The software for programming/parametrizing is a platform independant, graphical desktop application. It runs on Windows, Linux and Mac. To keep it short, we just name it “Suite”.
An XML file defines what your kdevice can do (and what not). So each devices type needs such a “device definition” with the fileending “.kdevice.xml” (f.i. MyDevice.kdevice.xml). The XML contains a name/ID for the device, which communication-objects it has and of course what parameter you can set/configure. It’s kind of similar to the “ETS product database” (.knxprod/.vd4) file you should already know.
With help of this XML file you can add new devices, give them an individual address, associate group addresses with the communication objects, setup parameters and finally push the complete configuration via KNX bus to the device with just one click (and one initial button press on the device).
Here’s the link to the suite downloads: