The importance of producing a valuable product Increment
Valuable product Increments improve the outcomes that its users and customers experience. Each Sprint can be thought of as an experiment that tests a hypothesis about value, and the product Increment is the means by which a Scrum Team tests that hypothesis. Until the Scrum Team actually delivers a product Increment and measures the result, they can’t be sure that they really understand what customers want or need.
A useful way to think about whether a product Increment is valuable is the Evidence-Based Management concept of Unrealized Value, which is the “satisfaction” gap between the outcomes that customers currently experience and the outcomes that they would like to experience.
Valuable product Increments reduce the size of the satisfaction gap, reducing the Unrealized Value of the product. They also help a Scrum Team know that they are moving in the right direction toward their goals.
Resources:
Book:
Unlocking Business Agility with Evidence-Based Management: Satisfy Customers and Improve Organizational Effectiveness (The Professional Scrum Series) by Patricia Kong, Todd Miller, Kurt Bittner, and Ryan Ripley; Addison-Wesley Professional, October 31, 2023. ISBN-13: 978-0138244576