Translating Agile Development in Different Institutional Contexts: Dynamism, Pluralism, and Ratcheting over Time

Organizations of all sorts adopt agile software development, but they rarely implement it “by the book.” Instead, agile practices evolve after initial adoption and often drift in different directions as organizations translate agile into their institutional environments. We studied the implementation of agile development in four organizations from much different institutional contexts: a startup technology company, a consulting firm, a government organization, and an industrial manufacturer. We found two core dimensions of their institutional contexts that shape agile translation: dynamism and pluralism. Dynamism refers to how fast requirements and environments change, and pluralism refers to how many diverse stakeholders are involved. These two dimensions influence the direction of agile translation. We show that agile practices evolve through a “ratcheting” process, whereby a sequence of incremental, interdependent changes gradually move teams closer to or further away from canonical agile practices. High pluralism in the institutional context, for example, tends to increase documentation, whereas low dynamism appears to slow iteration cycles. Agile software development is no longer limited to startups or software teams; it is adapted by all sorts of organizations as a way to flexibly innovate. Understanding why agile evolves differently across contexts helps managers move beyond one-size-fits-all prescriptions and set realistic expectations for agile development in their organizations.