COMPARATIVE ANALYSIS OF THE EFFECTIVENESS OF AGILE AND TRADITIONAL PROJECT MANAGEMENT APPROACHES IN THE IT INDUSTRY

Abstract

The article presents a comprehensive comparative analysis of the effectiveness of applying agile (Agile) and traditional project management approaches in the IT industry. The author focuses on three key parameters of evaluating project efficiency: development speed, adaptability to changes, and customer satisfaction. Given the dynamic nature of today’s information technology market, the high level of competition, and the rapid evolution of product requirements, special attention is paid to analyzing the advantages of Agile in the context of quick responses to client demands and adaptation to external challenges. Particular focus is also given to the comparison between agile and waterfall models in software development, considering the findings of recent academic studies by Ukrainian scholars. The study reveals that agile approaches significantly reduce development time through the use of short iterations, improve software quality via frequent testing and feedback, and enhance customer satisfaction by ensuring their continuous involvement in the product creation process. At the same time, traditional models, such as Waterfall, remain effective in projects with clearly defined and stable requirements. The article summarizes recommendations regarding the appropriateness of using either Agile or traditional methodologies depending on the project's specificity, team size, level of uncertainty, and customer expectations. It also presents examples of adapting methodologies to different organizational contexts within Ukrainian IT companies. The findings offer practical value for project managers, IT company executives, and researchers in the field of project management who aim to optimize their approaches to implementing IT projects in accordance with the demands of the modern digital environment. The paper also highlights how the implementation of Agile methodologies contributes to building a culture of continuous improvement, flexibility, and teamwork, which are crucial in fast-paced and innovation-driven sectors such as information technology. Moreover, practical implications and strategic considerations of adopting Agile frameworks in various business settings are discussed, alongside the importance of stakeholder engagement, transparent communication, and iterative learning processes. These components are fundamental to achieving not only operational efficiency but also long-term organizational resilience and market competitiveness.