diff --git a/scripts/pylib/twister/twisterlib/environment.py b/scripts/pylib/twister/twisterlib/environment.py
index 5f6ac19533d..1d5569acdcf 100644
--- a/scripts/pylib/twister/twisterlib/environment.py
+++ b/scripts/pylib/twister/twisterlib/environment.py
@@ -2,6 +2,7 @@
 # vim: set syntax=python ts=4 :
 #
 # Copyright (c) 2018 Intel Corporation
+# Copyright 2022 NXP
 # SPDX-License-Identifier: Apache-2.0
 
 import os
@@ -378,8 +379,11 @@ structure in the main Zephyr tree: boards/<arch>/<board_name>/""")
                         help="Specify a file where to save logs.")
 
     parser.add_argument(
-        "-M", "--runtime-artifact-cleanup", action="store_true",
-        help="Delete artifacts of passing tests.")
+        "-M", "--runtime-artifact-cleanup", choices=['pass', 'all'],
+        default=None, const='pass', nargs='?',
+        help="""Cleanup test artifacts. The default behavior is 'pass'
+        which only removes artifacts of passing tests. If you wish to
+        remove all artificats including those of failed tests, use 'all'.""")
 
     test_xor_generator.add_argument(
         "-N", "--ninja", action="store_true",
diff --git a/scripts/pylib/twister/twisterlib/runner.py b/scripts/pylib/twister/twisterlib/runner.py
index 12ee53c0899..5eba1ee6712 100644
--- a/scripts/pylib/twister/twisterlib/runner.py
+++ b/scripts/pylib/twister/twisterlib/runner.py
@@ -1,6 +1,7 @@
 # vim: set syntax=python ts=4 :
 #
 # Copyright (c) 20180-2022 Intel Corporation
+# Copyright 2022 NXP
 # SPDX-License-Identifier: Apache-2.0
 
 import os
@@ -575,17 +576,22 @@ class ProjectBuilder(FilterBuilder):
                 done.put(self.instance)
                 self.report_out(results)
 
-            if self.options.runtime_artifact_cleanup and not self.options.coverage and self.instance.status == "passed":
-                pipeline.put({
-                    "op": "cleanup",
-                    "test": self.instance
-                })
+            if not self.options.coverage:
+                if self.options.runtime_artifact_cleanup == "pass" and self.instance.status == "passed":
+                    pipeline.put({"op": "cleanup_pass", "test": self.instance})
+                if self.options.runtime_artifact_cleanup == "all":
+                    pipeline.put({"op": "cleanup_all", "test": self.instance})
 
-        elif op == "cleanup":
+        elif op == "cleanup_pass":
             if self.options.device_testing or self.options.prep_artifacts_for_testing:
                 self.cleanup_device_testing_artifacts()
             else:
                 self.cleanup_artifacts()
+        elif op == "cleanup_all":
+            if (self.options.device_testing or self.options.prep_artifacts_for_testing) and self.instance.reason != "Cmake build failure":
+                self.cleanup_device_testing_artifacts()
+            else:
+                self.cleanup_artifacts()
 
     def determine_testcases(self, results):
         symbol_file = os.path.join(self.build_dir, "zephyr", "zephyr.symbols")
@@ -627,7 +633,7 @@ class ProjectBuilder(FilterBuilder):
     def cleanup_artifacts(self, additional_keep=[]):
         logger.debug("Cleaning up {}".format(self.instance.build_dir))
         allow = [
-            'zephyr/.config',
+            os.path.join('zephyr', '.config'),
             'handler.log',
             'build.log',
             'device.log',
@@ -636,11 +642,14 @@ class ProjectBuilder(FilterBuilder):
             'Makefile',
             'CMakeCache.txt',
             'build.ninja',
-            'CMakeFiles/rules.ninja'
+            os.path.join('CMakeFiles', 'rules.ninja')
             ]
 
         allow += additional_keep
 
+        if self.options.runtime_artifact_cleanup == 'all':
+            allow += [os.path.join('twister', 'testsuite_extra.conf')]
+
         allow = [os.path.join(self.instance.build_dir, file) for file in allow]
 
         for dirpath, dirnames, filenames in os.walk(self.instance.build_dir, topdown=False):
@@ -661,12 +670,12 @@ class ProjectBuilder(FilterBuilder):
 
         sanitizelist = [
             'CMakeCache.txt',
-            'zephyr/runners.yaml',
+            os.path.join('zephyr', 'runners.yaml'),
         ]
         keep = [
-            'zephyr/zephyr.hex',
-            'zephyr/zephyr.bin',
-            'zephyr/zephyr.elf',
+            os.path.join('zephyr', 'zephyr.hex'),
+            os.path.join('zephyr', 'zephyr.bin'),
+            os.path.join('zephyr', 'zephyr.elf'),
             ]
 
         keep += sanitizelist