In Scrum, what does the term 'Increment' refer to?

The term 'Increment' in Scrum specifically refers to the sum of all completed Product Backlog items at the end of a Sprint. This includes not just the work finished during that Sprint, but also all work that has been done in previous Sprints. Each Increment must be in a usable condition and provide value to stakeholders, ensuring that it adds to the overall product. The Increment enhances the product and brings it closer to the desired outcome, allowing teams to incrementally improve and deliver features over time.

This understanding of the Increment is essential for Scrum teams, as it reflects their progress and the overall product's evolution. Each Increment contributes cumulatively to the final product, allowing for continual refinement and adaptation based on stakeholder feedback and changing requirements. This embodies one of the core principles of Agile practices, which is to deliver value iteratively and incrementally.