DSMs happen every day, usually with the full team of a project — this includes people from the client’s org who are working with us, and other external contractors.
In the spirit of agile engineering, the advantage of a DSM is to surface issues/blockers as soon as possible, and keep the team aware (on a broad level) of what is happening elsewhere in the project. Seeing everyone face-to-face daily builds trust and accountability. We encourage people to ask questions across the team to get increased clarity on a specific thing, if needed.
The “standup” part of the meeting is important; everyone remains on their feet, keeps the focus on quick updates, and tries to finish the entire meeting in a few minutes. Inadvertently... it may happen that someone’s update leads to a set of people discussing the thing in full detail — this wastes everyone else’s time, and should be moved out of standup into a separate discussion.