SAFe® 5 Lean Portfolio Management SAFe® 5 Lean Portfolio Management Financial Management & Budgeting

Question 1

What is the primary mechanism SAFe® 5 uses to fund work within a Lean Portfolio?

Accepted Answer

Lean Budgets allocated to Value Streams

Answer

SAFe® 5 uses Lean Budgets allocated to Value Streams rather than funding individual projects, enabling faster flow and reducing overhead.

Question 2

In SAFe® 5, what is 'participatory budgeting'?

Accepted Answer

A process where portfolio stakeholders collaborate to allocate Lean Budgets across Value Streams

Answer

Participatory budgeting involves portfolio stakeholders collaborating to allocate Lean Budgets, increasing buy-in and alignment with business priorities.

Question 3

How often should Lean Budget guardrails typically be reviewed in SAFe® 5?

Accepted Answer

Every PI (Program Increment)

Answer

Lean Budget guardrails are reviewed at least every PI to reflect changing business conditions and portfolio priorities.

Question 4

What is the purpose of 'Lean Budget guardrails' in SAFe® 5?

Accepted Answer

To establish spending policies that guide investment decisions within Value Streams

Answer

Lean Budget guardrails provide spending policies that guide how Value Streams invest their budgets without prescribing every expenditure.

Question 5

In SAFe® 5, which statement best describes the difference between CapEx and OpEx in the context of Lean Budgets?

Accepted Answer

Understanding CapEx vs OpEx helps organizations optimize tax treatment and financial reporting of portfolio investments

Answer

Understanding CapEx vs OpEx distinctions helps organizations optimize the financial and tax treatment of their portfolio investments in SAFe®.

SAFe® 5 Lean Portfolio Management Practice Test

SAFe® 5 Lean Portfolio Management Practice Test

SAFe® 5 Lean Portfolio Management SAFe® 5 Lean Portfolio Management Financial Management & Budgeting