What does the term Technical Debt refer to?

The term Technical Debt refers to the eventual consequences of poor technical choices. This concept originates from the idea that just as financial debt incurs interest and must be repaid over time, the shortcuts taken in software development can lead to challenges and complexities that hinder future development. When developers make compromises—such as opting for quick fixes rather than robust solutions—they create "debt" that might expedite short-term results but can cause greater difficulties in the long run. These technical compromises often lead to increased maintenance costs, more time spent on debugging, and challenges in extending or scaling systems later.

Technical Debt is a critical concept in Agile and Scrum practices, as it emphasizes the importance of sustaining code quality and making decisions that facilitate long-term product health, rather than just immediate deliverables. Recognizing and managing Technical Debt helps teams prioritize improvements and address underlying issues, ensuring that future development efforts are more streamlined and less encumbered by past choices.