Scholars have proposed that IT enables organizational agility by extending the reach and richness of firm knowledge and processes. However, this relationship is still open to debate. Based on the dynamic capabilities perspective, this paper proposes a model to investigate how employee competence (i.e., IT competence of business people and business competence of IT professionals) affects organizational agility through IT alignment. Data analysis results show that IT alignment fully mediates the influence of IT competence of business people and partially mediates the influence of business competence of IT professionals on organizational agility. In addition, the two kinds of competence are also positively interacting with each other to enhance IT alignment. We summarize with implications and suggestions for future research.