When Agile Scales: The Unraveling Threads of Agile at Enterprise Level
It’s pretty clear that some flavour of Agile methodology has taken centre stage for most enterprise digital development. Agile's flexibility, ability to adapt, and emphasis on customer usability, are appealing traits for any organisation. Although, I have found the key "fail early" concept is generally not embraced, as perhaps it should be.?All that aside, management has grabbed onto Agile as something that sounds like it should get the job done. It’s modern, digital and vaguely technical. It also must sound fancy when dropped at the right sort of dinner parties.
That being said, when Agile scales to an enterprise level, some distinct and recurring problems start to emerge. These are; ineffective funding models, squad silo-fication, inconsistent architecture and anemic project management. Twenty plus years, both on agency and client side, has given me a unique view, and while the twitch hasn’t quite gone, some of these recurring themes never quite go either.
Nothing is Inconceivable, and Everything is Possible, Except Perhaps the Compatibility of Funding Models
Almost the first hurdle in many enterprise projects arises from the incongruity between the Agile model and traditional funding mechanisms. The nature of Agile thrives on flexibility and continuous iterations, which starkly contrasts with the conventional 'waterfall' approach to project funding.
Waterfall models thrive on detailed upfront planning (wishful thinking), precise cost estimates?(guesstimates), and clearly (as in God knows) defined deliverables. But there may be a number, and it can be argued and agreed, and people tend to build to the funds available, even if it is to the first stage gate.
Agile projects, by design, evolve with customer needs and ongoing learning.?In practice, most organisations end up with some sort of “wagile" or “fragile” hybrid approach. And yes, I have heard both these terms used.
Frustration abounds as finance demands more clarity on project costings before they are committed. Estimates that a nascent Agile team is unable to effectively size and thus cost. Sizing and prioritisation needs not just requirements but the actual team members, lead devs, architecture, UX and so on.
This uncertainty makes it challenging to provide accurate cost estimates at the outset. As such, this incompatibility often leads to budget overruns or underutilisation, management frustration and general confusion, impeding the initial promise of Agile for better efficiency and productivity.?
Silos, Building a Wall in People’s Minds and a Barrier Within an Organisations Heart
The second key challenge involves the propensity of scaled Agile to form silos within the organisation. Agile was conceived as a way to break down walls and foster cross-functional collaboration. However, when scaled, it inevitably tends to become compartmentalised, inadvertently forming silos.
While Big Room Planning (BRP) events are designed to encourage alignment and synchronisation across teams, they often fall short in large organisations.
The crux of the problem is that BRP events of a certain size can become procedural rather than truely collaborative. This tendency makes it difficult to maintain the required transparency and collaboration, undermining Agile's fundamental principles.?
After a certain number of squads are involved, the law of diminishing returns kicks in. Few managers, are able to track the overall development of a product or service, especially if functional capabilities are spread across squads. And managing resource dependencies across squads is sometimes a bit like reading tea leaves, or negotiating for rugs in a Turkish bazaar.
The problem, in a nutshell, is you don’t know what you don’t know. Not everyone is a good negotiator. And only really exceptional people self organise effectively.
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Enterprise Architecture, Worth its Weight in Gold… if Done Right. A Dreadful Mare, if Not
Architects can be the landmine hidden in the grass. The bad ones can kill a project, the average, cause nothing but tears, gnashing of teeth and mental breakdowns. I can literally count the number of outstanding architects I have worked with on one hand. In fact I think that there have been three.
Modern systems are basically so complex, that it takes a literal digital Mozart to see how all the notes link together with harmony and elegance. Also, how people end up as architects indicates that learning on the job can be a problematic issue.
Mental capability aside, there is also a clear challenge when enterprise architecture scales. Traditional enterprise architecture is based on a well-planned blueprint, while Agile favours evolutionary architecture. This mismatch can cause conflicts, making it difficult to align the project's architecture with the broader business strategy.
The Lost Ones, a Project Management Identity Crisis
Similarly, program management in traditional organisations is fundamentally a command-and-control system, whereas Agile insists on self-organising teams. These diametrically opposed philosophies can result in friction, especially when management expects predictable outcomes and the Agile teams seek autonomy and flexibility.?
On the extreme side, companies who have drunk the Agile Kool-aid can believe they can do without PM’s altogether. Personally, I feel that that is a little like an army getting rid of all their sergeants and warrant officers. PM’s and program managers clearly support and propagate institutional knowledge and process.
Project management as a career also seems to be somewhat in limbo. Many long term PM’s see transitioning to Agile as a retrograde step, and there is no exact Agile role that enables a seamless transition.
So What Now Dear Reader?
While Agile has undeniable merits, and yes, I am an Agile fanboy, the challenges of funding, negative silo effects, architectural complexity and management uncertainty can make scaling Agile a painful venture for large enterprises.
But there is a silver lining. These challenges are not insurmountable and can be overcome with strategic workarounds, some common sense and a bit of luck:
Scaling Agile presents a unique set of challenges, but they offer an opportunity to rethink traditional paradigms and innovate better ways to work. These workarounds are not quick fixes, but steps towards a more holistic yet realistic transformation that aligns with the Agile philosophy.
A careful and mindful approach to scaling Agile can help us reap its full benefits and truly enable organisations to be more responsive, flexible, and customer-centric.
Let me know what you think. And feel free to share any interesting stories of Agile scaled craziness.