What are the Story Points & How Do You Estimate Them?


Estimating work effort is essential to plan & complete projects successfully in agile project management. Story points are one widely used method for calculating work effort in agile methodology. Story points help to provide a rough estimation of the size & complexity of user stories or requirements in a project.

Here we discuss the concept of story points & the stages applied in estimating them.

What are the Story Points?

Story points are a measure of the relative effort or complexity of a user story or requirement in agile project management. Story points are assigned to each user story or requirement during the sprint planning process.

Story points are a conceptual action that does not mean the actual time needed to finish the task, but it allows the team to comprehend the relative complexity of the task compared to other tasks in the project.

Few Points about Story Points

  • Story points are an essential tool for estimating the effort required to complete user stories or requirements in agile projects. Estimating story points requires collaboration and consensus among the entire agile team. Several factors, such as complexity, uncertainty, dependencies, and skill level, can affect story point estimation.

  • By using story points, agile teams can gain a better understanding of the effort required to complete the project and plan the sprint accordingly. Story points are an abstract measure that provides a common language for the team to discuss the size and complexity of user stories or requirements.

  • By estimating story points, the team can prioritize the most critical user stories or requirements and plan their development accordingly.

  • However, it is crucial to remember that story points are not a standard of time or effort. Story points are not a substitute for accurate time estimates or project planning. Instead, they are a tool that helps the team to make informed decisions and plan their work effectively.

Steps Involved in Estimating Story Points

Estimating story points applies a joint action by the whole agile team. The following are the steps concerned in calculating story points −

  • Identify User Stories or Requirements − The first step in estimating story points is to determine the user stories or requirements that need to be estimated. User stories or requirements can be identified from the product backlog. It is a prioritized list of all the features & functionalities that need to be developed for the product.

  • Define a Baseline Story − Once the user stories or requirements are identified, the team selects a baseline story that represents the average level of effort or complexity in the project. The baseline story is given a certain number of story points, which serves as a reference point for estimating the story points of other stories.

  • Conduct a Planning Poker Session − After selecting the baseline story, the team conducts a planning poker session to estimate the story points of each user story or requirement. In planning poker, each team member is given a deck of cards, with each card representing a certain number of story points. The team members then discuss the user story or requirement and select a card that represents the relative effort or complexity of the story.

  • Discuss the Estimates − Once each team member has selected a card, the team discusses the estimates. Also, they discuss the reasons behind their selections. If there are significant distinctions in the estimates, the team examines the causes behind the differences & tries to come to solutions.

  • Repeat the Process − The process of estimating story points is repeated for each user story or requirement in the product backlog. The team may also revisit and revise the estimates of previously estimated stories as they gain a better understanding of the project requirements.

Factors Affecting Story Points Estimation

Several factors can affect the estimation of story points. Some of the key factors are −

  • Complexity − The complexity of the user story or requirement is a crucial factor in estimating story points. A highly complex user story or requirement may require more story points than a simple story.

  • Uncertainty − Uncertainty about the project requirements or technology can also affect the estimation of story points. If there is a high degree of uncertainty, the team may assign more story points to a user story or requirement to account for the risk involved.

  • Dependencies − Dependencies between user stories or requirements can also affect story point estimation. If a user story or requirement is dependent on another story, it may require more story points than it would otherwise.

  • Skill Level − The skill level of the team members can also affect story point estimation. If the team members have different levels of expertise or experience, they may have different perspectives on the complexity of a user story or requirement.

Conclusion

In conclusion, story points are an essential tool for estimating the effort required to complete user stories or requirements in agile projects. By using story points, the team can gain a better understanding of the relative size and complexity of user stories or requirements, prioritize their development, and plan their work accordingly. However, it is essential to remember that story points are not a substitute for accurate time estimates or project planning. Instead, they are a measure of relative effort or complexity that helps the team to make informed decisions and plan their work effectively.

Updated on: 28-Mar-2023

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