The waterfall model has it's place in Enterprise.  It is a meticulous gathering of data and catching problems before they arise.  It can be cost effective when these items happen.  It is methodical and structured, which developers enjoy. It is, by nature, a very meticulous structure.

But we live in an environment of technology now that embraces speed.  Speed is key when it comes to development and iteration.  Take the examples of Google Chrome, WordPress, and other rapid development projects.  It no longer becomes about the version number, it becomes about getting the best product out there available for the world to use.

Waterfall falls short in the fact that it is based upon the belief that a project will not change or evolve as it goes through its life cycle.  Clients have changing needs, theories don't always pan out, and things always look better (and easier) on paper.  It is these areas that Waterfall hits you the hardest when it comes to rapid development.

For rapid Enterprise development environments, I always recommend using Agile (or a hybrid of such) model of development.  Agile allows you to respond to changes in your plan, your client's needs, and in the overall process.  You have to adapt to survive.  You also have to be fast.  The fastest company or team is the one that always wins.  Focus on being fast first, then focus on the rest.