SAFe-Agilist Exploring Lean Portfolio Management Practice Question
When LPM reviews the portfolio, why is it critical to focus on the 'Cost of Delay' (CoD) for epics?
⚠ Common exam trap
Candidates often think CoD is about the 'cost to build' the epic. They confuse development cost with the economic loss incurred by not having the feature in production.
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
To provide a objective metric for prioritizing epics based on economic impact.
Cost of Delay is a powerful economic tool that quantifies the impact of time on business value. By prioritizing items with a high CoD relative to the effort required, LPM ensures that the most time-sensitive and valuable initiatives are completed first. This economic approach maximizes the return on investment and reduces the opportunity cost of delaying important features, which is essential for maintaining a competitive edge in fast-moving markets.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
To ensure that all projects are completed at the same time.
Why it's wrong here
CoD is not about completing everything simultaneously; it is about sequencing work for maximum economic return. Different projects have different deadlines and value curves; trying to complete everything at once would lead to massive resource contention and prevent the delivery of high-value items in a timely manner.
- ✓
To provide a objective metric for prioritizing epics based on economic impact.
Why this is correct
Cost of Delay provides a concrete, objective way to compare different initiatives by translating their value and timing into a common currency. This allows LPM to make rational, data-driven prioritization decisions that optimize for speed and economic return, rather than relying on gut feelings or political pressure.
- ✗
To calculate the exact number of developers needed for each project.
Why it's wrong here
CoD is used for prioritization, not capacity planning or resource estimation. Estimating the number of developers is a tactical task for the Agile teams. Using CoD for staffing would be a misuse of the metric and would likely result in inaccurate planning that ignores the actual complexity.
- ✗
To identify which team members are working the slowest.
Why it's wrong here
CoD is a measure of the work's economic value, not a measure of individual performance. Using it to judge speed is a misapplication that ignores the complexity and dependency factors inherent in any development effort. It should be used to improve the system, not to punish individuals.
About these practice questions
One of 315 original SAFe-Agilist practice questions on Courseiva, each with a full explanation and wrong-answer analysis — not exam dumps or protected exam content. Learn why practice questions differ from exam dumps →
JA
Written and reviewed by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
Last reviewed September 2026 · checked against the official Scaled Agile exam blueprint
This SAFe-Agilist practice question is part of Courseiva's free Scaled Agile certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the SAFe-Agilist exam.