Metropolitan Health Group (MHG) application development team was required to deliver high quality software solutions in a highly pressurised environment to meet customer and business demands. Typical problems such as missing deadlines, poor quality and the inability to manage changing requirement were encountered with a traditional waterfall approach in this environment. IQ Business (IQ) successfully assisted MHG in transforming MHG to an Agile environment resulting in improved productivity, improved quality, better supply and demand management, improved team morale and better alignment between business and IT.

1. technology enablement
agility@IQ – Technology Enablement
transforming
organisations in
delivering business
Metropolitan Health Group – Agile
value, accelerated
adoption in the Software
development teams
Metropolitan Health Group (MHG) application development team was required to deliver high
quality software solutions in a highly pressurised environment to meet customer and business
demands.
Typical problems such as missing deadlines, poor quality and the inability to manage changing
requirement were encountered with a traditional waterfall approach in this environment. IQ Business (IQ)
successfully assisted MHG in transforming MHG to an Agile environment resulting in improved
productivity, improved quality, better supply and demand management, improved team morale and better
alignment between business and IT.
Introduction
IQ Business assisted MHG in transforming their application development team from following a traditional waterfall
Software Development Lifecycle to that implementing Agile principles, tools and techniques utilising Scrum and
Kanban as the frameworks for delivery.
The Client: Background
A subsidiary of JSE-listed MMI Holdings, MHG is the largest administrator of medical schemes in South Africa. MHG
incorporates Momentum Medical Scheme Administrators. MHG’s key differentiators include flexibility and scalability of
systems, and excellent data warehousing and analysis capability. Its fully in-house developed administration services
include membership management; claims processing; comprehensive premium management services; client services;
scheme marketing and communications; governance, secretarial, financial and actuarial services; access to managed
healthcare programmes and customised e-tools utilising mobile phone and internet technology.
Overview of project history
IQ commenced with one project utilising Scrum and Kanban. Due to the delivery and quality success of the project,
MHG application development wanted to extend this approach to all of the teams within application development. The
Agile adoption process within the development team was approximately 18 months in order to mature. An Agile
consultant was allocated to set up the teams, coach and mentor the teams and provide on job the training. In order to
re-enforce the principles, IQ conducted 4 Agile bootcamps for +/- 100 team members with significant impact to the
efficiency and effectiveness of the teams.
The Business Challenge
Within the MHG application development team, key projects, enhancements and production support was being
managed through a fixed capacity, resulting in project managers, business and stakeholders requiring the same skills
thereby resulting in poor demand management and poor delivery. Over and above this, the client runs an annual
project to implement the new medical scheme changes for the following year. This resulted in a code freeze of up to 3
months to ensure that the project is delivered successfully with no other changes accepted.
The Solution
Transforming the development teams in adopting Agile principles using Scrum and Kanban, IQ was able to influence
and guide MHG through the obstacles and assist in implementing Agile in a hybrid model while still maintaining a
level 2 CMMI accreditation. A phased approach was taken to ensure that the correct change management processes
were followed:
1. Identifying and structuring the component teams and creating cross-functional teams (10 teams)
2. Defining team roles and assigning Scrum Masters for each team
3. Identifying Product Owners from Business to drive the requirements for the Product Backlog
4. Training teams through Agile bootcamps and on the job coaching and mentoring
5. Applying the Agile principles and pillars through coaching ensuring transparency, inspection and adaption.
Includes provision of information radiators (task boards, burn downs and others) to improve visibility.
6. Implementation of Scrum of Scrums to ensure alignment across cross-functional teams
7. Resulted in the maturing of the Software Development Lifecycle (SDLC) aligning to CMMI level 2
The leading, independent management consulting firm in South Africa

2. technology enablement
agility@IQ – Technology Enablement
transforming
organisations in
delivering business
value, accelerated
Next Steps / Future Plans
To ensure future success of the Agile adoption is to get business to further buy into the process. Currently
this adoption is driven by IT and needs business to embrace the change.
Critical Success Factors
Failures in the adoption of Agile are typically as a result of little knowledge of the principles and
understanding of the tools and techniques. As IQ had the expertise they were able to coach and mentor
the teams in overcoming the challenges that are typical of an agile adoption. Over and above this, IQ was
able to get the buy-in from the Project Management Office (PMO) in order to embrace the change.
Results, Value and Benefits
Since the implementation of Agile and breaking teams up into cross-functional component teams, the effort
and management of their projects is less risky with immediate visibility on progress and issues. A year
after Agile was implemented, the annual scheme changes project was delivered with a much higher quality
and delivery success in the industry.
The leading, independent management consulting firm in South Africa
Several key benefits were realised:
 Improving visibility with regards to project progress thus also improving the demand and capacity
management
 Reducing time of delivery by reducing the release cycles and introducing changes more frequently
 Improving team morale by creating self-managing, self-organised, cross-functional teams that take
ownership and pride in delivery
 Improving software quality by introducing quality assurance processes applying agile principles
o Significant reduction in defects per release
 Improving team productivity by delivering frequent product at a sustainable pace
Key learning
Key lessons learnt in the engagement were as follows:
 Not underestimating the value of formal change management processes. The agile adoption
impacted the organisational culture and structure. This impact should not be undervalued (nor the
effort underestimated).
 Obtaining the necessary buy-in from relevant parties to embrace the agile adoption and the
changes that were required, is vital early on.
Why IQ Business?
Founded in 1998, IQ has developed its reputation for helping our clients overcome their
challenges. Although proudly South African, our perspective is international through the experience of our
people, our clients and our business partners. IQ Business is privately owned and fully empowered with a
level 3 BEE certification. IQ – Intelligence. Applied.