Why Agile Transformations Fail
The transformation of your business has limitless potential. However, when transitioning your business there's always the possibility of failure. You're changing significant parts, if not the entire fundamental principles of your company. This can alienate not only employees but current customers as well.
There is no shortage of reasons why agile transformations fail, but you can avoid many of the pitfalls by educating yourself on common issues and preparing your business for potential problems.
1. Limited Experience with Agile Techniques
From the outside looking in, an agile transformation might look like the right course of action. You want your business to run like all of the success stories you’ve heard about, so you decide to implement the transformation. The problem is that you lack experience applying the agile methodology. In many ways, it might be attempting to force your square business through the round hole of an agile transformation.
An agile transformation requires you to change some of the most basic practices within your business. Old habits die hard, and it can be difficult to adjust the mindset of the team after working with a specific methodology for so long. For example, your team may still be treating design documents as deliverables rather than artifacts. The sprints then end up being built around these design documents/deliverables with no regard for which type of artifact is most appropriate to a specific audience or purpose. It could also be that your team is taking a long time to create a backlog and move into construction iterations because in your previous methodology they had to wait for requirements to finalize or feedback to come through.
If you have employees struggling to shift how they work, or they don't take to coaching, it's a recipe for disaster. You need to understand not only the agile method of transformation and how agile teams work, but also your employees.
2. Poor Training
Even if you've spoken with your employees and identified their ability to shift with the agile transformation, the transformation can still fail if they don't receive the correct training. In fact, it is one of the main reasons why agile transformations fail. You need to make sure everyone who needs training, from the team members to the Product Owner to the technical experts, receives it. Make sure the training is thorough and complete.
Training should begin at the top and work its way down to the entry-level employees. This new kind of training may prove an added expense (often a large one), but don't assume you can skimp on the training or avoid it entirely. By starting at the top, organizational executives are able to identify organizational needs, set goals and develop a benchmarking strategy that the rest of the employees and team members can follow. Having the support of leadership in the training process can help drive accountability, establish expectations and emphasize the importance of the program or project.
3. Employees Don't Buy-In
You're only as strong and as capable as your employees. Agile transformation represents a major turn in how your business does things. If you've been in business for some time, you have a greater risk of employees not buying into this shift in philosophy. They've done certain tasks a specific way since the beginning, and to them what they do has worked. Why fix what isn't broken? While your organizational systems and philosophy may not be “broken,” they may be inefficient and ineffective.
Though you may receive some pushback, you should still hear what your employees have to say. Simply allowing everyone to openly discuss their feelings about a potential shift in management principles can be extremely beneficial. However, if you decide to implement the change, provide the necessary training. For team members who are still unwilling to follow the new agile principles, you'll need to either remove them, convince them to accept the changes, or risk agile failure.
4. External Pressure
While there are a number of internal reasons why agile transformations fail, you'll discover one of the biggest influences on failure actually comes from external sources. You might have parts providers, external partners, or contractors who are opposed to your agile transformation. They might see it as a potential threat to their own companies and practices, or they may fear making the change too.
It is always a good idea to get a pulse on such a transition ahead of time. Consider consulting with major partners, contractors, clients, and other entities to get a feel for the situation. This way, the external parties are not blindsided with your change. Additionally, you’ll be able to set clear expectations on how they work with you to support your new agile organization.
5. No Management Support
One of the reasons why agile transformations fail is because management (middle management) or leadership (executives) stop focusing on assisting employees with the transition once the training and launch is over. Even when employees buy into the new agile practice it will take time to adjust. The best way to ensure an agile way of working is to provide continued support well beyond the initial transition. This will significantly improve the chance of agility success.
Part of this support also involves finding an experienced agile partner. This is someone who can work closely with the executive team to facilitate the culture change, help them train development team members, and ease some of the external pressure leadership faces. This agile partner shouldn’t be there to sell agile. They should be there to discuss the benefits and drawbacks, answer questions and demonstrate how agile can provide value for your organization.
6. Company Culture Clashes with Agile Values
Your company culture and philosophy will evolve over time but, in the beginning, may directly clash with agile values. If the current culture is at odds with the agile culture, there may be no way to smoothly transition in the current environment. Avoid replacing traditional development approaches with agile development approaches in one fell swoop. Begin shifting the company culture transitionally to become more inline with agile transformation values prior to making the leap.
For organizations used to the traditional top-down waterfall approach to project management, adopting an agile culture will require a clear roadmap from the leadership team, business and IT executive support and a shift in governance. Empower the development teams to work more entrepreneurially and collaboratively. Rewarding the right behaviors and actions will also help reinforce the cultural changes you want to happen.
Avoiding Agile Transformation Failure
Any shift in philosophy within your business can open your company up to a potential downfall. To help ensure your greatest level of success in building an agile practice and avoid an agile transformation failure, you need to:
Weigh company culture against agile values
Avoid external pressure
Focus on your employees buying in
Offer comprehensive training
Educate yourself on agile transformation
Provide management support beyond the agile transformation