Velocity is how a scrum team measures the amount of work they can complete in a typical sprint. Velocity is measured historically, from one sprint to the next. By tracking the number of story points the team can complete according to their own definition of done, they can build up a reliable and predictable sense of how long it will take them to complete new stories based on their relative point value.
Keeping track of the velocity is the responsibility of the scrum master. At the end of each sprint demo, the scrum master should calculate the number of points that were estimated for the stories that were accepted as done during that sprint. This number should be added as a data point on the velocity chart for that sprint.
Velocity charts tend to start out jumping around from very high numbers to very low numbers, as the team learns how much work they can do in a sprint, and how to estimate stories. The longer a team works together, the better they get at estimating stories consistently relative to each other. That skill leads to a better sense of how many stories, and how many points, the team can accomplish in a single sprint.
Continue reading %Scrum Artifacts: Velocity and Burndown Charts%
by M. David Green via SitePoint
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