Requires the following solution to be installed:
- Working Days (7fe5edc0-360f-4fca-9eec-05d754a89fe8)
- Team Rate (9c1a0d08-1456-45d3-bae2-c0895e373cc6)
- Team Actual, Average and Forecasted Velocity (7b7bfbb1-fef5-4109-a149-6400883ac9e4)
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Solution overview
This solution allows calculating Cost per Point for a Team based on the Team Rate and the Team Velocity. It's used to predict cost of work or calculate actual costs. Let's say a Team Velocity is 20 points per Iteration, and we know that a Team cost for an Iteration is 5000 USD. Then Cost per Point for this Team would be 5000/20 = 250 USD. If we'd like to estimate how much a Feature estimated as 30 points would cost us, we'd calculate it as 250*30 = 7500 USD.
Cost per point calculation will take into account the following Team data:
- Team Cost for an Iteration – we'll use a Team Hourly Rate and a number of Working Days in a Team Iteration to calculate it. In case a Team Rate got updated in the middle of an Iteration, we'll use both Rates and calculate the Team Cost.
- Team Velocity – we'll use either a Team Average Velocity (based on the last 5 Team Iterations) or Team Initial Velocity in case there are no yet finished Team Iterations.
Please check out the following video to see the solution in action.
Initial setup
Calculate Working Days in Team Iterations
As Cost per Point calculation requires a number of Working Days in a Team Iteration, we need to calculate it for all the Team Iterations. To do that you need to configure Working Days (7fe5edc0-360f-4fca-9eec-05d754a89fe8) solution for Team Iterations. Please follow the instructions in that solution to do that.
As a result, a number of Working Days for each Team Iteration will be calculated.
Calculate Team Cost per Point
Team Cost per Point will be calculated for Team Rates and stored there. It will be based either on Average Team Velocity (in case at least one of finished Team Iteration exists and have a Completed Effort) or using Team Initial Velocity (please make sure the data exist, check Team Actual, Average and Forecasted Velocity (7b7bfbb1-fef5-4109-a149-6400883ac9e4) solution for more details).
To calculate Team Cost per Point for existing Rates:
- Go to Automation Rules
- Open Team Cost per Point initial calculation automation rule
- Click the Raw JSON button
- Set the following parameter:
- "WorkingHours": 8 – a number of Hours in a Working Day which you'd like to use in a calculation. It'll affect a Team Cost calculation, as we use Team Hourly Rate
- Click Save and Trigger button
Note: To calculate Cost per Point there. should be at least 1 Team Iteration created for a Team. It might be in the past or future, or a current Team Iteration, however it's required to know the duration of a Team Iteration to calculate Cost per Point.
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Version 1.1
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