It works better in house for sure or with a good agency. There's a whole industry of fancy corporate design agencies that produce Figmas and developer-in-the-loop means going into lots of meetings with the consultancy managers and then waiting a week and a couple grand in hourly for them to produce something that needs to be fixed again.

But ignoring those fixable processes and hiring issues, there is plenty to be said about the new world of isolated islands of UI/UX designers, frontend, backend teams. I blame Javascript/React eating the world more than Figma. React/Vue opened up a whole hyper complex world of UI design and shit rolls downhill from UI->frontend->backend->users (mostly via performance/complexity).