Value Delivery (Cost of Delay)

Applicability

Scrum and Kanban based projects

Definition (Hover Text)

Cost of Delay is an indicator that helps a business quantify the economic gain or loss of completing a feature sooner as opposed to later.

Source Tools

Jira, Azure Board

Graph type

Line chart

Filters

-

Hover Format on KPI

Month: <<YYYY-MM>>

Cost of Delay: <<Sum of CoD of all planned epics or features>>

Fields on Explore Overlay

• Project Name

• Cost of Delay

• Epic ID

• Epic Name

• Epic End date

• Month

Business Logic

Calculation Formula

It is calculated by adding the following parameters for an Epic or a Feature

CoD = User-Business Value + Time Criticality + Risk Reduction and/or Opportunity Enablement

Trend

The higher the CoD, the more urgent the feature, epic ,or product is.

Maturity Levels

Not defined
Projects may use absolute figures or relative sizing for User-Business Value,Time Criticality, Risk Reduction and/or Opportunity Enablement fields

Global Mapping Configurations ( Field Mapping )

Processor Fields

NA

Mandatory fields

Project Settings

1. Navigate to Project Settings: Start by going to the Project Settings in your application.

2. Access the Mapping Section: Within Project Settings, find and click on the Mapping option.

3. Mandatory Field: In the Mapping section, you’ll find the Mandatory Field. This is where you’ll configure the necessary global mapping fields.

4. Configure the Fields:

Ensure the below field mappings are defined in the Global field mappings for your project

Open

How to Validate KPI

Suggested ways of working

Best Practices

Quantify Value and Urgency

Clearly define and quantify the value and urgency of each feature or task to calculate CoD effectively.

Use a Framework

Implement frameworks like WSJF (Weighted Shortest Job First) that incorporate CoD to prioritize work effectively.

Balance Short and Long-Term Goals

Ensure that the prioritization process considers both short-term gains and long-term strategic goals.

Benefits of KPI

Prioritization

CoD helps teams make informed decisions about which features or tasks to prioritize by highlighting the economic impact of delays.

Focus on Value Delivery

By understanding CoD, teams can focus on delivering the most valuable features sooner, maximizing return on investment.

Resource Allocation

Helps in better allocation of resources to tasks that yield the highest economic benefit when delivered early.

Risk Management

Identifies high-risk areas where delays could have significant financial consequences, enabling proactive risk mitigation.

Alignment with Business Goals

Ensures that the team's work aligns with the broader business objectives by prioritizing tasks that contribute most to the organization's goals.