A data-backed pilot of an agile transformation to support a smoke-free future for Philip Morris International

Case Study

8 Nov

We helped Philip Morris International align senior leadership on what a meaningful Agile Transformation Strategy could mean for their Smoke Free Products (SFP) division.

Context

As Philip Morris International (PMI) committed to a "smoke-free future," it required a new operating model and agile approach, particularly within central functions — branding, customer experience, and strategy.

To achieve this, the SFP Agile Transformation (AT) team of PMI collaborated with Studio Zao. Through a pilot project, our goal was to examine and demonstrate how changes in working practices and product development processes improve profitability and employee satisfaction in central functions.

IMPACT

Designing and Delivering the Agile Pilot Programme

We approached the organisational changes in agile as an "internal product," focusing on building, testing, and refining it through a pilot program.

Pilot Design — Designed a pilot to measure and validate Agile’s impact on operational efficiencies and employee satisfaction
Pilot Implementation — Supported three product teams in strategy, roadmap development, and day-to-day product management and ownership
Leadership — Advised senior leadership on role redefinition and operating structure

Evaluation of the Pilot Impact

Pilot programmes often struggle to validate and quantify value. We helped PMI leverage data to demonstrate the value and potential for scaling the agile model:

Strategic Framing — Helped the AT Team to frame the pilot impact with key stakeholders
Identifying Improvement Areas — Pinpointed areas where savings and market performance could be further enhanced and provided actionable solutions to address these gaps
Cost and Operational Efficiency Analysis — Analysed cost and operational efficiencies before and after the pilot, showing that the pilot saved over 64 hours per person over just 3 months, showing the potential efficiency gains if scaled across further delivery teams over longer periods.