Engagement in teamwork is a critical success factor in software development teams, where collaboration and communication are paramount. Research consistently highlights the positive impact of high engagement on a team’s overall performance and project outcomes. However, we are still missing an in-depth understanding of how engagement occurs in teamwork. In this study we used design science as an approach to observe new multicultural agile teams for four months, collect data through interviews, a survey, and observations, and develop a framework of the factors that impact engagement in teamwork. Our research aims to help teams understand how the engagement in teamwork occurs in multicultural agile teams to deal with the multicultural aspects and towards improved team performance.