The CAGED 'System' is the way the guitar fretboard (in the Standard Tuning only!) can be divided into manageable chunks for beginners.
The main purpose is that you will be playing scales in five different positions, using four-finger position shapes you will learn here.
These four-finger positions reduce the need for stretching the fingers, but we will be using position shifting when necessary.
Be certain and diligent to match each of these scale patterns to the corresponding C Major CAGED Chord Shapes.
Practise the scales using these backing tracks.