AKC began offering obedience trials in the mid-1930s. More recently, a new form of obedience competition known as rally obedience has become popular. Rally exercises are taken from the obedience practice of doodling -- doing a variety of warm up exercises to prepare a dog for the precision required in obedience. In a rally trial, the judge says "forward" and competitors navigate a course by reading signs that indicate different exercises to perform. Handlers are also allowed to encourage their dogs during a performance.
A good obedience foundation is desirable for many other things you will do with your dog, from being a good house dog to being a a good patient at the vet to being able to work around other dogs in other sports. Continued training to prepare for competition increases the dog's confidence and reliability in responding to commands, both in the ring and elsewhere. Obedience and rally trials give handler and dog a chance to work as a highly tuned team, and can be a fun and challenging hobby.
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