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Calculating Capacity In Scrum

Scrum Capacity Formula:

\[ \text{Capacity} = \frac{\text{Velocity}_{\text{Sprint 1}} + \text{Velocity}_{\text{Sprint 2}} + \text{Velocity}_{\text{Sprint 3}}}{3} \]

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1. What is Scrum Capacity?

Scrum capacity refers to the amount of work a team can complete in a sprint, typically measured in story points. It's calculated based on the team's historical velocity from previous sprints, providing a realistic estimate of what can be accomplished in upcoming sprints.

2. How to Calculate Scrum Capacity

The standard calculation for scrum capacity is:

\[ \text{Capacity} = \frac{\text{Velocity}_{\text{Sprint 1}} + \text{Velocity}_{\text{Sprint 2}} + \text{Velocity}_{\text{Sprint 3}}}{3} \]

Where:

Explanation: This calculation provides a smoothed average that accounts for normal variations in team performance while reducing the impact of outliers.

3. Importance of Capacity Planning

Details: Accurate capacity planning helps teams commit to realistic amounts of work, prevents overcommitment, improves predictability, and supports sustainable pace. It's essential for effective sprint planning and long-term project forecasting.

4. Using the Calculator

Tips: Enter the story points completed in your last three sprints. The calculator will provide the average capacity that can be used for planning your next sprint. Use whole numbers or decimals (e.g., 13.5 points).

5. Frequently Asked Questions (FAQ)

Q1: Why use the average of 3 sprints?
A: Using three sprints provides a balanced view that smooths out anomalies while still being responsive to recent performance changes.

Q2: What if we don't have 3 sprints of data?
A: For new teams, start with conservative estimates and adjust as you complete more sprints. Use available data or industry benchmarks as starting points.

Q3: Should we adjust for team changes or holidays?
A: Yes, capacity should be adjusted for known absences, team member changes, or other factors that might affect productivity in the upcoming sprint.

Q4: How often should we recalculate capacity?
A: Recalculate after each sprint to incorporate your most recent performance data and maintain accurate planning estimates.

Q5: What if our velocity varies significantly between sprints?
A: Significant variations may indicate inconsistent story point estimation, external dependencies, or other issues that should be investigated during retrospectives.

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