Agile Project Management in Banking : A study of how agile methods are modified to suit the context of a bank

Abstract: Whilst there are studies that have been researching application of agile methods in different contexts, research have mainly been focused on the software industry. As the world becomes increasingly more digitised, the banking industry is having to keep up with this development and become more digital. Consequently, banks need to incorporate new flexible methods to keep up with the increasing demand for new digital products and features. However, the digital transformation and development processes are not as straightforward as in other industries because banks operate in regulated markets, making the application of agile methods more difficult. This study aimed to investigate and expand the knowledge of how agile methods are applied within the product developing processes in banks as well as what the challenges are with adopting such methods. Semi-structured interviews and internal documents were used to gather data regarding how a bank applies these methods. The main findings show that the bank applied agile methods and adapted them to suit their needs. Key themes identified from the data are agile framework adaptation, collaboration, motivation, and regulatory and internal challenges. The adaptation of specific frameworks is driven by the profile of the specific team as well as the nature of each project in a particular product area. Similarly, to pure agile methods, the motivation of workers is important for maximising productivity in the product development process. Internal and external collaboration was found to involve the interaction of internal teams and co-workers as well as receiving feedback from customers to improve their products. An important challenge in maximising agility is this sector is the regulatory environment in which banks operate in. The findings from this study contribute to the field by giving insight into how agile methods can be adapted in the context of banking by adding to existing literature.