Combining Agile methods and a Stage-Gate model within the product development process; A multiple case study

Abstract: Hardware development and software development traditionally differ in how they manage their product development processes. The development of hardware is characterized by the use of a Stage-Gate model while Agile methods, such as Scrum, are the most common ways of managing software development. Today product development at many companies includes a combination of both hardware and software which raises the question of how this type of product development can be managed. Therefore, the purpose of this study is to examine how product development combining both hardware and software can be managed with regards to a Stage-Gate model and Agile methods. This was investigated through a qualitative multiple case study with four case companies. Findings show that two hybrid models have been identified where Agile methods and a Stage-Gate are combined. The hybrids both use a Stage-Gate at a strategic level but at an operational level they differ. In Hybrid 1 the hardware development uses the Stage-Gate model and the software development uses Agile methods while in Hybrid 2 Agile methods are used for both the hardware and software development.