Calculating Cost of Delay w/ Marty Bradley

This is the second interview in a series we are doing on Cost of Delay. The first interview, where Jim Hayden provided an overview of Cost of Delay can be found here: http://bit.ly/2lUDWFR In Part 2 of the series, Marty Bradley explains how Cost of Delay actually works. During the interview we discuss things like Weighted Shorted Job First (WSJF), how to determine relative Business Value of different features or projects and how to evaluate that value against different factors like risk. During the interview Marty refers to two different graphics that help explain Cost of Delay. Here are links to the two graphic files*: The Formula for Weighted Shortest Job First (WSJF)https://www.dropbox.com/s/slfrifz9pqqqgex/WSJF%20Formula.jpg?dl=0 The Cost of Delay Table https://www.dropbox.com/s/9lwrd0tjs5wcmqy/WSJF%20Table.jpg?dl=0" * These graphics are based on examples Marty was referencing in the interview. The originals can be found at http://www.scaledagileframework.com/wsjf/. Show Notes 00:08 Interview Begins 00:34 Background on Marty 01:47 Intro to the topic 01:54 It’s okay to be confused about what Cost of Delay actually is 02:36 Dave “mansplains” the basics of Cost of Delay 03:05 Why people are using Cost of Delay to prioritize work 05:00 Weighted Shortest Job First (WSJF) (see link above) 05:49 Using a table to calculate WSJF (see link above) 06:19 Using relative sizing to determine User Business Value and the other WSJF factors 06:44 What is “Business Value”? 08:39 How relative sizing works 09:10 How to use the table to get guidance on prioritization 11:07 The actual value of Cost of Delay may not be mathematically quantifiable, and that’s ok because it’s all about relative sizing 13:00 Be careful about bias and gaming the scores 13:24 Using the iPhone 7/Apple Bluetooth Headphones example 14:45 Adding columns to the table so that it works best for you 16:27 Deciding what to do first, second and what to kill 16:40 WSJF - a simple explanation 17:18 The formula for determining WSJF 17:44 Examples of how WSJF can help 19:50 Resources you can use to learn more about Cost of Delay 22:49 Understanding and measuring “value” 23:18 Are we getting smarter about understanding value or just delaying understanding it? 23:45 Key indicators of value and the importance of smaller batch size 25:32 Getting in touch with Marty 25:50 Podcast Close Links from the Podcast An Overview of Cost of Delay with Jim Hayden https://www.leadingagile.com/podcast/an-overview-of-cost-of-delay-with-jim-hayden-and-dave-prior/ The Principles of Product Development Flow by Don Reinertsen http://amzn.to/2m6u0xL Black Swan Farming http://blackswanfarming.com Contacting Marty: You can reach Marty: On the LeadingAgile site: https://www.leadingagile.com/guides/marty-bradley/ Email: marty.bradley@leadingagile.com LinkedIn: https://www.linkedin.com/in/martybradley/ Contacting Dave You can reach Dave: On the LeadingAgile site: https://www.leadingagile.com/guides/dave-prior/ On Twitter at twitter.com/mrsungo On his personal site at: www.drunkenpm.net Feedback/Questions If you have comments on the podcast, or have questions for the LeadingAgile coaches that you’d like to have addressed in a future episode of LeadingAgile’s SoundNotes, you can reach Dave at dave.prior@leadingagile.com LeadingAgile CSM and CSPO Classes For information on LeadingAgile’s upcoming public CSM and CSPO classes, please go to: www.leadingagile.com/our-gear/training/ Use the discount code: LA_Podcast to receive a 15% discount on the class.