Delivering Project Benefits and Value

Activities performed by the Scrum Team help them address two different aspects of quality: building the right product and building the product right.

1. Building the product right: Verifying the quality of the product; Validating the benefits of the product; Defining a comprehensive definition of done. 2. Building the right product: Creating a common vision for the product; Defining acceptance criteria for each story

Which goals should be set to inspire and guide an entire organization toward value delivery?

1. Customer satisfaction 2. Employee satisfaction 3. Product innovation

Value stream mapping aims to identify opportunities to become more efficient. Identifying and removing waste is key to improving that efficiency. What are the different types of wastes?

1. Extra production or features 2. Defects 3. Knowledge loss 4. Task switching 5. Waiting or delays

Which Agile techniques contribute to improving value delivery?

1. Focusing on small work packages 2. Cross-training team members 3. Reducing task switching 4. Limiting work in progress 5. Improving throughput systematically

Project teams need to consider different methods to verify tangible benefits to their stakeholders. Which methods can be used for measuring tangible benefits?

1. Internal rate of return - The internal rate of return is used to measure the profitability of an investment. It's expressed as a percentage. Higher is considered better. 2. Benefit cost ratio - BCR is ratio of benefit to cost, meaning a ratio of greater than one is considered profitable. 3. Net present value - NPV takes the time value of money into account and expresses profitability as an amount of currency in today's terms. Projects with higher NPVs are preferable. 4. Payback period - The payback period determines when you'll get your investment back. The value of money over time and the overall return are not considered. A project with a shorter payback period is better.

At the end of a Sprint, there is a demonstration of the latest increment of finished work. What are the different aspects of this Sprint Review meeting?

1. It elicits feedback and fosters collaboration - Based on the demo provided by the development team, stakeholders and the PO provide feedback about the features implemented. They outline if there is a need to make some more changes or if it can be accepted as it is. The product backlog is then updated as necessary. 2. The development team gives a product demo - In the Sprint Review, the development team demonstrates the latest product increment to the PO and stakeholders who might be present. 3. Stakeholders, the development team, the Scrum Master, and the product owner are in attendance - The development team, Scrum Master, and PO attend the Sprint Review meeting. The PO can also invite key stakeholders who may have asked for the features and may be able to provide feedback in this meeting. 4. The product owner inspects the deliverables - Based on the acceptance criteria established during Sprint Planning, the PO inspects the deliverables and could also accept or reject them.

Executive leadership can influence value and guide an organization using a variety of value drivers. Which drivers can be useful?

1. Promotion of growth - To promote growth, the organization can participate in a joint venture, enter a new market, or introduce new products. This in turn will help maximize stakeholder value. 2. Increased efficiency - When increasing efficiency, the focus is on identifying and reducing waste, making the value stream more efficient, and promoting the use of the correct tools. Matching the right skills to tasks also helps in optimizing the usage of talent in an organization. 3. Financial drivers - An organization can use financial value drivers like maximizing the return on investment, focusing on increasing revenues, and lowering costs.

What are the principles that differentiate performance-based earned value management, or EVM, from traditional EVM?

1. Risk management is integrated - Performance-based earned value tools can be tailored as appropriate to account for risk. 2. Product quality requirements are also used to measure performance - A product quality requirement is a characteristic of a product that is mandatory for the product to meet verified customer needs. It is a must have or could be considered part of a minimum viable product. 3. Product scope and quality requirements are included - This principle focuses on customer satisfaction, which is based on delivery of a product that meets quality requirements and is delivered within the cost and schedule objectives.

Which parameters can be considered in performance-based earned value management?

1. Schedule 2. Quality 3. Cost 4. Technical performance 5. Scope

Organizations need to verify and validate the value created for stakeholders. Match each value with the type of benefit it represents.

1. Tangible: Monetary assets; Property (Tangible benefits and value are easier to quantify, and can include monetary assets, property, stockholder equity, or utility.) 2. Intangible: Brand recognition; Goodwill; Trademarks (Intangible benefits are difficult to measure in terms of value and can include goodwill, brand recognition, public benefit, or trademarks. These benefits pay off in the long term.)

Agile works through iterative and incremental value delivery. What are some of the key aspects of Agile value delivery?

1. The highest value features are delivered first - The product owner prioritizes high value features at the top of the product backlog, and then the Agile team delivers on that priority order. 2. Responding to change is key - On an Agile project, the product owner and team collect feedback from stakeholders during every Sprint Review and adapt the product backlog. 3. The team focuses on minimum viable product - In Agile projects, the team delivers the minimum basic features which can meet customer expectations and will help the team collect feedback. 4. Value is delivered frequently - In Agile projects, the team delivers working features for every Sprint, unlike in traditional projects where the value gets delivered only at the end. 5. Early customer feedback ensures alignment

Information radiators, which are highly visible information displays, can help a team make their progress visible to stakeholders. Which statements about information radiators are true?

1. They serve as communication tools - Burnup or burndown charts can be reviewed in the team area by anyone and readily show where the team stands in terms of work completed. 2. They involve burnup and burndown charts - In a Sprint or project, burndown charts show the amount of work remaining, while burnup charts show the amount of work completed against the total scope of the project. 3. They help find the number of Sprints needed in a project - Burn charts help teams understand how many story points can be delivered within a Sprint. Based on such velocity, the number of Sprints the team will need to complete the project can be determined. 4. They show how much work can be done in a Sprint - Burn charts show the amount of work the team has delivered to date in a Sprint and therefore help the team visualize how much they can achieve in the Sprint.

A project benefits management plan supports the business case, project charter, and project management plan. What does the benefits management plan include?

1. Timeframe for realizing benefits - Some benefits might be delivered after project completion and some might be realized as the project progresses. These timeframes are articulated in the plan. 2. Benefits owner - The benefits owner monitors and reports the project benefits. Some benefits are delivered over a period of time long after the project delivery. The benefits owner will continue to track throughout this period. 3. Expected benefits and value - Tangible and intangible benefits expected from the project are included in the plan. 4. Metrics - The metrics include benefits-related criteria that need to be verified as part of the inspection. The project team determines if the deliverables have passed inspection using these metrics. 5. Expected benefits and value 6. Assumptions and risks