Cost per Point (Agile Release Train) 1.1.1

Solution overview

This solution calculates the Cost per Point for an Agile Release Train based on the ART Rate and the ART Velocity. It's used to predict the cost of work or calculate actual costs. Let's say an ART Velocity is 2000 points per Planning Interval, and we know that an ART cost for a Planning Interval is 500000 USD. The Cost per Point for this ART would be 500000/2000 = 250 USD. If we'd like to estimate how much a Portfolio Epic estimated as 3000 points would cost us, we'd calculate it as 250*3000 = 750000 USD.

Cost per Point calculation will take into account the following Agile Release Train data:

• ART Cost for a Planning Interval – we'll use an ART Hourly Rate and a number of Working Days in a Planning Interval to calculate it. In case an ART Rate got updated in the middle of a Planning Interval, we'll use both Rates and calculate the ART Cost.
• ART Velocity – we'll use either an ART Average Velocity (based on the last 3 Planning Intervals) or an ART Initial Velocity in case there are no yet finished Planning Intervals.

ART Cost per Point

ART Cost per Point will be calculated for ART Rates and stored there. It will be based either on Average ART Velocity (in case at least one finished Planning Interval exists and have a Completed Effort) or using ART Initial Velocity.

Cost per Point records will be generated for all the existing Planning Intervals and Agile Release Trains (ARTs).

Note 1: Going further, when a new Planning Interval is created, a respective Cost Per Point will also be created automatically for this Planning Interval with the same Planned Start/End Dates and inherit ART Planning Interval Actual and Forecasted Velocity.

Note 2: If you don't have an ART Rate available for the dates of a Planning Interval, then Cost per Point won't be calculated, so to calculate it for the past Planning Intervals, adjust Planned Start Dates for ART Rates.