A relative estimation method in Agile that measures complexity, effort, and risk rather than time, using techniques like Planning Poker and tracking team velocity for predictable sprint planning.
Story points are a relative estimation method in Agile that helps teams assess effort, complexity, and risk for backlog items. Unlike time-based estimates (hours or days), story points represent relative complexity, effort, and risk.
Story points consider:
Story points do NOT equal hours. A 5-point story isn't "5 hours of work."
Researchers have found that this improves estimate accuracy, especially on items with a lot of uncertainty as we find on most software projects.
Story points typically use a modified Fibonacci sequence: 1, 2, 3, 5, 8, 13, 20, 40, 100
Why Fibonacci?
Planning Poker® is a consensus-based technique for agile estimating.
Cards display values like: 0, ½, 1, 2, 3, 5, 8, 13, 20, 40, 100, ?, ∞
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Special cards:
Velocity is a metric that measures the amount of work a team can complete during a single sprint or iteration.
Velocity = Sum of story points of all completed user stories in a sprint
Example:
Once you know your velocity:
Pick a reference story that the whole team understands. Assign it a number (often 3 or 5). Estimate other stories relative to this baseline.
Use Planning Poker or similar technique. Ensure whole team participates.
Record which stories were completed each sprint and their point values.
After 3-5 sprints, calculate average velocity.
Plan future sprints based on your established velocity.
Adjust estimates based on what you learn. Velocity should stabilize and become more predictable.
Story points are NOT time. Don't convert them to hours.
One team's 50 points ≠ another team's 50 points. Story points are team-specific.
Velocity is for planning, not judging team performance. Pressuring teams to increase velocity leads to point inflation.
Don't argue whether something is 7 vs. 8 points. Use Fibonacci gaps to avoid false precision.
Only completed stories count toward velocity. Don't count partially done work.
Once sprint starts, don't re-estimate. Learn for next time.
While story points avoid time estimates: