THE EFFECTIVENESS OF SCRUM IN PROJECT 
MANAGEMENT IN THE SRI LANKAN CONTEXT 
 
 
 
 
 
 
MASTER OF BUSINESS ADMINISTRATION  
IN  
INFORMATION TECHNOLOGY 
 
 
 
 
 
 
 
Gamage Asha Lakmini Senanayake 
Department of Computer Science & Engineering 
University of Moratuwa 
December 2009 
i 
 
THE EFFECTIVENESS OF SCRUM IN PROJECT 
MANAGEMENT IN THE SRI LANKAN CONTEXT 
 
 
 
 
By 
 
Gamage Asha Lakmini Senanayake  
 
 
 
 
The dissertation was submitted to the Department of Computer Science & 
Engineering of the University of Moratuwa in partial fulfillment of the 
requirement for the Degree of Master of Business Administration in 
Information Technology. 
 
Department of Computer Science & Engineering 
University of Moratuwa 
December 2009 
 
ii 
 
Declaration 
 
I hereby certify that this dissertation does not incorporate, without acknowledgement, 
any material previously submitted for a Degree or Diploma in any University and to 
the best of my knowledge and belief, it does not contain any material previously 
published or written by another person or myself except where due reference is made 
in the text. I also hereby give consent for my dissertation, if accepted, to be made 
available for photocopying and for interlibrary loans, and for the title and summary to 
be made available to outside organizations.  
 
 
……………………………….    ………………………….. 
Signature of the candidate            Date  
  
 
 
 
 
……………………………….……….……….……………………………….……….. 
 
To best of my knowledge the above particulars are correct. 
 
……………………………….    ………………………… 
Signature of the Supervisor       Date  
 
iii 
 
Abstract  
 
The challenges with developing software systems led to a switch from traditional 
software methodologies like Waterfall towards the Agile software methodologies. 
These Agile software methodologies have become more and more popular in recent 
times, and Scrum in particular has been adopted by many companies. The current 
literature suggests that these Agile methodologies are indeed more effective in project 
management, particularly in dealing with the complexity of modern software systems 
and the rapidly changing business environment.  
 
Given however a lack of available evidence of such research on the factors leading to 
the adoption of Scrum, its usage and its impact within Sri Lanka, this thesis 
investigates the efficacy of Scrum in project management in the Sri Lankan context.   
 
Agile methodologies were initially proposed as being effective in specialized 
scenarios, for example, with small co-located teams, but studies have shown that these 
methodologies are also effective in many other settings. The existing literature further 
proposes that many factors can affect the effectiveness of these methodologies. This 
thesis therefore set out to compare some of the critical success factors identified in the 
existing literature against various characteristics found in the Sri Lankan environment. 
 
A questionnaire was developed for measuring the effectiveness of projects that use the 
Scrum methodology, and data was gathered from professionals in six companies. The 
results revealed that several factors were strongly associated with the effectiveness of 
projects, namely management support, organizational environment, customer involvement, 
project management process, delivery strategy and team environment. While this study is 
not able to confirm that these six factors directly cause an impact on the effectiveness 
of a project, they are important factors that practitioners should be aware of. 
 
To ensure the success of their projects, stakeholders are urged to facilitate upper 
management support, create an Agile-friendly organizational environment, ensure 
strong customer involvement and follow an Agile project management process. 
 
Key words: Agile project management, Scrum 
iv 
 
Acknowledgements  
 
I would like to take this opportunity to express my utmost gratitude for all those who 
helped in countless ways to make my thesis a success. 
 
The guidance and unwavering support of my supervisor, Dr. Buddhinath Jayatilleke, 
was a big contribution towards the advancement of the thesis. Mrs. Vishaka 
Nanayakkara, the head of Computer Science and Engineering, provided advice, 
especially by analyzing the project proposal over and over again and at the progress 
review presentations. The diversified knowledge imparted to me with great skills and 
concern by all my lecturers helped me in successfully completing the thesis. Isuru and 
Sampath of University of Moratuwa too were an immense support. 
 
A special word of thanks goes out to Mr. Prasantha Suraweera of IFS, Mr. Paravi, 
Project Manager of Teamwork and Ms. Thushara Wijewardane, Project Director of 
Exilsoft, who took time off their tight schedules to help me in providing information 
with regard to Scrum adoption in Sri Lanka.  
 
Finally, I thank Rukmal, for the help and support throughout the thesis which was so 
precious particularly when I was tempted to give it all up, and especially for the love 
and care at all times. I gratefully remember the protection and love of my parents. Last 
but certainly not in the least, I thank Chaminda, Chamith, Evanthika, Janaka, Janani, 
Kaushalya and all my other friends, family and colleagues whom I do not have the 
capacity to name individually here. 
 
v 
 
Table of Contents 
 
Declaration .............................................................................................................................................. ii 
Abstract .................................................................................................................................................. iii 
Acknowledgements .................................................................................................................................iv 
Table of Contents .................................................................................................................................... v 
List of Tables......................................................................................................................................... vii 
List of Figures ...................................................................................................................................... viii 
List of Abbreviations ..............................................................................................................................ix 
Chapter 1 - Introduction ................................................................................................................... 1 
1.1 Research background ............................................................................................................... 1 
1.2 Motivation ................................................................................................................................ 1 
1.3 Research scope ......................................................................................................................... 2 
1.4 Problem statement.................................................................................................................... 2 
1.5 Research objectives .................................................................................................................. 2 
1.6 Research significance .............................................................................................................. 2 
1.7 Thesis structure ........................................................................................................................ 3 
Chapter 2 - Literature Review.......................................................................................................... 4 
2.1 Introduction .............................................................................................................................. 4 
2.2 Agile software development and Scrum .................................................................................. 4 
2.3 A model for measuring the effectiveness of Agile methodologies .......................................... 5 
2.4 Scrum practices ........................................................................................................................ 6 
2.4.1 ScrumMaster ....................................................................................................................... 7 
2.4.2 Product Backlog .................................................................................................................. 7 
2.4.3 Sprint ................................................................................................................................... 8 
2.4.4 Product Owner ..................................................................................................................... 8 
2.4.5 Scrum team .......................................................................................................................... 8 
2.4.6 Daily Scrum meetings ......................................................................................................... 9 
2.4.7 Sprint planning meeting ...................................................................................................... 9 
2.4.8 Sprint review meeting .......................................................................................................... 9 
2.4.9 Sprint retrospective meeting .............................................................................................. 10 
2.5 The Scrum process ................................................................................................................. 10 
2.6 Effectiveness of Scrum .......................................................................................................... 12 
2.7 Challenges in Scrum .............................................................................................................. 13 
Chapter 3 - Research Methodology ................................................................................................ 15 
3.1 Introduction ............................................................................................................................ 15 
3.2 Research problem .................................................................................................................. 15 
3.3 Conceptual framework (Research design) ............................................................................. 15 
3.4 Hypotheses ............................................................................................................................. 18 
3.5 Questions for the survey ........................................................................................................ 20 
3.6 Data collection ....................................................................................................................... 22 
3.6.1 Population, sample and sample selection .......................................................................... 22 
3.6.2 Process of data collection .................................................................................................. 23 
3.6.3 Methods of data collection ................................................................................................ 24 
Chapter 4 - Data Analysis ............................................................................................................... 25 
4.1 Introduction ............................................................................................................................ 25 
4.2 Data preparation ..................................................................................................................... 25 
4.2.1 Assignment of weights to responses .................................................................................. 25 
4.2.2 Internal consistency of the data set .................................................................................... 28 
4.3 Descriptive statistics for demographic data ........................................................................... 29 
4.4 Identification of questions for the factors .............................................................................. 34 
4.5 Analysis of Scrum adherence level ........................................................................................ 37 
4.5.1 Scrum roles in team ........................................................................................................... 37 
vi 
 
4.5.2 Daily Scrum ....................................................................................................................... 37 
4.5.3 Duration of daily Scrum meeting ...................................................................................... 38 
4.5.4 Number of Scrum team members ...................................................................................... 39 
4.5.5 Deliverables at the end of each Sprint ............................................................................... 39 
4.5.6 Most recent Sprint duration ............................................................................................... 40 
4.5.7 Sprint planning meeting duration ...................................................................................... 41 
4.5.8 Retrospective meeting duration ......................................................................................... 41 
4.6 Measuring project effectiveness ............................................................................................ 42 
4.6.1 Descriptive statistics for adherence to time estimates ....................................................... 42 
4.6.2 Descriptive statistics for adherence to budget allocations ................................................. 43 
4.6.3 Descriptive statistics for adherence to quality objectives .................................................. 44 
4.6.4 Descriptive statistics for project effectiveness ................................................................... 45 
4.6.5 Testing the project effectiveness score .............................................................................. 46 
4.7 Hypothesis testing .................................................................................................................. 47 
4.7.1 Testing Hypothesis 1 ......................................................................................................... 47 
4.7.2 Testing hypothesis 2 .......................................................................................................... 48 
4.7.3 Testing hypothesis 3 .......................................................................................................... 49 
4.7.4 Testing hypothesis 4 .......................................................................................................... 50 
4.7.5 Testing hypothesis 5 .......................................................................................................... 51 
4.7.6 Testing hypothesis 6 .......................................................................................................... 52 
4.7.7 Testing hypothesis 7 .......................................................................................................... 53 
4.7.8 Testing hypothesis 8 .......................................................................................................... 54 
4.8 Summary of hypothesis test results ........................................................................................ 55 
Chapter 5 - Recommendations and Conclusion ............................................................................ 56 
5.1 Introduction ............................................................................................................................ 56 
5.2 Qualitative data analysis ........................................................................................................ 56 
5.2.1 Daily Scrum conducted on Google Wave ......................................................................... 56 
5.2.2 A dynamic Sprint Backlog ................................................................................................ 57 
5.2.3 No task estimation at Sprint planning meeting .................................................................. 57 
5.3 Research limitations ............................................................................................................... 57 
5.4 Future work ............................................................................................................................ 58 
5.5 Conclusion ............................................................................................................................. 58 
References .............................................................................................................................................. 60 
Appendix A – Questionnaire ...................................................................................................................i 
Appendix B – ScrumMaster interview questions ................................................................................vi 
Appendix C – Feedback on preliminary questionnaire .................................................................... vii 
 
 
 
vii 
 
List of Tables 
 
Table 3-1: Attributes of project effectiveness ......................................................................................... 16 
Table 3-2: Questions for the survey ........................................................................................................ 20 
Table 3-3: Questions for measuring effectiveness score ......................................................................... 22 
Table 3-4: Population and sample ........................................................................................................... 22 
Table 4-1: Disregarded data .................................................................................................................... 26 
Table 4-2: Assignment of weights to responses ...................................................................................... 26 
Table 4-3: Assignment of weights to responses (Likert scales) .............................................................. 27 
Table 4-4: Internal consistency of the data .............................................................................................. 28 
Table 4-5: Correlations of questions in “team capability” ...................................................................... 34 
Table 4-6: Correlations of questions in “team environment” .................................................................. 35 
Table 4-7: Correlations of questions in “project management process” .................................................. 36 
Table 4-8: Decomposed factors and the selected questions .................................................................... 36 
Table 4-9: Paired comparison for project effectiveness .......................................................................... 46 
Table 4-10: Correlation results of MS and effectiveness in terms of Quality, Cost and Time ................ 47 
Table 4-11: Correlation of OE and effectiveness in terms of Quality, Cost and Time ............................ 48 
Table 4-12: Correlation of TE and effectiveness in terms of Quality, Cost and Time ............................ 49 
Table 4-13: Correlation of TC and effectiveness in terms of Quality, Cost and Time ............................ 50 
Table 4-14: Correlation of CI and effectiveness in terms of Quality, Cost and Time ............................. 51 
Table 4-15: Correlation of PMP and effectiveness in terms of Quality, Cost and Time ......................... 52 
Table 4-16: Correlation of DS and effectiveness in terms of Quality, Cost and Time ............................ 53 
Table 4-17: Correlation of SAL and effectiveness in terms of Quality, Cost and Time .......................... 54 
Table 4-18: Summary of hypothesis testing ............................................................................................ 55 
 
viii 
 
List of Figures 
 
Figure 2-1: Chow and Cao’s research model ............................................................................................ 6 
Figure 2-2: Scrum process ......................................................................................................................... 7 
Figure 2-3: Scrum flow ........................................................................................................................... 11 
Figure 3-1: Research model .................................................................................................................... 17 
Figure 3-2: Data collection process ......................................................................................................... 23 
Figure 4-1: Number of employees in the organization ............................................................................ 29 
Figure 4-2: Number of software developers ............................................................................................ 29 
Figure 4-3: Scrum usage (years).............................................................................................................. 30 
Figure 4-4: Age (years) ........................................................................................................................... 30 
Figure 4-5: Gender .................................................................................................................................. 30 
Figure 4-6: Level of education ................................................................................................................ 31 
Figure 4-7: Job position ........................................................................................................................... 31 
Figure 4-8: Job designation ..................................................................................................................... 32 
Figure 4-9: Experience in software development .................................................................................... 32 
Figure 4-10: Experience in Scrum ........................................................................................................... 33 
Figure 4-11: Total project duration ......................................................................................................... 33 
Figure 5-1: Scrum roles in team – successful projects versus unsuccessful projects .............................. 37 
Figure 5-2: Daily Scrum - successful project .......................................................................................... 38 
Figure 5-3: Daily Scrum - unsuccessful project ...................................................................................... 38 
Figure 5-4: Daily Scrum duration – successful projects versus unsuccessful projects ............................ 38 
Figure 5-5: Number of team members – successful projects versus unsuccessful projects ..................... 39 
Figure 5-6: Deliverables - successful projects ......................................................................................... 40 
Figure 5-7: Deliverables - unsuccessful projects ..................................................................................... 40 
Figure 5-8: Most recent Sprint duration – successful projects versus unsuccessful projects .................. 40 
Figure 5-9: Sprint planning meeting duration – successful projects versus unsuccessful projects .......... 41 
Figure 5-10: Retrospective meeting duration – successful projects versus unsuccessful projects .......... 41 
Figure 5-11: Time estimates – successful projects .................................................................................. 42 
Figure 5-12: Time estimates – unsuccessful projects .............................................................................. 42 
Figure 5-13: Budget overruns – successful projects ................................................................................ 43 
Figure 5-14: Budget overruns – unsuccessful projects ............................................................................ 43 
Figure 5-15: Quality objectives – successful projects ............................................................................. 44 
Figure 5-16: Quality objectives – unsuccessful projects ......................................................................... 44 
Figure 5-17: Effectiveness – successful projects ..................................................................................... 45 
Figure 5-18: Effectiveness – unsuccessful projects ................................................................................. 45 
 
ix 
 
List of Abbreviations 
 
 
PO - Product Owner 
SM - ScrumMaster 
SPSS  - Statistical Package for the Social Sciences 
SP - Successful Project 
UnSP - Unsuccessful Project 
MS - Management Support 
OE - Organizational Environment  
TE - Team Environment  
TC - Team Capability  
CI - Customer Involvement 
PMP - Project Management Process 
DS - Delivery Strategy 
SAL - Scrum Adherence Level