Expected benefits of transitioning to Agile project management in manufacturing industry : case study

Since early 2000’s Agile has been gaining increasing popularity in software developing companies. Due to its innovative character and enhanced results it allows to yield, Agile has quickly became adjusted for environments other than software and its applicability is becoming more widespread with every year. Recently, also the manufacturing industry has taken its interest in becoming more agile, not only in production process but throughout all the operations as well. There are significant differences between software and hardware manufacturing environments, and for that reason it is not always possible to apply same methodologies or same methodologies in unchanged form. Choosing and introducing proper Agile framework to manufacturing industry requires careful analysis of concerned organization, its specific character, and methods of operations. For purpose of this thesis, the researcher has further explored Scrum, Kanban, Scrumban, and Agile Pulse – frameworks considered by her the most probable to succeed in manufacturing environment of company X. Company X, a globally renowned player who has been successfully operating on high-technology engineering market for over a century, is gradually starting its own transition to Agile, and for that reason its consecutive branches are seeking best solutions to implement the new framework. The purpose of this thesis is to conduct analysis of current project management practices for Company X’s branch located in Turku, Finland, and identify appropriate Agile framework that will not only allow to improve organizational results but also be the most suitable for the branch’s character and functioning. The main findings of the research are focused on recognizing main benefits that Agile can offer to Company X and identifying most suitable framework for Turku branch, as well as identifying advantages and challenges of current project management methodology used at Turku branch. Evaluating and reflexing upon organizational practices is a key factor in ensuring continuous success for every company. To complete the research, exploratory study was chosen as a main methodology for literature review and data collection. It was completed by descriptive studies that allowed to provide comprehensive overview of current project management practices at company X. Primary data was collected in 2 stages: observation and informal interviews, and through formal interviews