Planning the fixed scope or going straight to squad allocation?

Planning the fixed scope or going straight to squad allocation?

Choosing between a closed scope or squad allocation is an ongoing conflict we often encounter in the market. And to answer this, we have a very clear response: it depends on the level of software investment culture within the company.

In this context, we need to ask some questions that will guide us towards the most suitable choice for the project’s needs. Let’s explore the topics:

  • Investing in Agile squad allocation
  • When to opt for a closed scope
  • Which is the better choice?

Investing in Agile Squad Allocation

Does your company have a monthly budget allocated for investing in custom software solutions? Alternatively, is your company willing to proceed without defined timelines and fixed investment for the desired solution’s development?

If the answer is yes to either of these questions, then your company is open to investing in an agile team, with shorter planning cycles of fifteen days and goals set with expectations (not certainties) of what to achieve.

Examples of such companies include software product firms, startups, or large enterprises that invest in software on a monthly basis. In this case, you can gain a better understanding of how this works by checking out our article on Tips for Hiring a Development Team.

When the option is a closed scope

However, if you wish to be certain of the total cost of the entire project while also having a higher level of investment security for feasibility planning, your path lies in the closed scope approach.

In this sense, we often perceive it as a more traditional culture of software procurement. This does not, however, prevent the company from investing thousands of pounds in a project.

In fact, the crucial point is that the company’s decision-makers want to take care in understanding the total investment and even use this information to compare values among suppliers.

What is the best choice?

In the end, both models work very well. However, each one has different perspectives that must be evaluated according to the company’s needs and investment capacity.

With squad allocation, you gain speed and flexibility because instead of multiple frequent hirings, a dedicated team is allocated and available for incoming demands.

However, the disadvantage is that the company may have false expectations regarding deliveries, believing that the team will achieve a development goal. This is because a comprehensive planning, as in the closed scope, was not conducted.

On the other hand, in the closed scope, the company has more certainty and security about the entire journey it can undertake. The downside is the lack of flexibility in scope changes.

Furthermore, it requires a considerable amount of time for planning and a complete understanding of the demand, which can range from 30 to 90 days, depending on the scope’s size.

In summary, in the end, the best approach is as follows:

  • If there is high software demand and a need for more speed, squad allocation is recommended.
  • If the company has time for contemplation and planning, it can comfortably opt for closed scope planning.
  • When there is an urgent need but also many uncertainties, it is ideal to choose squad allocation.
  • If there is a need for more certainty about costs to attract investment or obtain approval, it is better to work with closed scope planning.

Even so, if you have doubts about which model to follow, you can check out our article on the differences between Open Scope and Closed Scope or send us a message. Click here, and we will be delighted to have a conversation with you!

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