Prioritizing by cost of delay
On This Lesson 4 topics
This lesson is planned. The outline below lists the topics it will cover. The full lesson has not been published yet.
In this lesson
rank debt by what waiting costs.
Planned topics
- Cost of delay: the interest plus the risk you carry for each period you wait.
- Compare against cost to fix: a simple ratio such as interest per period over fix cost orders items.
- Consider timing: debt in an area about to receive heavy feature work has a high payoff now.
- Include risk items (security, reliability) that are not about speed.
Draft outline details
Demonstration
Table: item | monthly interest | fix cost | payback months | risk | rank. Example: payback of 15 days of fix against 12 days per month interest is about 1.25 months.
Check your understanding
Why does upcoming work in an area raise a debt item's priority?
Show answer
Interest will be paid more often there.
Practice
Apply this lesson with the module's lab, exercises and quiz.
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