Velocity is a key metric used in the sprint framework of project management, particularly in the scrum methodology. It is used to predict the amount of work a team can complete in a future sprint, based on the team's past performance. This helps teams better plan and forecast their future work, and set realistic expectations for what they can accomplish.
The velocity of a team is calculated by adding up all the points for the completed user stories during a sprint. User stories are worth more points if they are larger in size, based on their relative size. By tracking velocity over time, teams can determine their real commitment to future sprints, and make informed decisions about what they can achieve.
While velocity can increase over time, it is not necessarily a requirement. There are several factors that can contribute to an increase in velocity, including increased team efficiency, better estimation techniques, increased team size, and improved communication and collaboration.
However, it is important to note that velocity is not the only indicator of a team's productivity or success. While it provides valuable information about a team's ability to complete work in a sprint, it is just one part of the larger picture. Teams can still perform well and achieve their goals even if their velocity remains constant.
Velocity is a valuable tool for teams to better predict and plan their future work in a sprint framework. While an increase in velocity can be a sign of a team's improved performance, it is not the only indicator of success. Teams should focus on a combination of factors, including velocity, to determine their overall productivity and success in complex projects.
Agile is one of the commonly used Software Development methodologies for its ability to facilitate cross-team collaboration and ensure successful projects even when the business requirements are very dynamic in nature.