Link: 6 Challenges of Agile at Scale for ERP

The problems with taking an agile approach to outsourcing your COTS projects. Among the problems:

“In agile projects, it is more difficult to define risk sharing between the company and vendor. Contracts for large-scale programs tend to be waterfall or deliverable-based, with penalties or incentives driving cost and schedule performance which enables companies to hold vendors accountable for delivering full scope. On the contrary, Agile assumes cost and time is fixed when scope is variable. This situation flies in the face of the standard belief that much of the scope of ERP is not flexible. One area that this complicates is defining and resolving the concept of warranty support. This is another reason that everyone in the project, on both client and vendor sides, must have the same definition of “done” for each sprint… The lack of documentation makes benchmarking vendor performance a challenge. Overtime, the more traditional waterfall methods have provided opportunities for clients and vendors to establish measurable standards of performance and productivity. Agile is broadly assumed to provide productivity improvements but Agile at Scale still falls short in providing clients with a clear-cut way to quantify and measure the performance of vendors.”
Original source: 6 Challenges of Agile at Scale for ERP

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