1. University of the Visayas, Cebu, Philippines.
2. University of the Visayas, Cebu, Philippines.

* Correspondence: cepenriquez2018@gmail.com

Keywords: Agile project management, Philippine, APM, management

1. INTRODUCTION

Agile project management (APM) can be described as a methodical and iterative strategy for organizing and directing project procedures. The project processes are divided into smaller cycles known as sprints or iterations. Agile project management facilitates the expeditious and collaborative execution of software development projects, allowing project teams to effectively respond to evolving development requirements. Additionally, it facilitates the ability of development teams to promptly respond to feedback, thereby allowing them to implement modifications during each sprint and product cycle. Agile project management places emphasis on the execution of tasks in small increments, employing visual representations of workflows, and engaging in active collaboration with end users to obtain valuable feedback. The emphasis is also placed on continuous releases, as they typically integrate specific feedback within each iteration. The primary advantage of initiating agile project management lies in its capacity to effectively address and resolve issues that emerge during the project’s progression. Implementing a timely and essential modification to a project can result in resource conservation and contribute to the successful completion of the project within the designated timeframe and allocated budget. [1][2] Assert that the agile approach has gained significant traction in project management practices, as reported by the Project Management Institute. The aforementioned approach exerts a substantial influence on the expansion of businesses and the performance of projects. Nevertheless, the implementation of this concept poses significant challenges. Hence, a systematic literature review (SLR) is employed to uncover the challenges encountered during the execution of agile projects. In the Outsourcing Industry, the Agile Project Management may divide projects into sprints and cooperate to produce high-quality solutions. This strategy enables the outsourcing industry to deal with frequent project difficulties such as cost management, scope creep, and failing to meet deadlines. Furthermore, each work has a testing phase, which helps teams to discover and focus on resolving difficulties promptly to minimize any long-term negative implications. Agile Project Management (APM) has gained significant traction in various industries due to its flexibility, adaptability, and iterative approach to project execution. However, its adoption within the outsourcing industry, especially in the context of the Philippines, remains an underexplored area of study. This study aimed to address this gap by investigating the Perceived Value and Perceived Impediments of Agile Project Management adoption in the outsourcing industry in the Philippine context. Despite the widespread adoption of agile methodologies in software development and other sectors, its implementation in the outsourcing industry has not received adequate attention, particularly in the Philippine setting. Outsourcing has become a crucial part of the Philippine economy, with a strong focus on services like customer support, IT services, and business process outsourcing. As organizations worldwide seek cost-effective solutions, understanding the factors that affect the adoption of APM in this industry is of paramount importance. Further to this, while there is a perceived massive adoption, there have been limited studies specific to adoption of agile project management in the outsourcing industry in the Philippines. This is particularly interesting because the IT-BPM industry in the Philippines which houses majority of software and business process outsourcing is projected to generate a $59B revenue and increase of 2.5M workforce in 2028 [3]. Agile methodologies, widely studied in software development and product management, have not been extensively applied in the outsourcing industry. Most studies on Agile Project Management (APM) focus on its implementation within in-house project teams, leaving a gap in knowledge about how outsourcing companies in the Philippines perceive and implement agile practices. This study aims to answer questions about the profile of selected outsourcing industries, the perceived value and impediments of Agile Project Management, and its implications for the greater understanding of Agile Project Management in the context of outsourcing industries and similar industries. The survey-based study aims to identify this gap by assessing respondents’ perceptions of the value and impediments in adopting agile practices among outsourcing professionals.

2. MATERIAL AND METHODS

The study will be employing the descriptive method of investigation. According to [4], Descriptive design is meant to characterize a group, circumstance or phenomena adequately and systematically. It can answer questions like what, where, where, where, and how, but not why. Experimental study is needed to establish cause and effect. A concise study design may analyze one or more variables using a wide variety of quantitative and qualitative approaches. The study does not monitor or modify any of the factors, as applied to experimental study, but only monitors and tests them. Furthermore, quantitative approach will also be used in the study. Quantitative methods emphasize objective measurements and the statistical, mathematical, or numerical analysis of data collected through polls, questionnaires, and surveys, or by manipulating pre-existing statistical data using computational techniques. Quantitative study focused on gathering numerical data and generalizing it across groups of people or to explain a particular phenomenon [5]. This approach is suited for the study because it will be utilizing quantitative strategies for data collection such as test questionnaire and documentary analysis emphasizing the need to meet the objectives of this study. Additionally, the main instrument to be used in this study is a survey questionnaire. Survey questionnaire is individually or in a group, professionally conducted or self-administered, it is normally contained a number of items that reflect the objectives of the study A questionnaire may examine about demographics in addition to using reliable and accurate study tools [6]. Authors should describe the survey’s contents so that readers may comprehend and assess the probability of validity and reliability flaws (such as topics or instruments that do not measure what they are supposed to measure) (e.g., items or instruments that do not measure a construct consistently). [7]. Therefore, it is appropriately designed to evaluate the significance of the variables given in this study. The survey questions were also adopted from [8] study which focuses on the aspects of bringing in external knowledge in the early stage of adoption. Additional questions were added to surface the objective of the study. The researcher will ask for expert to give correction about the questionnaires, such as grammar, vocabulary, and content. The survey will be undergone for modifications before distributing to respondents for external validation. After that, the researcher will revise it and test it for reliability. The researchers will use SPSS new version to tabulate the data collected. The researcher will analyze the questionnaire by using the Cronbach coefficient for internal validity. For this study, the preparations involved many steps including the preparation and draft of the study instrument for validation and verification. These steps include securing vital necessities through an online survey form (Google Forms) to cast a wider random sampling. The researcher also embedded a consent waiver form and a disclaimer about the study to make sure that the respondents have a grasp of the study while also gathering their consent and participation in this study. The researcher conducted the data collection process as agreed and directed by the responses by the proper authorities, and the convenience of the respondents. See Appendix 1 The following formulas will be used to process get data for the study questions:

Frequency and Percentage Distribution

This will be used to render the demographic profiles of the respondents.

Whereas:

P = percentage

f = number of respondents’ answers N = Total number of respondents

Weighted Mean

X= ∑ 𝑿/𝑵

This will be used in the assessment of the effectiveness of the accounting software in improving the business performance of select coffee shops/café.

Wherein:

∑X = sum of the quantitative variable. N = total sample size

Likert Scale

The Likert scale is a rating scale that quantitatively assesses the perceived value or impediment of Agile Project Management. Likert-type items that represent similar questions combined into a single composite score/variable. All the respondents were given a chance to rate each statement in the questionnaire. Their answers were given a corresponding number as follows:

1	Never
2	Seldom
3	Sometimes
4	Often
5	Always

 

3.RESULTS AND DISCUSSION

This section presents all the results of the data gathering procedures done by the researcher including their corresponding discussion, analysis, and interpretation.

Table 01: Years of Experience in the Outsourcing Industry

Years	Frequency	Percentage	Ranking
Less than 3 years	2	6.66%	4
3-5 years	10	33.3%	2
5-10 years	15	50.0%	1
More than 10 years	3	10.0%	3
TOTAL	30	100%

As shown above, majority of the respondents have been in the outsourcing industry for 5-10 years gaining 15 frequencies covering 50% of the population followed by those from 3-5 years with 10 frequencies covering 33.3% of the population and then by those who have been working for more than 10 years with 3 frequencies covering 10% and the least are those who have been working for less than 3 years with 2 frequencies and covering the remaining 6.66% of the population.

Table 02: Company/Organization Size

Company/Organization Size	Frequency	Percentage	Ranking
Less than 100 employees	17	56.66%	1
100-1000 employees	3	10%	4
1000-5000 employees	12	40%	2
more than 5000 employees	8	26.66%	3
TOTAL	30	100%

As shown above, in terms of company/organization size, majority of the respondents believe that they are less than 100 employees with 17 frequencies covering 56.66% of the population, followed by those with 1,000-5,000 employees with 12 frequencies gaining 40% of the population and then by those with more than 5,000 employees with 8 frequencies covering 26.66% of the population. The least are those from 100-1,000 employees covering 3 frequencies with 10% of the population. 

Table 03: Role/Position in the Company

Role/Position in the Company	Frequency	Percentage	Ranking
Rank and File/Individual Contributor/Project Member	15	50%	1
Supervisory/Team Leader	4	13.33%	4
Management	6	20%	2
Director/Executive/Head of Department	5	16.66%	3
TOTAL	30	100%

As shown above, in terms of role/position in the company, majority of them are rank and file members with 15 frequencies covering 50% of the population followed by those holding with management position with 6 frequencies covering 20% of the population and then by those who are in the director and executive head of department with 5 frequencies covering 16.66% of the population. The least are those who have supervisory or team leader positions covering 4% of the population and the remaining 13.33% of the population.

Table 04: Types of Outsourcing Experience

Types of Outsourcing Experience	Frequency	Percentage	Ranking
Professional    Outsourcing     (accounting,    legal,     digital marketing, VA)	8	26.66%	1
IT Outsourcing (technology, cloud computing, robotic process automation, and artificial intelligence)	2	6.66%	4
Business Process (customer support, back office work, and administrative)	7	23.33%	2
Manufacturing (design and manufacture of physical product)	3	10%	3
Process-specific (specific task ie delivery service to a third- party service provider, KPO)	8	26.66%	1
Project-based (contract of a project or portion of a project to a provider)	2	6.66%	4
TOTAL	30	100%

As shown above, in terms of types of outsourcing experiences, majority of them came from professional outsourcing and project-based work with 8 frequencies each covering 26.66% each. This is followed by those who are in the Business Processing with 7 frequencies covering 23.33% of the population and then by those from the Manufacturing management covering 10% of the population and the least are those from the IT outsourcing and project-based jobs.

Table 05: Department

Department	Frequency	Percentage	Ranking
Operations / Production / Service Delivery	16	53.33%	1
Functional Groups (HR, Facilities, IT, Finance, Accounting, Recruitment)	14	46.66%	2
Delivery Support (Training, QA, WFM)	0	0%	3
Enablement        (PMO,         Continuous                                Improvement, Transformation, Sales, Chapter/Mission)”	0	0%	3
TOTAL	30	100%

As shown above, in terms of their departments, majority are from the operations/production/service delivery with 16 frequencies covering 53.33% of the population and then by those from functional groups with 14 frequencies covering 46.66% of the population.

Table 06: Extent of Working on a Project Employing the Agile Project Management Method

Questions	Yes	No
Are you currently working on a project which is using any of the different agile project management methodologies?	28	2
Did you understand “agile” in the same way before any professional third-party training?	17	13
Have you worked in an “agile” team?	16	14
Do you think following agile step-by-step approach with professional third party will improve the project result?	22	8
Is your organization setup of support a cross-functional agile project implementation?	20	10
Do you believe that agile project management bring value to the outsourcing industry?	29	1

As shown above, majority of the respondents are currently working on a project which is using any of the different agile project management methodologies. The table also shows that many of them understand “agile” in the same way before any professional third-party training. It can also be interpreted that many of them think following agile step-by-step approach with professional third party will improve the project result which is evident by the fact that they have worked in an agile team before and that at present their organization setup of support a cross-functional agile project implementation.

Table 07: Extent of the Effectiveness of Agile Project Management

Questions/Indicators	Weighted Mean	Verbal Interpretation
Implementing an “agile” approach, adopted to our products/industry needs, will improve our working environment?	3.44	Highly Effective
Do you think “agile” may make it easier to adopt to changing requirements or environments?	2.56	Effective
Do you think by adopting agile requirement management we can optimize the requirements management of our products and applications?	3.12	Highly Effective
Do you think “agile” may support faster time-to-market and a greater focus on our products?	3.09	Highly Effective

How important do you think awareness of agile project management is for the outsourcing industry?	3.42	Highly Effective
How would you rate the availability of training and resources for developing agile project management skills within the outsourcing industry in the Philippines?	3.12	Highly Effective
How motivated are you in proactively getting updates about the latest trends and practices in agile project management?	3.40	Highly Effective
How would you rate the level of client satisfaction with the outcomes achieved through agile project management in the outsourcing industry?	2.76	Effective
How would you rate the effectiveness of agile project management practices in delivering value outcomes in the outsourcing industry?	2.10	Effective

As shown above, it can be seen that all of the indicating questions in measuring the extent of the effectiveness of Agile Project Management is Effective and that some of these questions even received a “Highly Effective” remark which only proves that the Agile Project Management can really escalate or elevate the overall operations of outsourcing industries. The respondents are confident that the implementation of the agile technique in their industries or companies helped them so much in terms of their productivity, communications, technical support, and overall work performance.

Table 08: Practices, Strategies, Challenges, and Impediments of Agile Project Management

Perceived Benefits	Frequency	Percentage
Enhanced collaboration and communication	22	73.3%
Improved project flexibility and adaptability	3	10.0%
Increased client satisfaction	4	13.3%
Higher quality deliverables	1	3.3%
Faster time-to-market	0	0%
Practices	Frequency	Percentage
Regular status meetings and progress updates	2	6.7%
Utilizing collaborative project management tools and software	10	33.3%
Establishing clear communication channels and protocols	3	10.0%
Encouraging active client participation in project discussions and decision-making	15	50.0%
Providing timely and transparent project reporting	0	0%
Proactive communication between scrum team and stakeholder outside of ceremonies	0	0%
Strategies to Promote Adoption	Frequency	Percentage
Regular status meetings and progress updates	15	50.0%
Utilizing collaborative project management tools and software	2	6.7%
Establishing clear communication channels and protocols	4	13.3%
Encouraging active client participation in project discussions and decision-making	4	13.3%
Providing timely and transparent project reporting	5	16.7%
Proactive communication between scrum team and stakeholder outside of ceremonies	0	0%
Regular status meetings and progress updates	0	0%

Utilizing collaborative project management tools and software	0	0%
Establishing clear communication channels and protocols	0	0%
Perceived Challenges in Adoption	Frequency	Percentage
Limited availability of training and educational resources	27	90.0%
Lack of management support and understanding of agile principles	3	10.0%
Resistance to change within the organization	0	0%
Cultural barriers and differences in adopting agile practices	0	0%
Difficulty in convincing stakeholders about the benefits of agile project management	0	0%
Insufficient knowledge and understanding of agile methodologies among team members	0	0%
Lack of awareness about industry trends and emerging practices	0	0%
Limited communication and knowledge-sharing channels within the organization	0	0%
Inadequate budget allocation for agile training and implementation	0	0%
Perceived Impediments	Frequency	Percentage
Lack of client understanding and support	2	6.7%
Communication challenges between the client and the outsourcing team	1	3.3%
Cultural differences between the client and the outsourcing team	0	0%
Resistance to change within the outsourcing organization	7	23.3%
Lack of skilled agile practitioners to guide the implementation	9	30.0%
Lack of knowledge in practicing agile methodologies	7	23.3%
Risk aversion of organisation	0	0.0%
Lack of opportunities to practice agile methodologies	3	10.0%
Availability of tools to execute on agile methodologies	1	3.3%
Lack of client understanding and support	2	6.7%
Factors Affecting Decisions	Frequency	Percentage
Enhanced collaboration	22	73.3%
Flexibility in project scope	20	66.7%
Faster time-to-market	10	33.3%
Customer demand	7	23.3%
The nature of the project	12	40.0%
Cost of development	3	10.0%
Company Direction	11	36.7%
Reduced waste through minimizing resource	1	3.3%

As shown above, Agile Project Management is far from perfect when adopted in the outsourcing industry. Definitely, the advantages are overwhelming from enhanced collaboration and communication, improved project flexibility, increased client satisfaction among others. However, despite this plethora of advantages and benefits, one must monitor the challenges including but not limited to the limited availability of training and educational resources, lack of management support and the understanding of agile principles, resistance to change within the organization, cultural barriers and many more. Hence, it can be concluded that the most impacting factor affecting decisions to adopt APM is the enhanced collaboration between all relevant stakeholders followed by the flexibility in project scope. Primary limitation which is Lack of skilled agile practitioners to guide the implementation is also related to the top challenge in adoption which is Limited availability of training and educational resources. This can be attributed to the availability of not just training but skilled APM professionals who can provide coaching and mentoring to the projects. The top most strategy that the respondents use to improve adoption is to hold regular status meetings and progress updates. Teams protecting these meetings and schedules include rapid feedback, constant modification, and best practices for Q&A, ensuring excellent output and a simplified process. To promote the best possible outcome, respondents believe that encouraging active client participation in project discussions and decision-making is the top practice that will enable effective adoption. As a result, the most impactful benefit perceived by the respondents is enhanced collaboration and communication, which is critical in ensuring that all milestones and backlogs are done according to the sprint and schedule it is planned for.

4.CONCLUSION

In this study, an investigation was conducted to explore the Perceived Value and Perceived Impediments of Agile Project Management (APM) adoption within the Philippine outsourcing industry. The study revealed several significant findings that offer insights into the perceptions and experiences of professionals engaged in outsourcing projects. The data analysis illuminated the tenure and experience distribution of the respondents, with a notable majority falling within the 5-10 years range. This wealth of experience lends credibility to the gathered insights, as it reflects a substantial exposure to the intricacies of outsourcing endeavors. The diversity of company sizes and roles among the respondents enriched the study outcomes. A considerable portion of participants hailed from organizations with less than 100 employees, primarily occupying rank and file positions. This broad representation across organizational levels provides a well- rounded perspective on the adoption of agile practices. The spectrum of outsourcing experiences depicted in the findings unveiled the prevalence of professional outsourcing and project-based work. This diversity in experiences underscores the comprehensive nature of the study, encompassing various dimensions of outsourcing practices and processes. Remarkably, the study indicated a widespread understanding of agile concepts among respondents. A significant number were currently engaged in projects employing Agile methodologies. It is noteworthy that many respondents had informal exposure to Agile principles prior to professional training, signifying a proactive interest in adopting Agile practices. The findings unequivocally endorsed the effectiveness of Agile Project Management. Respondents attested to the substantial improvements in productivity, communication, technical support, and overall work performance resulting from the implementation of Agile techniques in their outsourcing projects. However, amidst the advantages, the study did not overlook the challenges and impediments associated with Agile adoption. Respondents highlighted obstacles such as inadequate training resources, a lack of management support and understanding of Agile principles, resistance to organizational change, and the influence of cultural barriers. In conclusion, this study encapsulates valuable insights into the perceptions, experiences, and challenges that underpin the adoption of Agile Project Management within the Philippine outsourcing industry. The findings underscore the potential of Agile methodologies to enhance collaboration, communication, and project flexibility. Concurrently, the study emphasizes the necessity of addressing the identified challenges to ensure the successful integration of Agile practices. With its diverse range of respondents and experiences, this study contributed both to academic scholarship and practical applications in the evolving outsourcing landscape. It stands as a foundational resource for further exploration and refinement of Agile practices within the context of outsourcing. Based on the comprehensive findings of this study, several key recommendations emerge that can guide the effective integration of Agile Project Management (APM) within the outsourcing industry in the Philippine context. First and foremost, organizations should prioritize the enhancement of training and education initiatives. Recognizing the informal exposure to Agile concepts among respondents before formal training, tailored Agile programs should be developed to cater to individuals at various levels of familiarity. By offering a structured curriculum encompassing Agile principles, methodologies, and best practices, organizations can equip their workforce with the knowledge required for successful Agile adoption. A critical aspect identified in the study is the need for strong management support and awareness. To address this, it is imperative to cultivate a culture that champions Agile practices. This involves providing training not only to project teams but also to management personnel, ensuring they possess a clear understanding of Agile’s benefits and implications. By fostering management alignment with Agile principles, organizations can pave the way for smoother implementation. Change management emerges as a pivotal consideration in Agile adoption. Overcoming resistance to change requires a multifaceted approach that involves clear communication, active stakeholder involvement, and gradual process transitions. Organizations should invest in well-defined change management strategies, acknowledging the challenges of change resistance and proactively addressing them. In a diverse and geographically dispersed outsourcing industry, cultural integration becomes a paramount concern. Organizations must implement cross-cultural training and sensitization programs that promote understanding and respect for different cultural norms and communication styles. This proactive approach can foster collaboration, reduce misunderstandings, and enhance team cohesion. To maximize the benefits of Agile practices, customization is key. While Agile principles remain consistent, their implementation might require tailoring to suit the unique challenges posed by the outsourcing industry. Organizations should adapt Agile methodologies to address remote collaboration, stringent deadlines, and communication across different time zones. These recommendations collectively address the challenges and opportunities identified in the study. By emphasizing training, management support, change management, cultural integration, customization, continuous improvement, knowledge sharing, industry collaboration, feedback mechanisms, and a long-term perspective, organizations within the Philippine outsourcing industry can effectively adopt and capitalize on the advantages of Agile Project Management.

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