AbstractNever have the challenges of complex product and systems development been greater. Rising complexity coupled with the need for fast development cycle times and lower development and support costs have driven development efforts into a Faustian dilemma. Is it better to become highly agile by forgoing documentation, process and discipline—or to labor under the burden of restrictive, formal processes which use much needed time for non‐development activities like planning, design and documentation? As some development organizations sell their quality souls for expediency, while ignoring the eventual price they may pay, others stay the course, hoping their ponderous processes do not leave them vulnerable to disruptive start‐ups and new business models. Is there a better path? Yes, modern development concepts properly deployed and implemented in a values‐based quality management environment provide a choice of chaos versus quality.The dramatic growth and development of the Internet of Things (IoT) has produced new kinds of risks and unknowns that can result in dangerous unintended consequences and the increased impact of undiscovered defects on people and processes. Reports of major security defects and breaches of data storage have become commonplace.As has always been the case, effective and successful product and systems development is a function of optimally employing people, process and tools. In what follows, we will describe the important challenges and opportunities in each of these three areas, and show how a values‐based quality management approach provides the context, values and standards for achieving both short‐ and long‐term success. Values‐based quality management has all of the protocols, due diligence, rigor, systems thinking, and scientific thought associated with 1QR. It also includes the added emphasis of 21st century techniques, and the ability to train and retain high‐performers.