agile3
Planning & Estimation

Capacity Planning

Working out how much time a team really has in a sprint before deciding how much work to take on.

2 min read · Practitioner

In 30 seconds

  • Capacity = people x available days x a realistic focus factor.
  • Subtract leave, holidays and recurring meetings first.
  • Compare with velocity to set a sensible sprint commitment.

Try it

Optional: convert to points

–Available person-days
–Focused capacity (days)
–Of a normal sprint
–Suggested points

A simple formula

Capacity = team members x working days available x focus factor

The focus factor accounts for meetings, support work and interruptions. Many teams start around 0.6 to 0.7 and adjust based on experience.

Worked example

ItemValue
Team members5
Sprint working days10
Days of leave this sprint4
Available person-days46
Focus factor0.7
Capacityabout 32 focused person-days

Capacity vs velocity

Velocity tells you what the team usually finishes. Capacity tells you whether this sprint is normal. If capacity drops by 20% because of holidays, plan roughly 20% less than average velocity in Sprint Planning.

Myth vs reality

Myth · Plan to 100% capacity.
Reality · Full plans leave no room for surprises and usually fail.
Myth · Capacity is about hours, so story points are useless.
Reality · Use capacity to adjust a points-based plan, not replace it.
Myth · Everyone has the same capacity.
Reality · Part-time members and specialists need separate figures.

The AI angle

AI changes how much a person can produce but not how much they can review, decide and integrate. Plan capacity around review and decision time, not just building time.

Estimation and Velocity with AI →

FAQ

What focus factor should we use?

Start near 0.7 and adjust after a few sprints.

Should we include unplanned work?

Yes, reserve a slice based on recent history.

Is capacity planning a Scrum event?

No, it's a common input to Sprint Planning.