Achieving agility and quality in product development - an empirical study of hardware startups

Vebjørn Berg,Jørgen Birkeland,Anh Nguyen-Duc,Ilias O Pappas,Letizia Jaccheri

doi:10.1016/j.jss.2020.110599

Abstract

Context: Startups aim at scaling their business, often by developing innovative products with limited human and financial resources. The development of software products in the startup context is known as opportunistic, agility-driven, and with high tolerance for technical debt. The special context of hardware startups calls for a better understanding of state-of-the-practice of hardware startups’ activities. Objective: This study aimed to identify whether and how startups can achieve product quality while maintaining focus on agility. Method: We conducted an exploratory study with 13 hardware startups, collecting data through semi-structured interviews and analysis of documentation. We proposed an integrative model of agility and quality in hardware startups. Results: Agility in hardware startups is complex and not achieved through adoption of fast-paced development practices alone. Hardware startups follow a quality-driven approach for development of core components, where frequent user testing is a measure for early debt management. Hardware startups often lack mindset and strategies for achieving long-term quality in early stages. Conclusions: Hardware startups need attention to hardware quality to allow for evolutionary prototyping and speed. Future research should focus on defining quality-driven practices that contribute to agility, and strategies and mindsets to support long-term quality in the hardware startup context.

Highlights

Startups, newly created companies producing cutting-edge technology, are an important source of technology innovation, and have a significant impact on the wave of digital transformation (Jacobson et al, 2017)
Hardware startups need attention to hardware quality to allow for evolutionary prototyping and speed
Future research should focus on defining quality-driven practices that contribute to agility, and strategies and mindsets to support long-term quality in the hardware startup context

Summary

Introduction

Newly created companies producing cutting-edge technology, are an important source of technology innovation, and have a significant impact on the wave of digital transformation (Jacobson et al, 2017). Startups often need to learn how to establish new roles, new connections to external stakeholders, and new processes and practices (Stinchcombe, 2000; Abatecola et al, 2012). Software research has 15 shown interest in achieving effective Minimum Viable Products (Nguyen-Duc & Abrahamsson, 2016) and managing technical debt (Giardino et al, 2016) in the startup context. Even though the obstacles to success gradually become known and aware to entrepreneurs, the startup context poses several unique challenges to traditional product development and innovation methods (Unterkalmsteiner 20 et al, 2016; Nguyen-Duc et al, 2016). The context of high-tech startup companies The term “startup” has been defined differently across various principles (Steininger, 2019; Sutton Jr, 2000; Ghezzi, 2018; Unterkalmsteiner et al, 2016; Crowne, 2002).

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