Software Development Glossary: Key Terms

Definition of Throughput

What is throughput in software development?

Throughput in software development is the measurement of how much work a team can complete in a given time period, such as a sprint, iteration, or month. This term is typically represented as the number of user stories, features, story points, or other work items a team delivers in that timeframe. Businesses and teams use throughput as an indicator of a team's delivery capacity and to plan future work.

As a consistent measure, throughput reveals a team's actual production capability rather than its theoretical or estimated capacity. This metric is especially valuable in Agile and Lean software development approaches where teams aim to maintain a steady, predictable flow of work through their development pipeline. An understanding of throughput allows teams to answer the question: "How much can we realistically deliver by a certain date?"

Why is throughput important?

Throughput is important because it lets teams make accurate planning and forecasting based on real historical performance instead of optimistic estimates. Teams with a clear understanding of their throughput can set realistic expectations with stakeholders and avoid overcommitting to work they cannot deliver. Throughput is also useful as an early warning system, signaling when delivery capacity changes due to shifts in team composition, process changes, or external factors.

Another important aspect of throughput is that it provides a baseline for continuous improvement efforts. A regular measurement of throughput determines the effect of process changes or new practices on a team's delivery capability. Specific data provides results that focus on improvements without subjective assessments. It is helpful to distinguish velocity from throughout. While velocity measures the amount of work a team completes during a sprint in story points, throughput focuses on completed work items. As story points can be abstract, throughput provides a more accurate representation of a team's performance. Throughput can be combined with other metrics like cycle time and quality indicators to build a comprehensive view of work.

How to calculate throughput?

To calculate throughput, count the total number of completed work items within a specific time period. To produce accurate results, it is important for teams to define what "complete" means with a clear definition of done. With these criteria, teams use the formula for throughput:

Throughput = Number of Items Completed / Time Period

Another important consideration is to standardize the size of work items or track throughput using consistent units, such as story points or function points. This reduces the chance of inaccurate or unbalanced calculations. For example, a development team completed 12 user stories in a two-week sprint that included 34 story points. Their throughput could be expressed as either 6 stories per week or 17 story points per week and would look like this: 17 = 34 / 2.

How to improve throughput?

Teams interested in improving the rate at which they complete work can implement throughput boosters into their workflow with AI monitoring tools such as Enji.ai. These tools support high productivity and good throughput with the following features:

  • AI agents: Provide real-time analytics of workflows to keep teams on track. Enji's Copilot shows inefficiencies and can create alerts and reminders.
  • Automated alerts: Notify teams when tasks remain unchanged for too long. Enji's alerts appear in group messenger channels and can highlight specific employees for quick responses.
  • Project visibility: Ensure all stakeholders have access to essential information. Enji features visual dashboards that keep everyone informed in minutes.

Enji and other AI monitoring tools work 24/7 to help teams support a healthy throughput and make effective improvements to deliver quality results quickly.

Key Takeaways

  • Throughput measures a team's actual delivery capacity over a specific time period and is counted in completed user stories, features, or story points.
  • Throughput provides more accurate forecasts for planning compared to theoretical capacity or optimistic estimates.
  • Consistent throughput tracking allows teams to set realistic expectations with stakeholders and avoid overcommitment.
  • This metric serves as an objective baseline for measuring the effect of process improvements on delivery capability.
  • The formula is: Number of Items Completed ÷ Time Period.
  • For better measurement, teams should standardize work item size or use consistent units like story points when work items vary in complexity.
  • When combined with other metrics like cycle time and quality indicators, throughput helps build a comprehensive view of team performance.

Created by

Joseph Taylor.

Joseph Taylor

Lead Copywriter

Last updated in April 2025