Value-Driven Delivery

Question 1

Present Value

Answer 1

Future Value/ (1 + i)^n
i = interest rate
n = number of years

450000/(1.06)^3
for 6% interest rate

Question 2

Future Value

Answer 2

Known Value * (1 + i)^n

Known Value - what will it take to complete the project
i = interest rate
n = number of years

Question 3

Net Present Value

Answer 3

Present value of a revenue stream over a period of time

Sum of cash flows / (1 + i)^n

Question 4

Internal Rate of Return (IRR)

Answer 4

NPV of the project >= NPV of the benefits of the project

Question 5

Cost Varience

Answer 5

Earned Value - Actual Cost

Question 6

Earned Value

Answer 6

Earned Value is the amount of the task that is actually completed.

%Completed * Project total budget

Question 7

Schedule Varience

Answer 7

Earned Value - Planned Value

Question 8

Cost Performance Index (CPI)

Answer 8

Earned Value/ Actual Value

EV / AV

Question 9

Schedule Performance Index (SPI)

Answer 9

Earned Value/ Planned Value

EV / PV

Question 10

Estimate AT completion (EAC)

Answer 10

Budget at completion/ Cost Performance Index

EAC = BAC/ CPI

Question 11

Estimate TO completion

Answer 11

Estimate at completion - Actual cost

Question 12

To-Complete Performance Index

Answer 12

Effeciency needed to meet Budget At Completion (BAC)

(BAC - EV) / (BAC - AC)

Effeciency needed to meet Estimate AT completion (EAC)

(BAC - EV) / (EAC - AC)

> 1 - Hard to accomplish
= 1 - Same level of effeciency
<1 - Easy to accomplish

Question 13

EVM Rules

Answer 13

Compute Earned Value

Variance means subtract
-ve means bad variance

Index means division
< 1 bad index

Question 14

Key Performance Indicators (KPI) of Agile

Answer 14

Rate of Progress
Remaining Work
Likely completion date
Likely cost remaining

In Agile its all about getting this done

Question 15

MoSCoW

Answer 15

Must Have
Should Have
Could Have
Will not have at this time

Question 16

5 types customer preferences

Answer 16

Must-be quality
One-dimensional quality
Attractive quality
Indifferent quality
Reverse quality

Question 17

Requirements Priorotization Model

Answer 17

Value - Business Benefit

Cost - Expensive vs ROI

Risk - Riskiest items first

Difficulty of implementation - Safest first

Success factors - high probability of success

Regulatory compliance - laws and regulations

Relationship to other requirements

Stakeholder engagement

Urgency

Question 18

WIP

Answer 18

is risk

Question 19

WIP

Answer 19

hides bottlenecks

Question 20

WIP

Answer 20

requires investment

Question 21

WIP

Answer 21

delivers no return until complete

Question 22

WIP

Answer 22

needs to be limited

Question 23

Little’s Law

Answer 23

Duration of the queue is proportional to its size

Question 24

Lead Time

Answer 24

Amount of WIP / Avg., time to complete each work item

Question 25

Considerations for contracts in Agile

Answer 25

Scope changes Priorities Time and cost

Question 26

Dynamic Systems Development Method (DSDM) Strategy

Answer 26

Rapid Application Development benefits - Communication - Stakeholder Engagement - Transparency

Question 27

DSDM contracting

Answer 27

Creates Fixed Schedule, Cost and Quality

Question 28

Gulf of Evaluation

Answer 28

Difference between "whats said" vs "whats done"

Question 29

14 tasks in Value Driven Delivery

Answer 29

Plan work incrementally Gain consensus on just in time acceptance criteria Tune process to organization team and project Release minimal viable product Work in small batches Review often Prioritize work Refactor code often Optimize environmental operational in infrastructure factors Review and checkpoint often Balance value and risk Reprioritize to maximize value Prioritize non-functional requirements Review and improve the overall process and product.