After only narrowly avoiding relegation last season, and losing key players Christian Benteke and Fabian Delph, a first-day win away to newly-promoted Bournemouth took a little of the pressure off Sherwood and his revamped squad.
They have subsequently lost by a single goal to Manchester United and Crystal Palace but Sherwood was encouraged by the performance at Selhurst Park on Saturday.
"It's a long-term project," he told Villa's website (www.avfc.co.uk).
"It's a work in progress. If we can get through this season unscathed, it's one hell of a young side and an exciting team for the future."
Adama Traore, 19, signed from Barcelona, came on as a substitute on Saturday to set up Villa's goal with a devastating turn of pace and Villa Park may get a first look at him in action for Tuesday's Capital One Cup match against Notts County.
"He's not the finished article, but we got a glimmer of what he can produce," Sherwood said. "It takes your breath away."
Despite the obvious priority being to stay in the Premier League ahead of next season's further large increase in broadcast revenues, the manager insists Villa, who reached the FA Cup final in May, would like a long run in the Capital One competition.
"We all know where it takes us - Wembley," he added. "It's a good home draw for us and one we are looking forward to."
(Reporting by Steve Tongue; Editing by Amlan Chakraborty)
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