Basically yeah. It exercises a bit of code directly to ensure that bit of code does what it says on the box. Typically unit tests are independent, idempotent, exercise small units of source, and are clear to understand - because if you break one you want to know how and whyUnit testing is like a functional, self-contained bit of code right?
The place I work runs using scrum methods. A component of that is all code is tested (ie coverage is over 100%). I also apply the same test regime to all of my recent open source projects.