Scrum Professional Scrum Master level III (PSM III) : PSM-III

  • Exam Code: PSM-III
  • Exam Name: Professional Scrum Master level III (PSM III)
  • Updated: Sep 12, 2026     Q & A: 36 Questions and Answers

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Scrum PSM-III Exam Syllabus Topics:

SectionObjectives
Done and Undone Work- Definition of Done
Facilitation and Coaching- Coaching
- Facilitation
- Teaching
Product Backlog Management- Stakeholder Management
- Backlog Refinement
Scrum Theory and Empiricism- Complex adaptive systems
- Scrum Values
- Empirical process control
Scrum in the Organization- Scaling Scrum
- Organizational Design and Culture
The Scrum Framework- Scrum Events
- Scrum Artifacts
- Scrum Roles

Scrum Professional Scrum Master level III (PSM III) Sample Questions:

Question #1

What would be an example of a development team member displaying unethical behaviour?

Reveal Solution  Discussion  0

Correct Answer:

An example of unethical behaviour by a Development Team member in Scrum isknowingly delivering low- quality or non-secure softwarewhile being aware of the potential negative impact on users, stakeholders, or the organization. Such behaviour contradicts the ethical expectations embedded in Scrum and violates multiple Scrum Values.
For instance, a developer may intentionally ignore known defects, security vulnerabilities, or technical debt in order to finish work faster or appear more productive. Releasing software that is known to be insecure or unstable places end-users at risk and misrepresents the true state of the product. This underminesCommitment to quality andCourage, as the individual avoids addressing difficult issues or raising concerns.
Another unethical example iswithholding important informationfrom the Scrum Team or stakeholders. This may include hiding risks, downplaying impediments, or not being transparent about progress or challenges.
Such behaviour violatesOpennessand damages trust, which is essential for empiricism and effective collaboration.
Unethical behaviour may also be expressed throughfailing to support team members. For example, refusing to help others, dismissing or disrespecting colleagues' opinions, or working in ways that harm team cohesion contradicts the Scrum Value ofRespect. Scrum expects team members to collaborate and support each other in achieving the Sprint Goal.
Finally,going against agreements made by the Scrum Team, such as ignoring the Definition of Done or agreed working agreements, is unethical. This damages accountability and can mislead stakeholders about the quality and completeness of the work.

Question #2

You have been appointed the Scrum Master for a brand new product your organization is planning to develop.
A ProductOwner has also been appointed. Initially, fifteen developers will work on the product. What approaches are common forforming teams for this product, and how do they likely benefit or hinder the Product Development effort?

Reveal Solution  Discussion  0

Correct Answer:

When starting development of a brand new product with fifteen developers, forming effective teams is a critical early decision that significantly influences the success of product development. From a Scrum Master' s perspective, multiple approaches are commonly used in practice. Each approach offers distinct benefits and drawbacks when evaluated against Scrum principles such asself-organization, cross-functionality, and value delivery.
1. Facilitating Teams to Self-Organize
One common approach is tofacilitate the developers in forming teams themselves. This approach aligns strongly with Scrum, as the Scrum Guide states that Scrum Teams areself-managingand decide internally how best to accomplish their work.
Benefits:
Allowing teams to self-organize promotesempowerment, ownership, and accountability. Developers can use their existing knowledge of each other's strengths, weaknesses, and working styles to form balanced teams. This often increases motivation and psychological safety, both of which support high performance.
Hindrances:
For a new product, this process can bemessy and time-consuming, especially if developers lack experience in forming effective teams. Teams may optimize for comfort or familiarity rather than cross-functionality, potentially leading to skill gaps or imbalanced teams.
2. Forming Two or Three Cross-Functional Feature Teams
Another common approach is to deliberately formtwo or three cross-functional feature teams, each containing all the skills necessary to deliver working product increments.
Benefits:
This approach closely matches how Scrum describes teams.Cross-functional feature teamscan independently deliverintegrated, "Done" Incrementsof the product, improving flow, reducing dependencies, and supporting empiricism. All necessary skills are available within the team, enabling faster inspection and adaptation.
Hindrances:
In the context of a brand new product, teams may not yet knowwhich skills are actually required, making it difficult to form truly balanced teams upfront. Additionally, specialists may feel isolated and lose regular interaction with peers who share the same expertise across teams.
3. Forming Teams Based on Specialization (Component Teams)
A third approach is to organize teams according totechnical specialization, such as front-end and back-end teams. These are often referred to ascomponent teams.
Benefits:
This structure allows specialists to work closely together, enablingfast knowledge sharing, technical consistency, and deep expertisein specific components of the system. It can feel efficient, especially in the early stages of development.
Hindrances:
From a Scrum perspective, this approach significantly hindersvalue delivery. Component teams struggle to deliver complete, integrated features independently and introduce dependencies and handoffs. This makes it harder to produce a usable Increment each Sprint and isnot how Scrum describes teams, even though it remains a commonly used strategy in many organizations.
Scrum Master Perspective and Conclusion
As a Scrum Master, my role is not to mandate a single team structure, but tocoach and facilitatethe organization toward structures that best enable Scrum. While all three approaches are seen in practice, Scrum clearly favorsself-organizing, cross-functional feature teamsbecause they maximize learning, transparency, and the ability to deliver value each Sprint.

Question #3

Decisions to optimise value and control risk are made based on the perceived state of the artefacts. What events and practises can improve transparency over the artefacts? Explain why.

Reveal Solution  Discussion  0

Correct Answer:

In Scrum, decisions to optimize value and control risk depend on theperceived state of the artifacts. If artifacts are not transparent, inspection and adaptation become ineffective, leading to poor decisions. Scrum therefore defines specificevents and practicesto improve transparency and support empirical decision- making.
Scrum Events That Improve Artifact Transparency
Sprint Planningimproves transparency by aligning the Scrum Team on the current state of theProduct Backlogand theProduct Increment. The Product Owner explains backlog ordering and objectives, while Developers assess what is feasible based on the current Increment and Definition of Done. This shared understanding reduces risk by creating a realistic Sprint Goal.
Daily Scrumimproves transparency of theSprint Backlog. Developers inspect progress toward the Sprint Goal and make visible emerging risks, dependencies, and impediments. Daily inspection ensures that deviations are discovered early, enabling fast adaptation and reducing delivery risk.
Sprint Reviewimproves transparency of theProduct IncrementandProduct Backlog. Stakeholders directly inspect the Increment and provide feedback. This exposes assumptions, validates value, and informs Product Backlog adaptation, helping optimize future value and reduce market risk.
Sprint Retrospectiveimproves transparency ofprocess-related aspectsthat influence the artifacts. By inspecting ways of working, tools, skills, and the Definition of Done, the team identifies improvements that increase artifact quality and reliability over time.
Practices That Improve Transparency
Aclear and shared Definition of Doneensures transparency of the Product Increment. It creates a common understanding of what "complete" means and prevents hidden work or misleading progress.
Product Backlog refinementimproves transparency by clarifying Product Backlog Items, making assumptions explicit, and reducing uncertainty. Although not a formal Scrum event, refinement supports better inspection and forecasting.
Frequent integration and testingimprove transparency by making the real state of the Increment visible early and often. This reduces the risk of late surprises and unintegrated work.
Visible metrics and information radiators(such as Sprint Goals, Sprint Backlogs, and progress toward objectives) help stakeholders and teams understand the state of work without relying on reports or interpretations.

Question #4

The developers in your Scrum Team raise an impediment. The work planned for upcoming Sprint involves certain knowledge and expertise they do not possess within the team. How do you handle this impediment?

Reveal Solution  Discussion  0

Correct Answer:

When Developers raise the lack of certain knowledge or expertise as an impediment, the Scrum Master must address the situation in a way that reinforcesScrum principles, especiallycross-functionality, empiricism, and self-management, while also supporting value delivery.
First, it is essential to verify whether this is truly animpediment. In Scrum, an impediment is something the team cannot resolve on its own. As a Scrum Master, I would facilitate a discussion with the Developers and, if appropriate, the Product Owner to inspect whether the expertise is genuinely required to achieve the desired outcome. In some cases, the scope or approach can be adapted, or the Product Backlog Item can be refined so that alternative solutions are viable. This conversation may reveal that the need for specialized knowledge is less critical than initially assumed.
Second, if the expertise is indeed necessary, the Scrum Master should encourage the team to address the issue as across-functional Scrum Team. Scrum expects teams to have, or acquire, all skills needed to deliver value. Therefore, I would ask the Developers how they couldlearn or acquire the necessary knowledge themselves. Possible options include allocating time for learning, research, training, experimenting, or building a prototype. These activities can be planned as part of the Sprint Backlog and support long-term team capability.
Third, the Scrum Master can help the team make effective use ofoutside expertise without undermining self- management. During Sprint Planning or refinement, the team may consult internal or external experts to gain insights, validate approaches, or reduce uncertainty, while still retaining ownership of the work and the Sprint Backlog.
Finally, if none of these options resolve the impediment, the Scrum Master has a responsibility tohelp the organization support the Scrum Team. This may involve facilitating access to expertise from elsewhere in the organization or, if necessary, from outside the organization. The Scrum Master does not solve the problem personally but works to remove organizational barriers so the team can proceed.

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