Velocity measures how much work a team completes in a sprint, usually counted in story points. This metric helps teams predict delivery dates based on past performance instead of optimistic guesses. Most Agile coaches suggest tracking velocity across 3-5 sprints to establish a baseline, leaving out any unusual sprints. Teams often use their average velocity but might also consider their range (lowest to highest) when giving delivery forecasts to stakeholders. A stable velocity helps with release planning by answering important business questions: "When can we launch this feature set?" or "How much can we deliver by the trade show?" Teams simply divide the total backlog points by their average velocity to estimate how many sprints they'll need. Velocity naturally becomes more stable as teams get better at Agile practices. Big changes in velocity often show inconsistent estimation rather than actual productivity changes.

Teams should avoid trying to game velocity by inflating estimates or claiming partial credit for unfinished work. Remember that velocity is a measurement tool, not a performance metric. Comparing velocity between different teams doesn't work because each team develops its own scale. The goal is consistent, reliable delivery, not maximizing the number.