10.5.23
Agile
Digitization

Agile Software Development: Benefits, Frameworks & Best Practices

Agile Softwareentwicklung: Scrum Masterin und Developer stehen am Board und planen den nächsten Sprint

In recent years, agile software development has become the state of the art when it comes to creating digital products. However, the topic has now reached a certain buzzword status. Countless views, ideas and myths surround agile working with Scrum, Kanban, etc. Our customers often ask us what exactly it means, how we approach it - and above all, what the benefits of agile development are. The following article is intended to shed some light on this.

1. Agility and an agile mindset

Agility has nothing to do with methods, tools or frameworks. It is an approach, an attitude and a philosophy. The goal is to strive for maximum adaptability. In terms of project management and product development, the approach involves an iterative, incremental and collaborative way of working, where requirements and solutions are developed by learning and adapting together as a team. Agility emphasises flexibility, adaptability and responsiveness to change in dynamic environments.

Grafische Gegenüberstellung: Unterschiede von iterativ, inkrementell und iterativ & inkrementell am Beispiel der Mona Lisa
Differences between iterative, incremental and iterative & incremental using the example of the Mona Lisa

The incremental way of working ensures that functionality is completed in short cycles, which can be tested directly and provide added value to users. The iterative way of working cyclically refines what already exists, which means that the idea of what it should look like in the end does not need to be fully developed. This in turn brings forward the possible start of development - a clear competitive advantage. Working iteratively and incrementally combines the advantages. You're constantly delivering more functionality, while ensuring that you're always working on what matters most.

An agile mindset

An agile mindset, also known as agile thinking, is a way of thinking that embodies the principles and values of agility to better meet the challenges of complex projects and changing requirements. It encourages an open, curious attitude to change and emphasises the importance of feedback, collaboration and continuous learning to achieve better results faster. An agile mindset is therefore an essential component and critical success factor for implementing agile practices and methods in projects.

The agile mindset is often combined with the values and principles ofthe Agile manifests or the Scrum Guides equated. But attitudes, values and principles are different levels. Attitude defines values. Values lead to principles. Principles define behavior within the framework of agile frameworks.

Agile Softwareentwicklung: Tabellarische Darstellung von agiler Haltung über Werte zu Prinzipien und Praktiken sowie Frameworks

2. The most important frameworks

2.1 The Scrum framework

Scrum is the most popular agile software development framework based on an iterative and incremental approach. It consists of the roles of Product Owner, Scrum Master and Development Team, and artefacts such as the Product Backlog, the Sprint Backlog and the software increment at the end of each Sprint. Scrum uses short, time-bound iterations, called sprints, in which the development team delivers working software. Scrum promotes close collaboration between team members, transparency of work progress, and adaptability to changing requirements.

Grafische Darstellung von agiler Softwareentwicklung innerhalb des Scrum-Frameworks
Graphic presentation of the process within the Scrum framework

Benefits of Scrum:

  • High transparency: Scrum promotes transparency of work progress through clear artifacts such as the Product Backlog and the Sprint Backlog, as well as regular meetings such as the Daily Scrum and the Sprint Review.
  • High flexibility: Scrum enables teams and clients to adapt to changing requirements by providing regular feedback loops and iterative development.
  • Better collaboration: Scrum promotes close collaboration between team members and enables the team to self-organize, which leads to better communication and collaboration.
  • predictability: Scrum offers evolving predictability even for complex projects, which gives project management options for action.

Disadvantages of Scrum:

  • Complexity: Scrum can seem complex at first, especially for teams that are new to agile methods. It requires careful planning, implementation, and monitoring of Scrum roles, artifacts, and events. The Scrum Master performs these tasks.
  • Time requirements: Scrum is based on fixed time frames, such as sprints, which can sometimes put pressure on the team to complete specific work packages within a specific period of time.
  • Dependence on team dynamics: Scrum depends heavily on collaboration and communication both within the team and with the client. When this collaboration is limited, it hinders Scrum's success. (Scrum also includes tools to improve just that.)

2.2 The Kanban framework

Kanban is a framework for organising work based on the principle of the 'pull system'. Kanban uses a Kanban board to visualise the progress of tasks from being added to the queue (To Do), through processing (In Progress) to completion (Done). Kanban enables teams to optimise workflow, identify bottlenecks and make continuous improvements. The framework is well suited to teams and projects that require a continuous flow of work and do not require fixed time periods or iterations. Kanban is ideal for continuous, unplanned work such as support.

Darstellung eines exemplarischen Kanban-Boards für die agile Softwareentwicklung
An example of a Kanban board

Benefits of Kanban:

  • Flexibility: Kanban allows teams to continuously adjust the prioritization of work packages based on demand, which offers a high level of flexibility for the client.
  • Easy visualization: Kanban uses a visual Kanban board to visualize work progress, which provides a clear overview of the status of tasks.
  • Focus on throughput: Kanban focuses on task throughput, which can help identify bottlenecks and optimize workflow.

Disadvantages of Kanban:

  • Potential bottlenecks: Without fixed time frames, such as sprints, Kanban can result in tasks staying in queue indefinitely, which can lead to potential bottlenecks.
  • Limited planning visibility: Kanban does not offer the same planning visibility as Scrum, as there are no fixed sprints and the focus is more on the current workflow.

3. The benefits of agile software development

In today's fast-paced world of technology, companies and organizations are looking for efficient and flexible approaches to developing software. Agile software development has established itself as one of the most popular methods in recent years. But why is that so?

  1. Flexibility and adaptability: Agile software development enables teams to respond flexibly to changing customer and user requirements and needs. Rather than creating a rigid plan that must be executed from start to finish, an agile methodology ensures continuous adaptation. Teams can quickly add new features, fix bugs or change priorities to meet changing market needs.
  2. Customer-focused approach: Agile software development emphasises collaboration with customers and users. Through continuous feedback and close collaboration, agile teams can ensure that the developed product meets customer needs and expectations. Customers can be involved in the development process and actively contribute to ensuring that the final product meets their requirements.
  3. High quality: Agile software development places great emphasis on quality assurance. Continuous testing, review and improvement ensures the quality of the code being developed and the final product. Errors are identified and corrected early on, resulting in a better product overall. High quality is a prerequisite for later adaptability.
  4. Transparent communication: Agile software development emphasises communication and collaboration within the team and with customers and users. Regular meetings, such as daily stand-ups or sprint reviews, encourage open communication and information sharing. This increases transparency, which leads to better understanding, teamwork and problem solving.
  5. Higher employee satisfaction: Agile software development encourages self-organised, independent teams. Team members have more freedom and autonomy at work, which leads to higher employee satisfaction. Agile teams work in a positive and collaborative environment, which increases team member motivation and engagement.
  6. Quick launch: The iterative nature of agile software development allows products to be brought to market faster. By delivering functional software early, companies can quickly get feedback from customers and users and adapt products based on market needs.

4. Agile software development vs. waterfall — a comparison

Agile software development is in contrast to the classic waterfall method. As the name suggests, it is a linear and rigid process - similar to a waterfall. Although the actual process is very similar to that of agile process models, it is not started and explored over and over again, but only run through once. If all the requirements and the way to achieve them were completely clear and well-defined at the outset, a waterfall approach would make perfect sense. However, this is the case for the least complex software solutions.

Grafische Gegenüberstellung: Die klassische Wasserfall-Methode gegenüber der agilen Softwareentwicklung.
The classic waterfall method versus an agile approach.

  Agil Waterfall/classic
Requirements Only essential requirements are known, in detail only those for the next iteration The requirements are clearly formulated at the beginning and are rigid in the course of the project
Focus Create added value early and continuously On predefined and long-term project plan
Documentation As required Comprehensive
Development process Iterative-incremental Linear
Teams Self-organized, cross-functional teams Teams with clear hierarchies
Change requests Possible and accepted to the end; change requests can be implemented cost-effectively Not planned for and hardly/difficult to implement; change requests can be very expensive
Implementation and costs Difficult to predict; controlling of budget vs. product content in short iterations for maximum transparency, predictability and security Costs and content are fixed from the outset; the only adjustment screw is often quality; changes are not included in the costs
Releases Frequent and short releases; executable interim results A major release at the end of the project; completed end product
Creating added value Added value can be recognized and measured in or after each iteration Added value is only recognizable and measurable at the end of the project/product
Risk of undesirable developments Low, as the results are tested and checked after each iteration High, as requirements are not continuously validated and market changes can only be responded to slowly
Usability Requirements and assumptions can be continuously validated via usability tests and adapted if necessary Requirements and assumptions can only be validated at a late stage; features may be developed that are not developed that are not needed.
Software quality Tendentially higher, as more and more frequent testing is carried out The long test phase towards the end often means that either the completion date is postponed or quality is compromised

5. Under which framework conditions does agile software development make sense?

Complex, changing requirements:
When the requirements of a software project are complex and change frequently, an agile approach is recommended. Agile methods enable teams to respond flexibly to changing or evolving requirements and to develop the software solution incrementally and iteratively, making it easier to make adjustments during the development process.

Quick market launch required:
Through incremental development and continuous feature integration, agile software development, especially the MVP approach, enables faster time to market compared to traditional development methods.

Collaborative collaboration with many stakeholders:
Agile software development promotes team collaboration and communication, as well as close collaboration with customers and other stakeholders. If a team works well together and is able to work closely with the customer and other team members, Agile is the right choice.

Continuous improvement:
Agile methods place a strong emphasis on continuous improvement and learning from experience. If an organisation wants to foster a culture of continuous improvement and learning, agile software development can help achieve these goals.

High customer orientation:
Agile methods emphasise the importance of customer feedback and the continuous involvement of the customer in the development process. If an organisation is highly customer-focused and considers customer feedback valuable, agile software development can help to effectively meet customer needs and requirements.

6. Best practices for working with a service provider that develops in an agile way

If you, as a customer, want a service provider to develop software in an agile way, there are a few important things you should know for a successful collaboration. Here are a few best practices we've collected over the years:

  1. Learn to understand basic agile principles and working methods at an early stage: As a customer, it is important that you have a basic understanding of the agile principles and working methods used by the service provider, such as Scrum, Kanban, Extreme Programming or other agile methods. You should familiarise yourself with the basics of agile development, including iterations, the incremental approach, the role of the customer as an active participant in the development process, and the artefacts involved, such as user stories, sprints, kanban boards, and so on.
  2. Communicate your requirements and goals clearly and provide regular feedback: As a customer, you should communicate clear requirements and objectives for your software project. This includes defining functionality, priorities, budgets, timeframes and other relevant criteria. Clear and concise communication of requirements and goals, along with regular feedback, will enable the service provider to make the right decisions in the development process and design the software to meet your needs.
  3. Take an active part in the development process: Agile software development requires close collaboration between customers and service providers. As a customer, you should actively participate in the development process by holding regular meetings and reviews with the development team, providing feedback, making decisions and making adjustments as required. By actively participating in the process, you can monitor the progress of the project, ensure that your requirements are being met, and respond quickly to changes.
  4. Be flexible and open to change: An agile approach involves the acceptance of change and the willingness to adapt to new requirements and priorities. As a customer, you should be prepared to be flexible and accept change, as requirements and priorities may change during the development process. Open communication with the development team and a willingness to make adjustments are critical to successfully receiving software developed in an agile manner.
  5. Trust and Collaboration: Agile software development is based on trust and collaboration between customer and service provider. For larger projects, it may be useful to carry out a smaller pre-project together to gain experience of joint implementation.
  6. Insist on regular content and budget controlling appointments: There must be an exchange of budget and content from iteration to iteration so that you, as the client, can keep track of the financial framework and see what has been delivered against it. Project risks must be made transparent to the client on a regular basis.

7. Conclusion

Agile software development and agile methods - when used correctly - can offer many benefits. An agile approach is particularly recommended when developing complex solutions with changing requirements, as iterative work and incremental delivery can be used to react early to incorrect developments or incorrect assumptions. The biggest disadvantage is the perceived high level of uncertainty about time and budget, especially at the start of an agile project. However, experience shows that software products developed in an agile manner can be brought to market faster and more cost-effectively over the long term, taking into account the total cost of ownership. Another benefit: Agile software tends to be better software in terms of functionality, usability and code quality. Statistically, 9% of agile software projects fail, compared to 29% of waterfall projects (see Standish Group). And our Head of Product Owner Steven and our Scrum Master Sarah explained that agile projects can also be planned in the following article: Agile product development: How do you plan the unplanned?

A successful relationship with an agile service provider is based on clear communication, active participation in the development process, flexibility and trust. The customer should understand the basic agile principles and working methods at an early stage, communicate clear requirements and objectives, provide regular feedback and insist on ongoing content and budget control meetings to keep track of the project. A good working relationship between the customer and the service provider is critical to the successful implementation of agile software.

Autor
Tamer Özaslan
Product Owner
Autor
Frank Schirdewahn
Head of Scrum Master

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