Ace the 2025 SAFe Lean Portfolio Adventure – Master Your Agile Mission!

Question: 1 / 400

Why is it necessary to estimate epic costs?

To develop a marketing strategy

To understand the potential investment required

Estimating epic costs is essential for understanding the potential investment required for various initiatives within a portfolio. This process helps organizations evaluate whether the value proposed by an epic justifies the level of investment needed to develop it. By quantifying the costs, organizations can perform cost-benefit analyses and make informed decisions about prioritization, resource allocation, and commitments.

Understanding potential investment aids in aligning epics with strategic business objectives, ensuring that the right initiatives are chosen based on available funding and expected returns. It also facilitates discussions with stakeholders about funding requirements and helps in tracking the budget against actual expenditures as the work progresses. This practice supports Lean Portfolio Management by ensuring that the portfolio remains aligned with the organization’s long-term goals and objectives while optimizing the use of resources.

Get further explanation with Examzify DeepDiveBeta

To determine team capacity

To assess customer satisfaction

Next Question

Report this question

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy