I would like to know How can I add additional category or step to the workflow life cycle screen, such as adding a "QA step" between the "In progress" step and the "Done" step.
First you need to add a status (e.g. "In QA" or something like that)
Then you need to edit your workflow (or create a copy) and add a step linked to that new status, add transitions as well.
Start reading this: https://confluence.atlassian.com/display/JIRA/Configuring+Workflow
I was referring to the agile board configuration if the work flow that has been set up is simplified work flow.
Under columns , you must be able to see if it is agile simplified workflow that is set:
Please share the screen shot of your agile board at Configure --> Columns
If you are using Agile Simplified workflow, you can configure the board at Columns.
You can add a new status and add a column straight away from here.
If you are adding customized work flow, your work flow has to be updated with the new status. In this case , the new status will be listed under unmapped statuses.
At agile board, you can add a column and map the newly added status beneath that column.
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