Coding standards play a vital role in improving software development by promoting consistency, readability, and maintainability in the codebase. By adhering to established guidelines, developers can ensure that their code is easily understood and modified by others, reducing the likelihood of errors. Standardization facilitates better collaboration among team members, as clearer structure and naming conventions help avoid confusion. Furthermore, it aids in debugging and testing, as well as ensures compatibility with various systems and tools. Ultimately, adopting coding standards leads to more efficient development processes and higher-quality software products.