework can be used without CDD
  • CDD should not be used without reference to the Framework

The Framework provides the normative foundation;
CDD provides the procedural design method.


What Capability-Driven Development Is (and Is Not)

CDD is:

  • a software and systems design approach
  • capability-first, not technology-first
  • explicitly concerned with human–AI boundaries
  • grounded in governance, ethics, and accountability
  • applicable to AI-enabled systems in education, research, and public-interest contexts

CDD is not:

  • a tool or platform
  • a maturity model or compliance checklist
  • a prompt-engineering guide
  • a replacement for institutional policy or professional judgement

CDD supports responsible design — it does not automate responsibility.


The Capability-Driven Development Method

At its core, CDD follows a deliberate design sequence:

  1. Capability intent
    Define the human and institutional capabilities the system must support.

  2. Human–AI boundaries
    Specify where AI assists, where humans decide, and where escalation occurs.

  3. Ethics, equity, and risk
    Identify foreseeable harms, exclusions, misuse, and unintended consequences.

  4. Governance and oversight
    Design accountability, traceability, review, and contestability into the system.

  5. System design and architecture
    Select architectures and implementation patterns that respect earlier constraints.

  6. Evaluation and monitoring
    Determine how the system will be reviewed, audited, and improved over time.

  7. Iteration and change
    Plan for adaptation as technologies, contexts, and expectations evolve.

  8. Retirement and deprecation
    Design for graceful shutdown, replacement, or withdrawal where necessary.

This method is described in detail in the /method directory.


Repository Structure

This repository is organised to support practical application and long-term evolution.

/foundations — Scope, Purpose, and Framework Alignment

Clarifies the purpose, boundaries, and positioning of Capability-Driven Development, including its explicit relationship to the CloudPedagogy AI Capability Framework.

/method — The Capability-Driven Development Method

The procedural core of Capability-Driven Development, outlining the ordered design steps for translating capability requirements into system design decisions.

/design-artifacts — Capability-Led Design Templates

Reusable templates for documenting capability intent, human–AI boundaries, governance, risk, and evaluation within AI-enabled system design.

/patterns — Capability-Aware Design Patterns

Technology-agnostic design patterns for implementing capability requirements responsibly, including oversight, delegation, fallback, and contestability.

/examples — Applied System-Level Illustrations

Illustrative system-level examples showing how Capability-Driven Development can be applied in real design and development contexts.

/ai-assisted-reflection — Optional AI-Supported Design Reflection

Optional prompts to support human reflection and sense-making during system design.
These resources are explicitly secondary to the method and do not automate decisions.

How This Repository Is Intended to Be Used

Capability-Driven Development is most effective when used as part of a broader capability development journey:

  • Assess current capability using the AI Capability Framework
  • Design systems using Capability-Driven Development
  • Implement systems via applied Labs or projects
  • Reflect and adapt as contexts and technologies change

CDD supports designers, developers, learning technologists, and applied researchers who are building real systems where AI use must remain responsible, governable, and defensible.

Status and Evolution

Capability-Driven Development is a living method.

  • The AI Capability Framework is intentionally stable
  • CDD is expected to evolve through applied use
  • Changes are documented via versioning and changelogs
  • Individual documents may be marked Draft, Stable, or Deprecated

Stability is treated as a governance concern, not an assumption.

License

This repository is released under the
Creative Commons Attribution–NonCommercial–ShareAlike 4.0 International License (CC BY-NC-SA 4.0).

You are free to share and adapt the material for non-commercial purposes, provided appropriate credit is given and derivatives are shared under the same licence.

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