Scaled Agile Framework (SAFe) Advanced Scrum Master Practice Exam

What is the relationship between feedback and optimum batch size?

1. Increased feedback reduces batch size

2. Lack of feedback contributes to higher holding costs

3. Feedback has no impact on batch size

4. Frequent feedback requires larger batch sizes

The correct answer is: Lack of feedback contributes to higher holding costs

The relationship between feedback and optimum batch size is illustrated by the idea that effective feedback is essential for maintaining efficiency within the development process. When feedback mechanisms are in place, teams can better assess the quality and relevance of their work products, allowing them to make necessary adjustments earlier in the development cycle. This leads to smaller, more manageable batches of work, as teams can quickly iterate and refine their offerings based on the feedback received. High holding costs emerge when work is stored in larger batches without being validated, as it leads to waste and inefficiencies. When there is a lack of feedback, organizations may be left with larger inventories of work that are not meeting market needs or quality expectations, thus driving up costs associated with holding and managing that work. This emphasizes the importance of feedback in determining optimum batch size, as effective feedback loops necessitate working in smaller batches to accommodate rapid iterations and improvements. Consequently, understanding this relationship helps teams and organizations optimize their processes by fostering a culture oriented towards constant feedback, thereby enabling quicker adjustments and minimizing unnecessary holding costs associated with larger batch sizes.