The 12-Factor App methodology defines best practices for building software-as-a-service (SaaS) apps. It promotes apps that are highly scalable and portable by being self-contained and having their dependencies explicitly defined. The 12 factors cover aspects like codebase, dependencies, configuration, backing services, build and release processes, concurrency, disposability, development and production parity, and administrative tasks. Following the methodology helps apps maximize agility, reliability, and developability.