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Purpose

When firms embrace an adaptive interactive development mindset—obsessing over the needs of customers, systematically working in small self-organizing teams working in short cycles, operating as a network rather than command-and-control hierarchy—its software developers can work with management to innovate new customer value.

Design/methodology/approach

The article identifies the reasons that the need for innovative, rapid software developments has had on the way corporations are organized and managed.

Findings

Software development went from being a drag on organizational performance to being a key driver of success.

Practical implications

Business agility thus isn’t just a matter of applying agile software practices to other functions.

Originality/value

Computer software, including artificial intelligence, machine learning and cloud computing, is now enabling, improving or accelerating almost everything that humans, machines and organizations do. This article explains why an Agile mindset is the key to winning in the competitive race to offer high-value, innovative, digitally powered products and services.

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