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Understanding FAR 37.6: How Does Agile Methodology Fit Into Federal Acquisitions?

Writer's picture: Jonathan MostowskiJonathan Mostowski
A dynamic visual representation showcasing interconnected pathways symbolizing innovation and collaboration.
A dynamic visual representation showcasing interconnected pathways symbolizing innovation and collaboration.

How much of a FAR nerd am I? I wrote my MBA thesis on FAR 37.6, Performance-Based Acquisitions (PBA) in 2006 before I had ever heard of Agile. It wasn’t until 2010 when I took over Application Service Acquisitions for NGA, and Director Letitia Long declared NGA would become a #SAFE organization did I recognize the relationship between the two.


So how is FAR 37.6 related to agile SW development?

While FAR 37.6 does not specifically mention Agile methodologies, it aligns with the principles and practices that underpin Agile development approaches. Here’s how FAR 37.6 can be linked to Agile software development:


1. Outcome-Focused Approach: FAR 37.6 emphasizes the importance of focusing on outcomes rather than prescribing specific methods or processes. Similarly, Agile software development emphasizes delivering value and achieving desired outcomes through iterative development and frequent feedback loops.


2. Flexibility and Adaptability: Agile methodologies prioritize flexibility and adaptability in responding to changing requirements and stakeholder feedback. FAR 37.6 encourages agencies to structure contracts that provide flexibility and allow for adjustments based on evolving needs, aligning with Agile’s adaptive approach.


3. Collaboration and Communication: Agile development emphasizes frequent collaboration and communication among stakeholders, including government agencies and contractors. FAR 37.6 promotes early engagement and collaboration between the government and industry partners to ensure a shared understanding of requirements and foster effective communication throughout the procurement process.


4. Iterative Delivery and Continuous Improvement: Agile software development promotes iterative delivery, allowing for the early release of functional software components. FAR 37.6 supports the concept of progressive acquisition, where contracts are structured to enable incremental deliveries and continuous improvement, aligning with the iterative nature of Agile development.


While FAR 37.6 does not explicitly prescribe Agile methodologies, it provides a framework that aligns with the principles of Agile software development. By leveraging the flexibility, collaboration, iterative delivery, and outcome-focused approach of both FAR 37.6 and Agile, government agencies can foster more efficient and effective software development processes that deliver value to stakeholders.


It’s important to note that compliance with FAR 37.6 and the specific procurement regulations of government agencies is necessary when implementing Agile software development within a government context. Consulting with legal and procurement experts familiar with government regulations is recommended to ensure adherence to all applicable guidelines.

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