Saving time and money each sprint with Kanban metrics

In my opinion, at least 1200 USD each sprint.

With the use of product backlog item age, Service Level Expectation and cycle time, a Scrum team can significantly reduce its time at pointing PBIs and decomposing work into tasks.

To calculate the savings you can do every sprint, let’s take the following formula:

Where:

• Number of developers: The number of people who are on your Scrum team developing your product every sprint.
• Time spent at story pointing: The amount of time in hours, each sprint, your developers are taking to decide if a PBI is. To make sure we understand ourselves, this is the time people argue between a 1 point or a 2 point for example. I’d like you to exclude from this the actual time developers take at getting to a shared understanding of the work to be done. This variable should only take into account the conversations around pointing PBIs every sprint.
• Time spent at decomposing PBIs into tasks: The amount of time in hours, each sprint, you do some or all of the following actions:
• Your developers decompose PBIs into tasks and assigning hours to them.
• Your developers are reviewing these initial estimates.
• The Scrum Master updates the sprint burndown chart.
• The developers are asked to justify if they will complete their sprint based on the sprint burndown chart.
• The developers are asked to explain/justify the remaining hours on tasks.
• Team member hourly rate: A rough estimation of the hourly rate developers costs on your team.

In one of my classes, participants did the math. I’ve changed the names but the numbers are real.

What about you? If your Scrum teams doesn’t see any more value in tasks decomposition or pointing stories, how much time and money can you save?