Why a Stack-Ranked Backlog Matters in Software Development

TLDR: Whether you’re using Kanban, Scrum or some other agile process framework, the stack ranked backlog is the most important tool the product owner has to ensure maximum value delivery.

What is a stack ranked backlog?

A stack ranked backlog is an ordered list of capabilities or outcomes that the business would like to see the developers deliver. It can include functional and nonfunctional requirements. Each one should be independently deliverable, even if the business needs a group of them for marketing or to release. They should be ordered by the value each one has to the business with the most valuable at the top. This ordering is the responsibility of the Product Owner.

How is it used?

The PO creates backlog items that represent new capabilities, changed capabilities or non-functional requirements for the product. The developers along with the Product Owner will review the backlog and compare the estimated value of the items in the backlog with the estimated resources required to deliver the item. Once this ranking is done the developers will pick from the top of the list when determining what to work on next.

So why is this so important?

First, this will give the PO the ability to re-rank the things in the backlog with respect to return on investment. The higher ROI items go to the top. This automatically maximizes the value that the development team delivers. As new backlog items are discovered, the PO adds them to the backlog, they can stack rank them against the values of all the other items already in the list.

By prioritizing items based on business value, we ensure each increment of work moves the needle. Without this focus, teams risk wasting time on low-value work. Ranking forces tough but necessary conversations, leading to the best possible product.