Often, Agile change or transformation programs are mobilised without proper consideration.

In this podcast, Niall McShane shares these five questions that executives and sponsors could ask BEFORE they agree to change how the organisation works. You stand a much better chance of success.

WHY (bother) changing; why now?

What is the purpose of adopting Agile? Is it to improve efficiency, increase profitability, or better serve customers? It is vital to have a compelling reason for change connected to the organisation's purpose. For for-profit organisations, the answer might be to be more competitive, serve customers better, or learn faster than the competition. The answer for government entities or not-for-profits might be to save lives, benefit marginalized groups, or fulfill the organisation's mission. Whatever the reason, it must be clear and motivating for everyone involved in the change.

WHERE does it make sense for Agile to be adopted across the organisation?

Agile is not a one-size-fits-all solution; adopting it across the entire organisation might not be necessary. The key is identifying where the organisation needs to learn fast and frequently making changes. For example, the digital space is a good candidate for Agile because change happens quickly in that area. However, other parts of the organisation might not require frequent change, so Agile might not be necessary. It is important to prioritize where Agile is needed the most to get the most benefit.

WHO needs to change how they work (hint: it's not who you might think)?

The answer might surprise some people. The executive or sponsor of the Agile change program needs to change first. If they are willing to change their behaviour, it will be easier for others to model it. In addition, the entire organisation needs to be involved in the transition, not just the people doing the work. Engaging middle management and executives is crucial to ensure the change is successful.

WHAT are the cost of change and the price of disruption?

Adopting Agile might require consultants, education, and coaching support. However, the highest cost is often the disruption that comes with change. Change needs to be introduced to improve work, which can disrupt the organisation. It might lead to inefficiency, workforce noise, and customer disruption. It is crucial to weigh the benefits of adopting Agile against the cost of disruption.

HOW to change (the least important); how to do agile comes last after the other questions have been answered.

This is the least important question, but it is still vital. There are many frameworks and methodologies for Agile, but the most critical thing is to experiment in a test-and-learn manner using small pilot teams. However, it is crucial to restructure the teams' reporting lines, roles, and responsibilities to ensure that the Agile system has a chance to succeed. Implementing a different way of working without changing the structure of how people are organized is a recipe for failure.

Adopting Agile is not a decision to be taken lightly. Executives and sponsors of Agile change programs should ask five key questions before transforming. They need to identify why Agile is necessary, where it makes sense, who needs to change, what the cost of change is, and how to change. By answering these questions, organisations can increase their chances of success and realize the benefits of Agile.