Earlier quoted context omitted.
It's called factoring with subroutines, and Forth hasn't cornered the market on anything by calling them words.
No, but Forth provided one of the nicest, most immediate, and interactive environments to explore a problem. Instead of multiple files in a text editor, you build and test your app live and then dump it all to a text file. I have rarely had that experience with any other language except Smalltalk. I understand some Lisp environments act that way, but Forth was available places Lisp and Smalltalk were not.
The Tcl shell is really great for doing this. Since everything can be represented as a string-type, you're able to introspect your defined procedures and dump them to disk.