PSPO-II Professional Scrum Product Owner™ II (PSPO 2) Question and Answers

 According to the PSPO II resources, a product with high current value and low unrealized value is in the harvest stage of the product lifecycle1. This means that the product has reached its peak and is facing increasing competition and decreasing customer demand. The best strategy for this stage is to maintain the product quality and customer satisfaction, but reduce the investment in new features or enhancements. The product owner should seek other opportunities for future growth, such as developing new products or exploring new markets23. References:

1: Product Lifecycle Management

2: Product Strategy

3: Evidence-Based Management

None of the options given are accurate descriptions of what an effective Product Owner must do. According to the PSPO II resources, an effective Product Owner must12345:

Develop and communicate a clear and compelling Product Goal that aligns with the organization’s vision and strategy.

Manage the Product Backlog by refining, ordering, and prioritizing items that deliver value to customers and users.

Collaborate with stakeholders and the Scrum Team to understand their needs, expectations, and feedback.

Empower the Scrum Team to make decisions and self-organize around the Sprint Goal and the Product Backlog items.

Experiment and validate assumptions using empirical evidence and data.

Optimize the value of the product and the work of the Scrum Team.

Continuously inspect and adapt the product and the process based on the outcomes and feedback. References:

1: The Scrum Guide

2: Product Owner Learning Path

3: Product Owner Competencies

4: Evidence-Based Management

5: Product Strategy

According to the Professional Scrum Product Owner™ II certification guide1, a Product Backlog is an ordered list of what is needed to improve the product. It is the single source of work undertaken by the Scrum Team. The Product Backlog is owned by the Product Owner, who is accountable for maximizing the value of the product resulting from the work of the Scrum Team. Therefore, a separate Product Backlog is needed for every product, not for every Scrum Team, portfolio, program, or all of the above. Multiple Scrum Teams can work on the same product and share the same Product Backlog2. A portfolio or a program may consist of multiple products, each with its own Product Backlog3. References: 1: Professional Scrum Product Owner™ II Certification | Scrum.org 2: What is a Product Backlog? | Scrum.org 3: Product Backlog Explained [+ Examples] | Atlassian

Option B is the best answer because it reflects the agile and empirical nature of Scrum and Product Ownership. The Product Backlog is a living artifact that represents the current understanding of what the product needs to be most valuable for the customers and the stakeholders1. The Product Backlog is not a fixed or static document, but rather an emergent and dynamic one that adapts to the changing environment, needs, and feedback. The Product Owner is accountable for managing the Product Backlog and ensuring that it is transparent, ordered, and refined2. The Product Owner collaborates with the Scrum Team and the stakeholders to inspect and adapt the Product Backlog items based on the new insights, opportunities, and learnings that arise from the changing environment34. The Product Owner also uses various techniques, such as product vision, value proposition, user stories, experiments, and evidence-based management, to define, validate, and prioritize the Product Backlog items5 .

Option A is not the best answer because it contradicts the agile and empirical nature of Scrum and Product Ownership. The Product Backlog is not a requirements specification document, but rather a list of hypotheses and assumptions that need to be tested and validated in the real world5. The Product Backlog items are not detailed or fixed upfront, but rather refined and clarified as they get closer to implementation2. Updating the requirements specification document to ensure stability implies a plan-driven and predictive approach that does not embrace change and feedback, and that does not optimize value delivery.

Option C is not the best answer because it contradicts the agile and empirical nature of Scrum and Product Ownership. The Product Backlog is not a project plan, but rather a product roadmap that guides the development of the product. The Product Backlog does not have a predefined end date or scope, but rather evolves and changes as the product grows and matures1. Keeping the Product Backlog the same until the end of the project implies a plan-driven and predictive approach that does not embrace change and feedback, and that does not optimize value delivery.

Option D is not the best answer because it contradicts the agile and empirical nature of Scrum and Product Ownership. The Product Backlog is not a disposable artifact, but rather a cumulative and iterative one that builds on the previous work and learnings1. The Product Backlog items are not discarded or replaced, but rather refined and updated as the product evolves and changes2. Archiving the Product Backlog and creating a new one implies a disruptive and wasteful approach that does not leverage the existing knowledge and feedback, and that does not optimize value delivery.

References:

1: Product Backlog

2: Product Backlog Management

3: Empiricism

4: Stakeholders & Customers

5: Product Vision

: Product Value

: Evidence-Based Management

: [Agile Manifesto]

: [Product Roadmap]

: Product Owner Accountabilities

: Sprint Review

: Product Backlog Refinement

: [User Stories]

: [Value Proposition]

: [Experiments]

 According to the Professional Scrum Product Owner™ II certification guide1, the Product Owner is accountable for maximizing the value of the product resulting from the work of the Scrum Team. This means that the Product Owner should have a clear vision of the product, understand the needs and desires of the customers and stakeholders, and prioritize the Product Backlog items based on their value and urgency. The Product Owner should also use evidence-based management to measure the value delivered by the product and make informed decisions about the product strategy and direction.

In this question, Product A has a high current value, which means that it is generating a lot of revenue and satisfying the existing customers. However, it also has a low unrealized value, which means that it has little room for improvement or innovation, and may face competition or obsolescence in the future. Product B has a low current value, which means that it is not generating much revenue or satisfying many customers. However, it also has a high unrealized value, which means that it has a lot of potential for improvement or innovation, and may capture new markets or opportunities in the future.

Taking a long-term view, the Product Owner should weight the investment toward Product B, since it has more potential to deliver value in the future. This does not mean that the Product Owner should neglect Product A, but rather balance the investment between the two products based on the expected return on investment and the risk involved. Investing equally in both products may not be optimal, as it may result in underinvesting in Product B and overinvesting in Product A. Weighting the investment toward Product A may not be wise, as it may result in missing out on the opportunities offered by Product B and losing the competitive edge in the market.

References: 1: Professional Scrum Product Owner™ II Certification | Scrum.org

Focus on Value: Scrum emphasizes delivering increments of value early and often. Each release should focus on a clear outcome for users, even if it doesn't encompass every desired feature.

Iterative Approach: Releasing a smaller, focused increment lets you gather feedback, course-correct, and add features incrementally based on what provides the most value.

Stakeholder Management: Involve stakeholders in the prioritization process, explaining the rationale behind focusing on a specific outcome to gather input and secure buy-in.

Self-Management: The Developers have autonomy over how they achieve the Sprint Goal. The Sprint Backlog reflects their plan for turning Product Backlog items into a valuable Increment.

Accountability: The Developers are held accountable for delivering the Sprint Goal, and thus own the detailed plan within the Sprint Backlog.

Scrum Guide: The Scrum Guide explicitly states, "The Sprint Backlog is a plan by and for the Developers"

The Product Owner is accountable for maximizing the value of the product resulting from the work of the Scrum Team. They are also accountable for effective Product Backlog management, which includes ordering the Product Backlog items to best achieve goals and missions1. The Product Owner should consider various sources of information to make informed decisions about the product, such as customer feedback, market trends, stakeholder input, and data analysis2.

When deciding whether to drop the price of the product, the Product Owner should consider the following sources of information:

Customer satisfaction: The Product Owner should measure and monitor how satisfied the customers are with the product, and how likely they are to recommend it to others. Customer satisfaction is a key indicator of product value and quality, and it can also influence customer retention and loyalty. The Product Owner should use various methods to collect customer feedback, such as surveys, interviews, reviews, ratings, and net promoter score23.

Market share: The Product Owner should track and compare the product’s market share with its competitors and potential customers. Market share is the percentage of the total market that is captured by the product, and it reflects the product’s popularity and demand. The Product Owner should use market research, sales data, and industry reports to analyze the market share and identify opportunities and threats24.

Unmet customer needs: The Product Owner should identify and prioritize the customer needs that are not yet met by the product or its competitors. Unmet customer needs are the gaps or problems that the customers face, and that the product can solve or address. The Product Owner should use techniques such as user stories, personas, value proposition canvas, and jobs to be done to discover and validate the unmet customer needs25.

Competitor pricing: The Product Owner should benchmark and compare the product’s pricing with its competitors and alternatives. Competitor pricing is the amount of money that the customers have to pay to acquire or use a similar or substitute product. The Product Owner should use competitive analysis, price elasticity, and value-based pricing to determine the optimal pricing strategy for the product2 .

The other option, company earnings targets, is not a relevant source of information for the Product Owner, as it does not reflect the value or the demand of the product. The Product Owner should focus on delivering value to the customers and the stakeholders, rather than meeting arbitrary financial goals. The company earnings targets may also change over time, and they may not align with the product vision or the market reality2 . References: 1: Scrum Guide 2: Managing Products with Agility 3: Customer Feedback 4: Market Share 5: Unmet Customer Needs : [Competitor Pricing] : [Company Earnings Targets]

To address the issues of interruptions, low-value meetings, and a lack of meaningful work, it is beneficial to consider a holistic approach that includes all the options provided. The Innovation Rate (A) can help understand the balance between new and routine work, the On-Product Index (B) can indicate how much work directly contributes to the product, and Employee Net Promoter Scores © can provide insights into employee satisfaction and loyalty. Together, these measurements can offer a comprehensive view of areas for improvement

 A user satisfaction gap exists when there is a difference between what the user expects from a product or service and what the user actually experiences12. The user’s desired outcome is the goal or benefit that the user wants to achieve by using the product or service3. The user’s actual experience is the perception and evaluation of the product or service by the user4. If the user’s actual experience does not meet or exceed the user’s desiredoutcome, the user will be dissatisfied and may switch to a different product or service. References:

1: Identifying and Closing the Customer Satisfaction Gap

2: Find the Gaps in Your User Experience

3: [Outcome-Driven Innovation]

4: [User Experience]

: Measure Business Opportunities with Unrealized Value

The primary accountability of a Product Owner within the Scrum framework is to maximize the value of the work that the Scrum Team delivers. This involves managing the Product Backlog, but the overarching responsibility is ensuring that the team’s efforts translate into value

= As a Product Owner, you are accountable for maximizing the value of the product and the work of the Developers. To do this, you need to collaborate with the Developers and the Scrum Master to ensure that the Product Backlog is clear, ordered, and refined, and that the Sprint Goal and the Sprint Backlog are aligned with the product vision and strategy. You also need to provide feedback and guidance to the Developers throughout the Sprint, and to inspect and adapt the product based on the Sprint Review and the stakeholders’ input.

One of the challenges that the Developers may face is to forecast the amount of work that they can complete within a Sprint, and to deliver a potentially releasable Increment that meets the Definition of Done. This requires the Developers to have the skills and the tools to estimate the complexity and the effort of the Product Backlog items, to plan and manage their work effectively, and to adhere to the quality standards and the technical practices that enable them to build a valuable and usable product increment.

To help the Developers improve their ability to deliver a done Increment, the Product Owner can take the following steps:

Ask the Scrum Master to help the Developers learn techniques for improving their ability to forecast work. The Scrum Master is accountable for establishing an environment where the Developers can work effectively, and for coaching the Developers on self-organizing and cross-functionality. The Scrum Master can also help the Developers to apply empirical process control, to use various estimation methods, to monitor and visualize theirprogress, and to inspect and adapt their plan based on the Sprint Backlog and the Sprint Burndown Chart.

The Product Owner can spend more time with the Developers. The Product Owner can support the Developers by clarifying the Product Backlog items, providing the acceptance criteria, explaining the customer needs and the business value, and answering any questions that the Developers may have. The Product Owner can also participate in the Sprint Planning, the Daily Scrum, and the Sprint Retrospective, to share their insights, expectations, and feedback, and to collaborate with the Developers on creating and refining the Sprint Goal and the Sprint Backlog.

The other options are not the best steps to take, because they either do not address the root cause of the problem, or they may have negative consequences. Ensuring that all Developers are top performers may not be realistic or feasible, and it may also create a culture of blame or competition, rather than collaboration and learning. Adding more people to the team may not necessarily increase the productivity or the quality of the work, and it may also introduce communication and coordination challenges, as well as additional costs and risks. References := Scrum Guide, Understanding and Applying the Scrum Framework, Managing Products with Agility

According to the Professional Scrum Product Owner™ II (PSPO II) guidelines, the best indicators of value delivery are those that reflect the product’s impact on customers and its usage in the market.

Customer satisfaction (Option A) is a direct measure of how well the product meets customer needs and expectations. High customer satisfaction is a strong indicator that the product is delivering value1.

Frequency of feature use (Option D) provides insights into which features are most valuable to users by showing how often they are used. This metric helps Product Owners understand user behavior and prioritize features that deliver the most value1.

On-time release trends (Option B) and velocity (Option C) are more about the process and efficiency of the development team rather than direct indicators of value to the customer. Scope implemented (Option E) measures the amount of work done but does not necessarily correlate with customer value. Therefore, options A and D are the best choices for measuring value delivery as per the PSPO II resources.

The Product Backlog is an ordered list of what is needed to improve the product, and it is the single source of work undertaken by the Scrum Team. The Product Owner is responsible for ordering the Product Backlog items by value, risk, priority, and dependencies. The Product Backlog should be transparent and accessible to the Scrum Team and the stakeholders, so that everyone can understand the scope and progress of the product development. Therefore, options A and B are true statements about the Product Backlog.

Option C is not true because the Product Backlog items can be expressed in various formats, such as user stories, use cases, scenarios, or any other way that clearly conveys the intent and value of the item. User stories are a common and useful technique, but not a mandatory one.

Option D is not true because the Product Backlog is not a fixed and complete specification of the product, but rather an emergent and dynamic artifact that evolves over time. The Product Backlog items are refined and clarified by the Product Owner and the Developers throughout the product development process, and new items can be added or removed as needed. The Product Backlog does not need to be fully defined before the first Sprint begins, but only enough to support the first Sprint Planning.

Option E is not true because the Product Owner is not the only source of ideas and requirements for the product. The Product Owner collaborates with the Developers and the stakeholders to discover, validate, and prioritize the Product Backlog items. The Product Owner may delegate the authority to add items to the Product Backlog to others, but remains accountable for the ordering and the value of the Product Backlog.

Option F is not true because the Product Backlog does not replace the communication and collaboration between the Developers and the stakeholders. The Product Backlog represents the input of all stakeholders, but it is not a substitute for direct feedback and interaction. The Developers need to engage with the stakeholders to understand their needs, expectations, and feedback, and to deliver a valuable product increment that meets the Sprint Goal and the Definition of Done. References:

Professional Scrum Product Owner II Assessment

Understanding and Applying the Scrum Framework

Managing Products with Agility

[What is a Product Backlog?]

[Product Backlog Explained]

 A “cone of uncertainty” is a graphical representation of the evolution of the amount of uncertainty during a project. It shows that at the beginning of a project, there is a high degree of variability and unpredictability in the estimates of the scope, cost, time, and value of the product. As the project progresses, more information and feedback are gathered, and the uncertainty decreases, reaching zero when the product is delivered and validated. A “cone of uncertainty” can be used to visualize the uncertainty of the potential value that a Scrum Team delivers over time, and to guide the empirical process of inspection and adaptation. By using a “cone of uncertainty”, a Scrum Team can:

Align the expectations of the stakeholders and customers with the reality of the complex and dynamic environment.

Avoid making premature or unrealistic commitments based on inaccurate or incomplete estimates.

Embrace change and experimentation as opportunities to learn and deliver more value.

Inspect the actual value delivered and the feedback received, and adapt the product vision, strategy, and backlog accordingly.

Forecast the range of possible outcomes and the level of confidence for each Sprint and release.

The other options are not valid uses of a “cone of uncertainty”. A “cone of uncertainty” does not represent the relative level of difficulty for predicting the velocity of individual team members, as velocity is a measure of the amount of work done by the whole Scrum Team, not by individuals. A “cone of uncertainty” does not rapidly identify and prioritize all uncertainties, as uncertainties are not always known or quantifiable, and may change over time. A “cone of uncertainty” does not determine whether to cut quality, similar to the “Iron Triangle” of project management, as quality is not a variable that can be traded off inScrum, but a non-negotiable aspect of the Definition of Done and the value proposition of the product.

References:

Professional Scrum Product Ownerâ„¢ II Certification

Managing Products with Agility

Cone of Uncertainty - Wikipedia

According to the Professional Scrum Product Ownerâ„¢ II certification guide1, the Definition of Done is a formal description of the state of the Increment when it meets the quality measures required for the product. The Definition of Done creates transparency by providing everyone a shared understanding of what work was completed and what standards were met as part of the Increment. If the Definition of Done is not met, the Increment is not Done and cannot be released. Therefore, the following statements are true:

A. The next Sprint may be interrupted when quality issues are encountered. This is true because the Scrum Team may have to spend time fixing the quality issues in the previous Increment before working on the new Sprint Backlog items. This may affect the Sprint Goal and the delivery of value.

C. The indication of progress on the Product Backlog is not transparent. This is true because the Product Backlog items that were supposedly Done in the previous Sprint are actually not Done according to the Definition of Done. This means that the Product Owner cannot accurately forecast the release plan and the stakeholders cannot trust the progress reports.

D. The Scrum Team should not release the Increment. This is true because releasing an Increment that does not meet the Definition of Done may compromise the quality, usability, and value of the product. It may also damage the reputation and trust of the Scrum Team and the organization.

E. The incomplete Sprint Backlog items should be returned to the Product Backlog. This is true because the Sprint Backlog items that were not Done according to the Definition of Done are still part of the Product Backlog. The Product Owner should re-order them based on their value and priority and decide when to include them in the next Sprint.

The following statement is false:

B. The project manager cannot effectively update the plan. This is false because there is no project manager role in Scrum. The Product Owner is responsible for managing the Product Backlog and the value delivery, while the Scrum Master is responsible for facilitating the Scrum process and removing impediments. The Developers are responsible for managing the Sprint Backlog and the quality of the Increment.

References: 1: Professional Scrum Product Owner™ II Certification | Scrum.org

Comprehensive and Detailed In-Depth Explanation:

The scenario describes a product withlow Current Valueandhigh Unrealized Value, meaning that while the product is not currently delivering significant value, there is potential for substantial improvement.

Additionally:

A high product cost ratio (85%)means that a large portion of revenue is being consumed by operating costs, leaving little room for new development.

A long time-to-marketsuggests inefficiencies in the development and delivery process, preventing rapid iteration and improvement.

Given these conditions, thebest long-term strategy is to address the underlying inefficiencies before attempting to innovate.

Analysis of Answer Choices:

Option A: Drop the product(Incorrect)

Abandoning the product is premature, as theUnrealized Value is high.

High Unrealized Value indicates potential customer demand or market opportunity that has not yet been tapped.

A Product Owner should first explore ways to unlock that value before considering discontinuation.

Option B: Improve efficiency by eliminating waste(Correct)

Addressing inefficiencies inproduct development, delivery, and cost structureis a fundamental step before attempting new innovations.

By reducing waste, improving operational efficiency, and lowering costs, the teamcan free up resources to invest in new high-value features.

Scrum and Agile emphasize continuous improvement—optimizing processes enables faster, more cost-effective feature development in the future.

Option C: Focus on high-value features despite inefficiencies(Incorrect)

While prioritizing high-value features is important, thelack of capacity and long time-to-marketwould limit the effectiveness of this strategy.

Without firstimproving efficiency, the product will continue to struggle with slow delivery, high costs, and missed opportunities.

Key Scrum and Agile Principles Supporting This Answer:

Continuous Improvement: Scrum promotes regularinspection and adaptationto optimize processes and eliminate waste.

Sustainable Development: Focusing on long-term product viability requiresfixing systemic inefficienciesbefore pursuing new growth.

Empirical Process Control: Decisions should be based on data; the data here suggests inefficiencies are a major blocker to success.

Conclusion:

Thebest approach is to first improve efficiency by eliminating waste, reducing costs, and accelerating time-to-market. Once the team has built a solid foundation, they can thenfocus on innovation and unlocking the Unrealized Value of the product.

The Sprint Goal is a summary statement of the Sprint objective, which ideally has a cohesive theme. The Sprint Goal also gives the Scrum Team guidance and flexibility on how to achieve the objective. The Sprint Goal is crafted by the entire Scrum Team during the Sprint Planning, based on the Product Owner’s proposal of the most valuable Product Backlog items and the Development Team’s forecast of the work that can be done in the Sprint. The Product Owner collaborates with the team to write the Sprint Goal and defines it on the basis of the value being sought. The Product Owner does not define the scope or the solution for the Sprint, but rather the outcome and the benefit. The Product Owner also does not work with stakeholders to set the Sprint Goal, but rather represents their interests and needs. The Product Owner has a role in crafting the Sprint Goal, but not the sole responsibility for it. References:

Professional Scrum Product Owner II Assessment

Understanding and Applying the Scrum Framework

Managing Products with Agility

The Role of the Product Owner during the Sprint

Sprint Goal – An Essential Ingredient in Scrum Recipe

When multiple Scrum Teams are working on the same product, it is essential that all of their Increments be combined every Sprint. This ensures that the Product Owner and stakeholders can accurately inspect the Increment, which is a fundamental aspect of transparency and empiricism in Scrum1. Combining Increments allows for a clear understanding of the current state of the product, which is crucial for effective inspection and adaptation.

According to the Professional Scrum Product Owner™ II certification guide1, the Product Owner is accountable for maximizing the value of the product resulting from the work of the Scrum Team. This means that the Product Owner is responsible for defining, ordering, and validating what the Scrum Team works on, and ensuring that the product delivers value to the customers, users, and the organization. The other options are not the most important thing a Product Owner can do, because they are either too narrow (A), too unrealistic (B), or too prescriptive ©. References: 1: Professional Scrum Product Owner™ II Certification | Scrum.org

B is correct because the Product Owner is accountable for maximizing the value of the product and the work of the Developers1, and delaying answers to the Developers can cause waste, rework, and missed opportunities2. E is correct because the Product Owneris responsible for ensuring that the product Increment is valuable and useful for thestakeholders and customers3, and this requires close collaboration and feedback with the Scrum Team and the users4. A is incorrect because the Product Owner does not need to dedicate 100% of their time to the Scrum Team, as they also have other accountabilities such as engaging with the market, managing the product vision, and aligning with the business strategy5. C is incorrect because the Product Owner is not a proxy for the stakeholders, and they should not delegate their role to business analysts or anyone else. D is incorrect because the Product Owner does not need the approval of the stakeholders to decide how much time they spend with the Scrum Team, as they are empowered to make the best decisions for the product. F is incorrect because the Product Owner should not base their time allocation on the complaints of the Developers, but on the value and quality of the product.