Nigel Thorne

Resources / Interactive tool

What does later delivery cost?

Shape the opportunity. Compare two delivery dates. See the value lost between them.

This curve shows expected total value if delivered on a particular date. It is not the cost to build the feature, or revenue earned each week.

A demo before the show. Links afterwards.

The starting example is worth AUD 50,000 before the show, then AUD 10,000 from sharing links afterwards. Crossing the deadline loses AUD 40,000. These are illustrative figures, not a forecast.

Choose the shape of the opportunity
Define the value and dates

Example only. Replace these figures with your estimate. Currency changes the label, not the exchange rate.

Value if delivered on this date

Drag a marker sideways, use its arrow keys, or edit the fields above. Arrow keys move one day; Page Up and Page Down move a week.

Expected opportunity value by delivery dateStart12 weeks from startAB
Dashed marker · First lower-value day: 4 weeks from startA · Earlier: 3 weeks from start · AUD 50,000.00B · Later: 5 weeks from start · AUD 10,000.00Top of chart: AUD 50,000.00 · Bottom: AUD 0.00
Total delay cost · 14 days laterAUD 40,000.00AUD 50,000.00 − AUD 10,000.00
Average loss per day across this intervalAUD 2,857.14AUD 20,000.00 per week on average

One-off deadline loss

AUD 40,000.00 in this comparison.

This is included in the total, not added again. A deadline jump is not a recurring daily charge. Lower value starts on the marked day.

How the curve becomes Cost of Delay

Total delay cost is V earlier minus V later. The shaded interval marks the dates being compared. Its area is not the delay cost.

The rate at a smooth point is the negative slope of the value curve. At the earlier delivery date: AUD 0.00 per day. An interval average can hide a deadline jump.

Value stays at the starting amount before the deadline. On and after the deadline it is the residual, or zero for a hard deadline.

Calculated in your browser. Entries are not saved or sent anywhere. Reloading resets the example.

The curve is an assumption to test.

Keep the comparison fair

Estimate net opportunity value over the same stated horizon. Include attributable benefits, running costs, adoption and probability. Separate implementation cost when assessing whether to invest.

Try a range

Change the starting value, residual and timing to test lower and higher estimates. A smooth curve does not make an uncertain estimate precise.

For benefits earned per week, compare the accumulated benefits of earlier and later delivery. That is a different model. See the steady-benefit worked example and worksheet.

Comparing several pieces of work? Try the feature sequencing simulator →

Further reading

The value and urgency concepts draw on Black Swan Farming's Cost of Delay introduction and urgency profiles. These curve equations and the show example are original modelling choices, not a reproduction of their diagrams or a prescribed forecasting method.