I have come across this term with regard to interior design and architecture. Can you explain it to me?

Space programming for interior design is really just called "Programming" in the industry. It's the analysis of current user space (what works well and doesn't work well) with relation to user comfort and function. It takes up a good 1/3 of the total design process and is essential for any big design project. It often includes user occupancy surveys, light metering surveys, occupancy mapping (looking at travel patterns in the space) a complete analysis of the profiles of each user, etc etc. The result of the programming phase often comes in a bound packet that is used to support design decisions down the road.

This is different from "Space Planning" which is the planning of architectural elements and furnishings, which comes much further down the road in the process.

The definition set forth by NCIDQ:

"Programming" means the scope of work which includes, but is not limited to, conducting research; identifying and analyzing the needs and goals of the client and/or occupant(s) of the space; evaluating existing documentation and conditions; assessing project resources and limitations; identifying life, safety and code requirements; and developing project schedules and budgets.

For more info, check out: http://www.ncidq.org/AboutUs/AboutInteriorDesign/DefinitionofInteriorDesign.aspx

Hope this helps!

The space program is the foundation of the designer's work. It acts as a guide during the study and the preparation of space layout. It is also a communication tool between the designer and the client. During the development of the program, the programmer will solicit detail information from the client about the company's history, organization, operations, policies, personnel and group requirements that make up the company. Much of the programming effort focuses on quantitative calculations using basic unit takeoff that derives from revision of existing space standards from the company or from industry standards.