Separate development setup into dedicated file

- Create DEVELOPMENT.md with comprehensive dev setup guide
- Include manual installation instructions (Mac/Linux/Windows)
- Add test running, building distributions, and troubleshooting
- Update README.md with reference to DEVELOPMENT.md
- Cleaner separation: INSTALLATION.md for users, DEVELOPMENT.md for devs

DEVELOPMENT.md

+# Development Setup Guide
+
+This guide is for developers who want to contribute to the Jira MCP Server project or run it locally during development.
+
+## Manual Installation
+
+If you prefer to clone the repository and set up a development environment instead of using `pip install git+...`:
+
+### Mac / Linux
+
+1. Clone the repository:
+   ```bash
+   git clone https://repo.dohatec.com.bd/ai-solutions/mcp-server-jira.git
+   cd mcp-server-jira
+   ```
+
+2. Create a virtual environment:
+   ```bash
+   python3 -m venv venv
+   source venv/bin/activate
+   ```
+
+3. Install in editable mode (with all dependencies):
+   ```bash
+   pip install -e .
+   ```
+
+4. Verify installation:
+   ```bash
+   jira-mcp --help
+   # or
+   python -m jira_mcp
+   ```
+
+### Windows
+
+1. Clone the repository:
+   ```cmd
+   git clone https://repo.dohatec.com.bd/ai-solutions/mcp-server-jira.git
+   cd mcp-server-jira
+   ```
+
+2. Create a virtual environment:
+   ```cmd
+   python -m venv venv
+   venv\Scripts\activate
+   ```
+
+3. Install in editable mode:
+   ```cmd
+   pip install -e .
+   ```
+
+4. Verify installation:
+   ```cmd
+   jira-mcp --help
+   ```
+
+## Running Tests
+
+The repository includes test files for development purposes:
+
+```bash
+# Test Jira connection
+python test_jira.py
+
+# Test MCP API
+python test_mcp.py
+
+# Test issue creation
+python test_mcp_create.py
+```
+
+Before running tests, ensure environment variables are set:
+```bash
+export JIRA_SERVER="http://103.41.111.60:8085"
+export JIRA_USERNAME="your-username"
+export JIRA_PASSWORD="your-password"
+```
+
+## Building Distributions
+
+To build wheel and source distributions:
+
+```bash
+# Install build tools
+pip install build
+
+# Build distributions
+python -m build
+
+# View built packages
+ls -lh dist/
+```
+
+Output will be in the `dist/` directory:
+- `jira_mcp-1.0.0-py3-none-any.whl` — Wheel package
+- `jira_mcp-1.0.0.tar.gz` — Source distribution
+
+## Project Structure
+
+```
+jira_mcp/
+├── __init__.py          # Package initialization & version
+├── server.py            # Main MCP server implementation
+└── __main__.py          # Module runner entry point
+
+jira_mcp_server.py       # Legacy file (now moved to jira_mcp/server.py)
+pyproject.toml           # Modern Python package configuration
+MANIFEST.in              # Distribution file includes
+README.md                # Package documentation
+DEVELOPMENT.md           # This file
+INSTALLATION.md          # Detailed installation guide
+test_*.py                # Test files for development
+```
+
+## Making Changes
+
+1. **Edit code** in `jira_mcp/server.py` (or other files)
+2. **No reinstall needed** — changes auto-apply in editable mode
+3. **Run tests** to verify changes work
+4. **Commit and push** when ready
+
+Example:
+```bash
+# Make changes to jira_mcp/server.py
+# Changes automatically available
+python -m jira_mcp  # Run with your changes
+```
+
+## Updating Dependencies
+
+If you need to add new dependencies:
+
+1. Add to `dependencies` list in `pyproject.toml`
+2. Reinstall in editable mode:
+   ```bash
+   pip install -e .
+   ```
+3. Commit `pyproject.toml` changes
+
+## Creating a New Release
+
+When ready to release a new version:
+
+1. Update version in `pyproject.toml` (and `jira_mcp/__init__.py`)
+2. Update CHANGELOG.md
+3. Commit changes:
+   ```bash
+   git commit -m "Release v1.1.0"
+   git tag v1.1.0
+   ```
+4. Build distributions:
+   ```bash
+   python -m build
+   ```
+5. Optional: Publish to PyPI
+   ```bash
+   pip install twine
+   twine upload dist/*
+   ```
+
+## Troubleshooting
+
+### Changes not reflecting?
+```bash
+# Reinstall in editable mode
+pip install -e .
+```
+
+### Tests fail with import errors?
+```bash
+# Ensure venv is activated
+source venv/bin/activate  # Mac/Linux
+venv\Scripts\activate      # Windows
+
+# Reinstall dependencies
+pip install -e .
+```
+
+### Jira connection errors in tests?
+```bash
+# Check environment variables
+printenv | grep JIRA_
+
+# Ensure Jira server is accessible
+curl http://103.41.111.60:8085
+```
+
+## For More Information
+
+- See [README.md](README.md) for general usage
+- See [INSTALLATION.md](INSTALLATION.md) for end-user installation
+- Review `pyproject.toml` for package configuration details

README.md

@@ -48,35 +48,13 @@ This will:
 - Create a `jira-mcp` command-line entry point
 - Enable `python -m jira_mcp` execution
 
-### Manual Installation (Alternative)
+### Manual Installation (For Development)
 
-If you prefer to clone and run locally:
-
-#### Mac / Linux
-1. Clone this repository:
-   ```bash
-   git clone https://repo.dohatec.com.bd/ai-solutions/mcp-server-jira.git
-   cd mcp-server-jira
-   ```
-2. Set up a virtual environment and install:
-   ```bash
-   python3 -m venv venv
-   source venv/bin/activate
-   pip install -e .
-   ```
-
-#### Windows
-1. Clone this repository:
-   ```cmd
-   git clone https://repo.dohatec.com.bd/ai-solutions/mcp-server-jira.git
-   cd mcp-server-jira
-   ```
-2. Set up a virtual environment and install:
-   ```cmd
-   python -m venv venv
-   venv\Scripts\activate
-   pip install -e .
-   ```
+For developers who want to contribute or run the project locally, see [DEVELOPMENT.md](DEVELOPMENT.md) for:
+- Step-by-step local setup instructions
+- Virtual environment configuration
+- Running tests
+- Building distributions
 
 ---