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Agile teams are stable, so they cost a fixed amount per year. Budget teams as overhead, just as you'd budget rent payments. It's a fixed cost. That part is easy. The question, then, is what work to assign to them? Obviously, it should be the thing that has the most value. 1/ https://twitter.com/arun22462/status/1295913808007852032
Project thinking is an anti-pattern. You don't budget projects. You assign teams to work on the products that will give you the best return, and you assign them the most valuable work on that product. Higher-value products get more teams.
Think of this as an investment strategy. Invest in the product that gives you the best expected return. If that turns out not to be true, cut your losses and invest in something else. 3/3
Put another way, you're going to pay for the teams whether or not you use them. So, the sensible thing to do is use them on the products that give you the highest return.
Getting back to the original question about estimating project cost. That's simply not a factor. There are no projects. There is no need to use estimates to cost them out.
