PMI-ACP Practice Questions #82
A digital banking startup is developing a next-generation money transfer app. After four iterations, stakeholders feel that not much value has been delivered, despite regular demos. The team started with a velocity of 20 story points in the first iteration, which has now averaged 25 story points per iteration. The MVP, including basic account management and fund transfers, is expected to launch in the 6th iteration.
During a recent management review, stakeholders question the Product Owner on prioritization and value delivery.
What should the Product Owner do?
A. Accept that the team is unable to deliver value and take a critical look at backlog prioritization.
B. Explain to stakeholders that the team has delivered 100 story points in the last four iterations, and this represents good value.
C. Once the MVP is delivered, highlight that there’s often a sharp upturn in value delivery, as additional features make the product more attractive to customers.
D. Reduce the team’s iteration length to increase velocity and improve stakeholder perception of progress.
Analysis
The stakeholders are concerned that, after four iterations, they do not see enough value being delivered, despite regular demos. The team’s velocity has increased from 20 to an average of 25 story points per iteration, but the Minimum Viable Product (MVP), which includes core functionality, is only expected in the sixth iteration. This situation highlights a common challenge in Agile development—stakeholders sometimes do not perceive value until key features come together as a complete, usable product. The Product Owner must effectively communicate why value delivery appears low at this stage and set the right expectations.
Analysis of Options:
A: Accept that the team is unable to deliver value and take a critical look at backlog prioritization.
This option assumes that poor prioritization is the reason stakeholders feel value is lacking. However, the scenario does not indicate any prioritization issues. Rather, the issue seems to be that the MVP is still in progress, and its core features are not yet fully usable. While backlog prioritization should always be reviewed, assuming the team has failed to deliver value prematurely is not the best approach.
B: Explain to stakeholders that the team has delivered 100 story points in the last four iterations, and this represents good value.
This is not a valid response because velocity (the number of story points completed) does not necessarily equate to value delivery. Agile measures success by business outcomes and customer impact, not just output. Simply stating that the team has completed 100 story points does not address stakeholder concerns about the lack of perceived value.
C: Once the MVP is delivered, highlight that there’s often a sharp upturn in value delivery, as additional features make the product more attractive to customers.
This is the best choice. It aligns with Agile product development principles, where value delivery often accelerates once the MVP is completed. Before the MVP is ready, individual features may not be fully usable or provide clear business benefits. Once the core features are in place, value delivery increases significantly as enhancements and refinements improve the overall user experience. The Product Owner should reassure stakeholders that value perception will change after the MVP launch.
D: Reduce the team’s iteration length to increase velocity and improve stakeholder perception of progress.
This option is misguided because reducing iteration length does not necessarily increase velocity or value delivery. The problem is not the sprint length but rather that stakeholders have not yet seen a fully functional product. Changing sprint length to create an illusion of faster progress would not address the real concern of value delivery.
Conclusion
The best choice is Option C (Once the MVP is delivered, highlight that value delivery will accelerate as additional features make the product more attractive). This response sets the right expectations for stakeholders, explaining why value delivery seems low now but will increase sharply post-MVP. Option A assumes failure too early, Option B misrepresents velocity as value, and Option D incorrectly suggests changing sprint length as a solution.
PMI – ACP Exam Content Outline Mapping
Domain | Task |
Product | Refine Product Backlog |
Topics Covered:
- Clarify to stakeholders that value perception often increases after the MVP is complete, as features become fully usable.
- Manage expectations by explaining that early iterations focus on foundational work, with visible business value accelerating post-MVP.
- Ensure backlog prioritization aligns with delivering incremental value while balancing technical dependencies.
- Highlight that velocity (story points completed) does not necessarily reflect immediate business value.
- Maintain open communication with stakeholders, reinforcing how Agile delivers continuous improvement and customer-centric outcomes.
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