{"id":9918,"date":"2026-07-29T12:36:31","date_gmt":"2026-07-29T12:36:31","guid":{"rendered":"https:\/\/resourceguruapp.com\/blog\/?p=9918"},"modified":"2026-07-29T14:01:32","modified_gmt":"2026-07-29T14:01:32","slug":"capacity-planning-guide","status":"publish","type":"post","link":"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide","title":{"rendered":"Capacity planning guide: Definitions, strategies, and formulas"},"content":{"rendered":"<p>The<a href=\"https:\/\/www.oed.com\/dictionary\/capacity_n?tl=true\"><span style=\"font-weight: 400;\"> Oxford English Dictionary has 21 definitions just for capacity. <\/span><\/a>It\u2019s a term used in many fields, from law to motoring to mechanics. Put simply, \u201ccapacity\u201d means different things to different people, so it\u2019s important to define what we mean by capacity planning before we can understand it properly.<\/p>\n<p>For the purposes of this guide, we\u2019ll be talking about capacity planning in terms of <strong>the people and equipment an organization depends on to deliver work<\/strong>.<\/p>\n<p>Capacity planning helps organizations answer a crucial question: <strong>do we have enough overall capacity to deliver the work we expect to take on?<\/strong><\/p>\n<p>It connects future demand with the people and resources available to meet it, so leaders can decide whether to hire, outsource, invest, reprioritize, move timelines, or reduce\/increase demand.<\/p>\n<p>Given how many moving parts there are in this topic, we spoke to several individuals with first-hand, day-to-day experience with capacity planning to get their insights. You&#8217;ll find those peppered throughout.<\/p>\n<div class=\"callout callout--steps\">\n<h4>Our panel of experts:<\/h4>\n<ul>\n<li><a href=\"https:\/\/www.linkedin.com\/in\/fahed-bitar-a1762690\/\" target=\"_blank\" rel=\"noopener\">Fahed Bitar<\/a>, Project Executive at <a href=\"https:\/\/www.slinecontractors.com\/\" target=\"_blank\" rel=\"noopener\">S-Line Contractors<\/a><\/li>\n<li><a href=\"https:\/\/www.linkedin.com\/in\/steinjanssen\/\" target=\"_blank\" rel=\"noopener\">Stein Janssen<\/a>, Chief Operating Officer at <a href=\"https:\/\/about.poki.com\/\" target=\"_blank\" rel=\"noopener\">Poki<\/a><\/li>\n<li><a href=\"https:\/\/www.linkedin.com\/in\/tetiana-hnatiuk-46355a164\/\" target=\"_blank\" rel=\"noopener\">Tetiana Hnatiuk<\/a>, COO of <a href=\"https:\/\/skylum.com\/\" target=\"_blank\" rel=\"noopener\">Skylum<\/a><\/li>\n<li><a href=\"https:\/\/www.linkedin.com\/in\/lucasbotzen\/?locale=nl\" target=\"_blank\" rel=\"noopener\">Lucas Botzen<\/a>, CEO of <a href=\"https:\/\/rivermate.com\/\" target=\"_blank\" rel=\"noopener\">Rivermate<\/a><\/li>\n<\/ul>\n<\/div>\n<p><span style=\"font-weight: 400;\">And, here are the main takeaways of this guide, in case you&#8217;re on a time crunch:<\/span><\/p>\n<div class=\"callout callout--definition\">\n<h3><span style=\"font-weight: 400;\">TL;DR<\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Capacity planning compares future demand with realistic available capacity<\/b><span style=\"font-weight: 400;\"> so organizations can spot potential shortages, surpluses, and bottlenecks before they affect delivery.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Plan around effective capacity, not maximum capacity.<\/b><span style=\"font-weight: 400;\"> Account for skills, leave, meetings, maintenance, existing commitments, and enough spare capacity to handle change.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Different methods and strategies suit different situations.<\/b><span style=\"font-weight: 400;\"> The right approach depends on factors such as demand certainty, resource constraints, flexibility, and how quickly capacity can be added or reduced.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Review capacity plans regularly and measure their usefulness.<\/b><span style=\"font-weight: 400;\"> Capacity gaps, utilization, forecast accuracy, bottlenecks, and delivery performance can show where planning can be improved.<\/span><\/li>\n<\/ul>\n<\/div>\n<p><span style=\"font-weight: 400;\">Before we get into the steps involved, examples, and best practices in depth, let\u2019s elaborate a little on our initial definition of capacity planning to set the stage.\u00a0<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">In this article \ud83d\udcd6<\/p>\n<span class=\"ez-toc-title-toggle\"><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#What-is-capacity-planning\" >What is capacity planning?\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#Components-and-elements-of-capacity-planning\" >Components and elements of capacity planning<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#Advantages-and-disadvantages-of-capacity-planning\" >Advantages and disadvantages of capacity planning<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#How-to-do-capacity-planning\" >How to do capacity planning<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#Capacity-planning-best-practices\" >Capacity planning best practices<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#How-to-gauge-whether-capacity-planning-is-working\" >How to gauge whether capacity planning is working<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#Capacity-planning-methods-and-methodologies\" >Capacity planning methods and methodologies<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#Capacity-planning-strategies\" >Capacity planning strategies<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#Capacity-planning-formulas-and-calculations\" >Capacity planning formulas and calculations<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#Capacity-planning-FAQs\" >Capacity planning FAQs<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/capacity-planning-guide\/#How-to-get-started-with-capacity-planning\" >How to get started with capacity planning<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What-is-capacity-planning\"><\/span><span style=\"font-weight: 400;\">What is capacity planning?\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">As defined in our <\/span><a href=\"https:\/\/resourceguruapp.com\/blog\/resource-management\/resource-and-project-management-glossary\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">resource and project management glossary<\/span><\/a><span style=\"font-weight: 400;\">, capacity planning is a long-term, strategic process that determines the overall capacity an organization needs to meet future demand and goals.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That usually means looking across the organization at people, roles, skills, working time, and equipment, then comparing that capacity with expected projects, clients, and initiatives.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We touched on this, but capacity planning can also apply to storage, networks, or infrastructure, but this guide focuses on the type of capacity we\u2019ve identified because that is most relevant to <a href=\"https:\/\/resourceguruapp.com\/blog\/project-management\/project-team-roles-and-responsibilities\" target=\"_blank\" rel=\"noopener\">project-based teams<\/a>.\u00a0<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">What\u2019s the difference between capacity planning, resource capacity planning, resource scheduling, and capacity management?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">If you\u2019re just starting to learn about capacity planning, you might notice a lot of related terms and they might cause some confusion. While the following concepts might sound similar, there are some important distinctions to remember when considering each one.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The easiest way to remember what the terminology means is to think about its applications, and the question each one answers:\u00a0<\/span><\/p>\n<div class=\"ntb_table_wrapper ninja_table_builder_instance_0\"\n     id='ninja_table_builder_9925'\n     data-ninja_table_builder_instance=\"ninja_table_builder_instance_0\"\n     style=\"\n     max-height:2000px;\n     max-width: 1160px;\">\n    <table id=\"ntb_table\" role=\"table\" class=\"table ninja_tables_builder_class_9925 ntb_9925\" style=\"margin: 0px auto; table-layout: fixed; border-collapse: collapse; border: 0px solid rgb(0, 0, 0); font-family: inherit; border-spacing: 0px;\"><tbody class=\"tbody\"><tr class=\"desktop-view tr_class_3877773\" id=\"tr_id_3877773\" data-draggable=\"true\" style=\"background: rgb(234, 204, 242);\"><td id=\"td_id_94907094\" class=\"td_class_94907094 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_94907094\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_135\" spellcheck=\"false\"><strong>Term<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_97047281\" class=\"td_class_97047281 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_97047281\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_136\" spellcheck=\"false\"><strong>How to think about it<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_46512955\" class=\"td_class_46512955 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_46512955\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_137\" spellcheck=\"false\"><strong>Typical question it answers<\/strong><\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_8717341\" id=\"tr_id_8717341\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_67683829\" class=\"td_class_67683829 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_67683829\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_138\" spellcheck=\"false\">Capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_49330988\" class=\"td_class_49330988 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_49330988\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_139\" spellcheck=\"false\">A higher-level, longer-term organizational assessment of whether overall resource capacity is sufficient for future demand and goals<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_43034685\" class=\"td_class_43034685 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_43034685\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_140\" spellcheck=\"false\">\u201cDo we have enough people, skills, time, and equipment overall?\u201d<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_8229677\" id=\"tr_id_8229677\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_77766596\" class=\"td_class_77766596 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_77766596\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_141\" spellcheck=\"false\"><a href=\"..\/resource-management\/resource-capacity-planning-guide\" target=\"_blank\" rel=\"noopener\" data-mce-href=\"..\/resource-management\/resource-capacity-planning-guide\">Resource capacity planning<\/a><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_91326003\" class=\"td_class_91326003 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_91326003\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_142\" spellcheck=\"false\">Focused more specifically on the capacity of particular teams, departments, or resources against planned workload<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_80668189\" class=\"td_class_80668189 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_80668189\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_143\" spellcheck=\"false\">\u201cDoes this team have enough suitable availability?\u201d<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_9954527\" id=\"tr_id_9954527\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_90588420\" class=\"td_class_90588420 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_90588420\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_144\" spellcheck=\"false\"><a href=\"..\/resource-management\/resource-planning-guide\" target=\"_blank\" rel=\"noopener\" data-mce-href=\"..\/resource-management\/resource-planning-guide\">Resource planning<\/a><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_52460885\" class=\"td_class_52460885 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_52460885\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_145\" spellcheck=\"false\">Identifying the people, skills, equipment, and other resources a plan requires<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_33799352\" class=\"td_class_33799352 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_33799352\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_146\" spellcheck=\"false\">\u201cWhat resources will this work need?\u201d<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_1672002\" id=\"tr_id_1672002\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_50988051\" class=\"td_class_50988051 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_50988051\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_147\" spellcheck=\"false\"><a href=\"..\/resource-management\/resource-scheduling-guide\" target=\"_blank\" rel=\"noopener\" data-mce-href=\"..\/resource-management\/resource-scheduling-guide\">Resource scheduling<\/a><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_33685293\" class=\"td_class_33685293 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_33685293\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_148\" spellcheck=\"false\">Scheduling when the people will do the work for the tasks or projects over time, to meet specific goals, milestones, and deadlines<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_41408814\" class=\"td_class_41408814 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_41408814\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_149\" spellcheck=\"false\">\u201cWhen can the work happen?\u201d<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_7028958\" id=\"tr_id_7028958\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_88972673\" class=\"td_class_88972673 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_88972673\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_150\" spellcheck=\"false\">Capacity management<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_80024413\" class=\"td_class_80024413 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_80024413\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_151\" spellcheck=\"false\">Monitoring and adjusting capacity over time<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_12034489\" class=\"td_class_12034489 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 250px; min-width: 250px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_12034489\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_152\" spellcheck=\"false\">\u201cAre demand and capacity staying in balance?\u201d<\/span><\/div><\/div><\/div><\/td><\/tr><\/tbody><\/table><\/div>\n\n<div class=\"callout callout--reading\">\n<p><b>Further reading<\/b><span style=\"font-weight: 400;\">: This article focuses on the organizational level when it comes to capacity. For detailed insights on the team and project workload level, see our <\/span><a href=\"https:\/\/resourceguruapp.com\/blog\/resource-management\/resource-capacity-planning-guide\"><span style=\"font-weight: 400;\">resource capacity planning guide<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<\/div>\n<h2><span class=\"ez-toc-section\" id=\"Components-and-elements-of-capacity-planning\"><\/span><span style=\"font-weight: 400;\">Components and elements of capacity planning<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Capacity planning can be a very involved process but, if we break it down to the basics, each model typically includes at least some of the following components and elements:<\/span><\/p>\n<div class=\"ntb_table_wrapper ninja_table_builder_instance_1\"\n     id='ninja_table_builder_9927'\n     data-ninja_table_builder_instance=\"ninja_table_builder_instance_1\"\n     style=\"\n     max-height:1500px;\n     max-width: 1160px;\">\n    <table id=\"ntb_table\" role=\"table\" class=\"table ninja_tables_builder_class_9927 ntb_9927\" style=\"margin: 0px auto; table-layout: fixed; border-collapse: collapse; border: 0px solid rgb(0, 0, 0); font-family: inherit; border-spacing: 0px;\"><tbody class=\"tbody\"><tr class=\"desktop-view tr_class_9250968\" id=\"tr_id_9250968\" data-draggable=\"true\" style=\"background: rgb(234, 204, 242);\"><td id=\"td_id_65432839\" class=\"td_class_65432839 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_65432839\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_0\" spellcheck=\"false\"><strong>Component<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_93239791\" class=\"td_class_93239791 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_93239791\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_1\" spellcheck=\"false\"><strong>What to define<\/strong><\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_2114028\" id=\"tr_id_2114028\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_73786111\" class=\"td_class_73786111 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_73786111\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_2\" spellcheck=\"false\">Demand<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_79493602\" class=\"td_class_79493602 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_79493602\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_3\" spellcheck=\"false\">Committed, probable, possible, and seasonal, plus an allowance for unplanned demand<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_4302788\" id=\"tr_id_4302788\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_36045125\" class=\"td_class_36045125 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_36045125\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_4\" spellcheck=\"false\">Total capacity<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_51024159\" class=\"td_class_51024159 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_51024159\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_5\" spellcheck=\"false\">The theoretical maximum output under ideal conditions<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_1699461\" id=\"tr_id_1699461\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_63040579\" class=\"td_class_63040579 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_63040579\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_6\" spellcheck=\"false\">Effective capacity<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_64003313\" class=\"td_class_64003313 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_64003313\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_7\" spellcheck=\"false\">The output that can reliably be planned after normal losses and constraints such as leave, maintenance, meetings, and other predictable unavailable time<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_7108951\" id=\"tr_id_7108951\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_49153099\" class=\"td_class_49153099 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_49153099\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_8\" spellcheck=\"false\">Constraints<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_85095271\" class=\"td_class_85095271 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_85095271\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_9\" spellcheck=\"false\">The role, skill, asset, supplier, approval, budget, or system that limits output<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_7912319\" id=\"tr_id_7912319\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_89441830\" class=\"td_class_89441830 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_89441830\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_10\" spellcheck=\"false\">Uncertainty<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_60696649\" class=\"td_class_60696649 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_60696649\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_11\" spellcheck=\"false\">Expected, high-demand, low-demand, and disruption scenarios<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_3765919\" id=\"tr_id_3765919\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_55021636\" class=\"td_class_55021636 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_55021636\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_12\" spellcheck=\"false\">Decision rules<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_60916646\" class=\"td_class_60916646 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_60916646\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_13\" spellcheck=\"false\">The choice of when to hire, outsource, delay, reduce scope, or stop accepting work<\/span><\/div><\/div><\/div><\/td><\/tr><\/tbody><\/table><\/div>\n\n<p>While identifying and monitoring any (or all) of these capacity planning components can seem like a lot of work at first, it tends to be worth the effort. See the evidence in the next section.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Advantages-and-disadvantages-of-capacity-planning\"><\/span><span style=\"font-weight: 400;\">Advantages and disadvantages of capacity planning<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Having read this far, you might think that there are no downsides to capacity planning. It\u2019s just logical to understand if you have enough capacity to match up with expected demand, right?\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Well, theoretically, yes, but there are other factors worth considering that can make <em>poorly executed<\/em> capacity planning a disadvantage for your business. But, let\u2019s touch on the upsides first.\u00a0<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Advantages of capacity planning<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The main benefits of capacity planning are:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Realistic commitments<\/b><span style=\"font-weight: 400;\">: Plans that are grounded in reality mean less timeline slippage and improved project delivery<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Earlier investment<\/b><span style=\"font-weight: 400;\">: Hiring, equipment, facilities, suppliers, and technology acquisition can be addressed before a constraint becomes urgent\u2014or eats into budget<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Better portfolio choices<\/b><span style=\"font-weight: 400;\">: Leaders can compare demand scenarios before approving competing commitments<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Visible bottlenecks<\/b><span style=\"font-weight: 400;\">: Analysis shows which role, asset, stage, or dependency limits output and gives you a heads up on what needs addressed<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Deliberate buffers<\/b><span style=\"font-weight: 400;\">: Spare capacity covers iteration, quality, recovery, and unplanned demand so that one unexpected change doesn\u2019t affect all initiatives<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Lower burnout risk<\/b><span style=\"font-weight: 400;\">: Growth is less likely to depend on unsustainable workloads<\/span><\/li>\n<\/ul>\n<div class=\"callout callout--reading\">\n<p><b>Further reading<\/b><span style=\"font-weight: 400;\">: Explore our <\/span><a href=\"https:\/\/resourceguruapp.com\/blog\/resource-management\/burnout-risk-index\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">burnout risk index<\/span><\/a><span style=\"font-weight: 400;\"> to see contributing factors and which groups are most susceptible.<\/span><\/p>\n<\/div>\n<p><span style=\"font-weight: 400;\">Stein agrees on the importance of rigorous capacity planning, and notes that the operational impacts appear quickly:<\/span><\/p>\n<div class=\"quote quote--image quote--green\"><div class=\"quote__text\"><p><i><span style=\"font-weight: 400;\">\u201cOnce a team overcommits their resources, the effects of doing so will quickly start to appear. Examples include: roadmaps become reactive, the details lost in hand-offs increase significantly, the process of determining priorities becomes very emotional; and most importantly, Managers spend far too much of their time &#8220;fighting fires&#8221; versus helping improve the operational rhythm of the team.\u201d<\/span><\/i><\/p>\n<\/div><div class=\"quote__author\"><div class=\"quote__author__image\"><img loading=\"lazy\" decoding=\"async\" width=\"105\" height=\"105\" src=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen-105x105.jpeg.webp\" class=\"attachment-quote size-quote wp-post-image\" alt=\"Stein Janssen headshot.\" srcset=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen-105x105.jpeg.webp 105w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen-671x671.jpeg.webp 671w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen-711x711.jpeg.webp 711w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen-44x44.jpeg.webp 44w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen-310x310.jpeg.webp 310w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen.jpeg 800w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen-105x105@2x.jpeg.webp 210w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen-44x44@2x.jpeg.webp 88w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Stein-Janssen-310x310@2x.jpeg.webp 620w\" sizes=\"auto, (max-width: 105px) 100vw, 105px\" \/><\/div><div class=\"quote__author__cite\"><cite><p><strong>Stein Janssen<\/strong> <span>Chief Operating Officer<\/span> <span>Poki<\/span><\/p><\/cite><\/div><\/div><\/div>\n<h3><span style=\"font-weight: 400;\">Disadvantages of capacity planning<\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Forecasts can be wrong and lead to unrealistic expectations<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Detailed models can be costly to maintain, both in terms of people power and infrastructure costs<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Plans can also create false confidence or be misused to push people and assets toward 100% utilization, which is unsustainable<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Lucas recommends always leaving buffer time for the less visible work that can misrepresent true capacity, unless it&#8217;s baked into your calculations:<\/span><\/p>\n<div class=\"quote quote--image quote--pink\"><div class=\"quote__text\"><p><i><span style=\"font-weight: 400;\">\u201cThis experience dramatically impacted my thinking related to forecasting, and I significantly improved upon my discipline to consider factors including meetings; support work; vacation time; on-boarding activities; and unforeseen delivery risks while developing my forecasting models.\u201d<\/span><\/i><\/p>\n<\/div><div class=\"quote__author\"><div class=\"quote__author__image\"><img loading=\"lazy\" decoding=\"async\" width=\"105\" height=\"105\" src=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen-105x105.jpeg.webp\" class=\"attachment-quote size-quote wp-post-image\" alt=\"Lucas Botzen headshot.\" srcset=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen-105x105.jpeg.webp 105w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen-671x671.jpeg.webp 671w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen-711x711.jpeg.webp 711w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen-44x44.jpeg.webp 44w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen-310x310.jpeg.webp 310w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen.jpeg 800w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen-105x105@2x.jpeg.webp 210w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen-44x44@2x.jpeg.webp 88w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Lucas-Botzen-310x310@2x.jpeg.webp 620w\" sizes=\"auto, (max-width: 105px) 100vw, 105px\" \/><\/div><div class=\"quote__author__cite\"><cite><p><strong>Lucas Botzen<\/strong> <span>CEO<\/span> <span>Rivermate<\/span><\/p><\/cite><\/div><\/div><\/div>\n<p>With that in mind, let&#8217;s move into practical applications of capacity planning, starting with a general overview of the steps involved.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"How-to-do-capacity-planning\"><\/span><b>How to do capacity planning<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Capacity planning starts by comparing the demand you expect with the capacity you can realistically rely on. From there, the goal is to identify gaps early enough that you still have options for addressing them.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">A simple capacity planning procedure<\/span><\/h3>\n<ol>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Define the planning horizon.<\/b><span style=\"font-weight: 400;\"> Decide how far ahead you need to plan. That might be the next few weeks, quarter, year, or longer depending on how quickly your organization can hire people, buy equipment, or otherwise change capacity<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Estimate future demand.<\/b><span style=\"font-weight: 400;\"> Compile information about the projects, clients, initiatives, and other work you expect to take on. Where demand is uncertain, separate committed work from probable and possible work rather than treating every forecast as equally certain<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Calculate available capacity.<\/b><span style=\"font-weight: 400;\"> Assess the people, skills, working time, equipment, and other resources you expect to have available. Use effective capacity rather than assuming every theoretical working hour or unit of equipment can be fully utilized<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Compare demand with capacity.<\/b><span style=\"font-weight: 400;\"> Look for periods, roles, skills, or resources where demand exceeds capacity, as well as areas where capacity may go unused. The overall numbers matter, but so do individual constraints: having enough people in total won\u2019t help if you\u2019re short of a critical skill<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Test different scenarios.<\/b><span style=\"font-weight: 400;\"> Consider what happens if demand is higher or lower than expected, a project moves, someone leaves, or new capacity takes longer to secure. <a href=\"https:\/\/help.resourceguruapp.com\/en\/articles\/5933314\" target=\"_blank\" rel=\"noopener\">Scenario planning<\/a> helps you understand which assumptions have the biggest effect on the plan<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Decide how to close the gaps.<\/b><span style=\"font-weight: 400;\"> Depending on the situation, that could mean hiring, outsourcing, investing in equipment, reallocating people, changing timelines, reducing scope, or declining work<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">Capacity planning isn\u2019t usually a one-and-done exercise. Revisit the plan as demand, availability, and organizational priorities change so that decisions continue to reflect reality.<\/span><\/p>\n<p>As well as taking that tip into account, there are several other tried-and-true recommended principles to keep in mind through your capacity planning journey. Let&#8217;s check those out next.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Capacity-planning-best-practices\"><\/span><b>Capacity planning best practices<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">A useful capacity plan should help you make better decisions, not simply produce a more detailed forecast. These best practices can help keep the process grounded:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Plan around effective capacity, not theoretical maximums.<\/b><span style=\"font-weight: 400;\"> Account for meetings, leave, administration, maintenance, training, and other work that reduces the capacity you can reliably commit<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Plan for skills as well as headcount.<\/b><span style=\"font-weight: 400;\"> As mentioned, ten available people don\u2019t necessarily represent useful capacity if the work requires expertise only one of them has<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Build in some resilience.<\/b><span style=\"font-weight: 400;\"> Planning everyone or everything at 100% utilization leaves little room for delays, urgent work, quality issues, or changing priorities<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Separate certainty levels in your demand forecast.<\/b><span style=\"font-weight: 400;\"> Committed, probable, and possible work should not necessarily drive the same capacity decisions<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Pay attention to bottlenecks.<\/b><span style=\"font-weight: 400;\"> Overall capacity can look healthy while a particular role, approval, asset, or supplier limits what the organization can actually deliver<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Match the level of detail to the decision.<\/b><span style=\"font-weight: 400;\"> Long-term planning rarely needs individual tasks scheduled hour by hour. Start at a level that helps leaders make decisions, then add detail where a constraint requires it<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Review assumptions regularly.<\/b><span style=\"font-weight: 400;\"> Forecast accuracy, hiring lead times, productivity, availability, and demand can all change. A capacity plan becomes less useful when its assumptions stop reflecting current conditions<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Above all, avoid treating maximum utilization as the objective. Good capacity planning should create enough capacity to deliver expected work sustainably while retaining the flexibility to respond when the forecast proves inaccurate.\u00a7<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"How-to-gauge-whether-capacity-planning-is-working\"><\/span><b>How to gauge whether capacity planning is working<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The goal of capacity planning isn\u2019t simply to make demand and capacity match perfectly on a spreadsheet. It also helps your organization make earlier, better-informed decisions about what you can realistically deliver.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Useful capacity planning KPIs and metrics include:<\/span><\/p>\n<div class=\"ntb_table_wrapper ninja_table_builder_instance_8\"\n     id='ninja_table_builder_9929'\n     data-ninja_table_builder_instance=\"ninja_table_builder_instance_8\"\n     style=\"\n     max-height:2000px;\n     max-width: 1160px;\">\n    <table id=\"ntb_table\" role=\"table\" class=\"table ninja_tables_builder_class_9929 ntb_9929\" style=\"margin: 0px auto; table-layout: fixed; border-collapse: collapse; border: 0px solid rgb(0, 0, 0); font-family: inherit; border-spacing: 0px;\"><tbody class=\"tbody\"><tr class=\"desktop-view tr_class_8126339\" id=\"tr_id_8126339\" data-draggable=\"true\" style=\"background: rgb(234, 204, 242);\"><td id=\"td_id_65201359\" class=\"td_class_65201359 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_65201359\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_0\" spellcheck=\"false\"><strong>Measure<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_99763911\" class=\"td_class_99763911 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_99763911\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_1\" spellcheck=\"false\"><strong>What it can tell you<\/strong><\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_9309747\" id=\"tr_id_9309747\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_53383376\" class=\"td_class_53383376 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_53383376\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_2\" spellcheck=\"false\">Utilization<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_28498473\" class=\"td_class_28498473 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_28498473\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_3\" spellcheck=\"false\">How much effective or workable capacity is being used, and whether particular teams or resources are consistently overloaded or underused<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_2869719\" id=\"tr_id_2869719\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_77664776\" class=\"td_class_77664776 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_77664776\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_4\" spellcheck=\"false\">Capacity vs. demand<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_35974629\" class=\"td_class_35974629 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_35974629\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_5\" spellcheck=\"false\">Whether total expected demand can be supported by effective capacity over the planning period<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_4514510\" id=\"tr_id_4514510\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_75070436\" class=\"td_class_75070436 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_75070436\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_6\" spellcheck=\"false\">Capacity gap<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_78130539\" class=\"td_class_78130539 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_78130539\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_7\" spellcheck=\"false\">The difference between available capacity and additional required capacity, ideally broken down by role, skill, team, or equipment type<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_8976561\" id=\"tr_id_8976561\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_47897937\" class=\"td_class_47897937 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_47897937\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_8\" spellcheck=\"false\">Forecast accuracy<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_37160688\" class=\"td_class_37160688 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_37160688\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_9\" spellcheck=\"false\">How closely forecast demand and capacity assumptions match what actually happens<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_3974724\" id=\"tr_id_3974724\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_14003652\" class=\"td_class_14003652 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_14003652\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_10\" spellcheck=\"false\">Delivery performance<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_37564781\" class=\"td_class_37564781 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_37564781\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_11\" spellcheck=\"false\">Whether capacity-related delays, missed deadlines, or changes to commitments are becoming more or less frequent<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_7346377\" id=\"tr_id_7346377\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_90862719\" class=\"td_class_90862719 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_90862719\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_12\" spellcheck=\"false\">Bottleneck frequency<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_46416306\" class=\"td_class_46416306 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_46416306\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_13\" spellcheck=\"false\">Whether the same roles, skills, assets, or stages repeatedly constrain delivery<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_6073041\" id=\"tr_id_6073041\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_32415914\" class=\"td_class_32415914 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_32415914\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_14\" spellcheck=\"false\">Unplanned capacity interventions<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_69524957\" class=\"td_class_69524957 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 300px; min-width: 300px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_69524957\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_15\" spellcheck=\"false\">How often the organization has to rely on emergency hiring, overtime, outsourcing, or last-minute reprioritization<\/span><\/div><\/div><\/div><\/td><\/tr><\/tbody><\/table><\/div>\n\n<div class=\"callout callout--alert\">\n<p><span style=\"font-weight: 400;\">No single metric proves that capacity planning is working. Monitor a combination of leading indicators, such as capacity gaps and utilization, alongside outcomes such as delivery reliability and the frequency of last-minute interventions.<\/span><\/p>\n<\/div>\n<p><span style=\"font-weight: 400;\">More advanced organizations may also use capacity planning algorithms and predictive analysis to identify patterns, forecast future requirements, or model alternative scenarios.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Whatever the level of sophistication at your place of work, the objective remains the same: give decision-makers enough warning to act before a capacity constraint becomes a delivery problem.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Capacity-planning-methods-and-methodologies\"><\/span><span style=\"font-weight: 400;\">Capacity planning methods and methodologies<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">As you might know, there are many different approaches to capacity planning, and no single approach is a one-size-fits-all. The best way to figure out what will work best for your specific set of circumstances is to examine what the options are and map the best fit to your needs.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In this section we\u2019ll talk about methods and methodologies for capacity planning and, in later sections, we\u2019ll dig into popular named strategies. Terminology varies between industries and planning systems, but common capacity planning approaches include the selection in the table below.<\/span><\/p>\n<div class=\"ntb_table_wrapper ninja_table_builder_instance_9\"\n     id='ninja_table_builder_9936'\n     data-ninja_table_builder_instance=\"ninja_table_builder_instance_9\"\n     style=\"\n     max-height:2500px;\n     max-width: 1160px;\">\n    <table id=\"ntb_table\" role=\"table\" class=\"table ninja_tables_builder_class_9936 ntb_9936\" style=\"margin: 0px auto; table-layout: fixed; border-collapse: collapse; border: 0px solid rgb(0, 0, 0); font-family: inherit; border-spacing: 0px;\"><tbody class=\"tbody\"><tr class=\"desktop-view tr_class_3536141\" id=\"tr_id_3536141\" data-draggable=\"true\" style=\"background: rgb(234, 204, 242);\"><td id=\"td_id_93683422\" class=\"td_class_93683422 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_93683422\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_16\" spellcheck=\"false\"><strong>Approach<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_21289694\" class=\"td_class_21289694 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_21289694\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_17\" spellcheck=\"false\"><strong>What it does<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_41879277\" class=\"td_class_41879277 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_41879277\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_18\" spellcheck=\"false\"><strong>Best for<\/strong><\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_9710380\" id=\"tr_id_9710380\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_15862225\" class=\"td_class_15862225 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_15862225\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_19\" spellcheck=\"false\">Rough-cut capacity planning (RCCP)<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_44871822\" class=\"td_class_44871822 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_44871822\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_20\" spellcheck=\"false\">Tests whether a high-level plan is feasible against critical team member or resource capacity<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_92105798\" class=\"td_class_92105798 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_92105798\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_21\" spellcheck=\"false\">High-level feasibility checks, particularly where a few critical people or resources constrain delivery<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_4695388\" id=\"tr_id_4695388\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_65256247\" class=\"td_class_65256247 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_65256247\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_22\" spellcheck=\"false\">Simulation and scenario planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_27095243\" class=\"td_class_27095243 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_27095243\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_23\" spellcheck=\"false\">Tests alternative futures<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_44352716\" class=\"td_class_44352716 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_44352716\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_24\" spellcheck=\"false\">Environments with high uncertainty or expensive hiring decisions<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_6708864\" id=\"tr_id_6708864\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_16700176\" class=\"td_class_16700176 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_16700176\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_25\" spellcheck=\"false\">Aggregate capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_91749779\" class=\"td_class_91749779 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_91749779\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_26\" spellcheck=\"false\">Compares broad groups instead of named individuals<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_82529002\" class=\"td_class_82529002 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_82529002\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_27\" spellcheck=\"false\">Department or quarterly planning<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_6727156\" id=\"tr_id_6727156\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_72472194\" class=\"td_class_72472194 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_72472194\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_28\" spellcheck=\"false\">Finite capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_83642292\" class=\"td_class_83642292 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_83642292\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_29\" spellcheck=\"false\">Respects hard limits and exposes conflicts<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_63683536\" class=\"td_class_63683536 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_63683536\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_30\" spellcheck=\"false\">Organizations with scarce specialists or equipment<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_6885642\" id=\"tr_id_6885642\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_16157481\" class=\"td_class_16157481 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_16157481\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_31\" spellcheck=\"false\">Infinite capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_32968960\" class=\"td_class_32968960 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_32968960\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_32\" spellcheck=\"false\">Loads all demand without enforcing limits<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_34445660\" class=\"td_class_34445660 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_34445660\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_33\" spellcheck=\"false\">Revealing all expected pressure on people and resources<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_4587847\" id=\"tr_id_4587847\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_26148103\" class=\"td_class_26148103 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_26148103\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_34\" spellcheck=\"false\">Dynamic capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_23544753\" class=\"td_class_23544753 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_23544753\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_35\" spellcheck=\"false\">Updates as forecasts and availability change<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_47978028\" class=\"td_class_47978028 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_47978028\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_36\" spellcheck=\"false\">Volatile project environments<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_4668059\" id=\"tr_id_4668059\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_14069479\" class=\"td_class_14069479 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_14069479\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_37\" spellcheck=\"false\">Elastic capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_31209058\" class=\"td_class_31209058 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_31209058\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_38\" spellcheck=\"false\">Adds or removes capacity as demand changes<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_70349748\" class=\"td_class_70349748 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_70349748\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_39\" spellcheck=\"false\">Contractors, freelancers, partners, or rented equipment<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_4506987\" id=\"tr_id_4506987\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_88886869\" class=\"td_class_88886869 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_88886869\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_40\" spellcheck=\"false\">Predictive capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_98189153\" class=\"td_class_98189153 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_98189153\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_41\" spellcheck=\"false\">Uses history, forecasts, capacity planning algorithms, and analysis to anticipate bottlenecks<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_79649164\" class=\"td_class_79649164 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_79649164\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_42\" spellcheck=\"false\">Data-rich organizations<\/span><\/div><\/div><\/div><\/td><\/tr><\/tbody><\/table><\/div>\n\n<h2><span class=\"ez-toc-section\" id=\"Capacity-planning-strategies\"><\/span><span style=\"font-weight: 400;\">Capacity planning strategies<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">While you might use a methodology as a way of thinking about capacity planning in general, and a method to execute it, a capacity planning <em>strategy<\/em> involves making a careful, high-level plan designed to achieve a long-term goal in relation to capacity.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In that sense, it can involve a mixture of methods and methodologies, which is one logical way to think about the distinction between those and \u201cstrategy.\u201d In this section, we\u2019ll discuss some of the most popular options.\u00a0<\/span><\/p>\n<div class=\"ntb_table_wrapper ninja_table_builder_instance_10\"\n     id='ninja_table_builder_9937'\n     data-ninja_table_builder_instance=\"ninja_table_builder_instance_10\"\n     style=\"\n     max-height:2500px;\n     max-width: 1160px;\">\n    <table id=\"ntb_table\" role=\"table\" class=\"table ninja_tables_builder_class_9937 ntb_9937\" style=\"margin: 0px auto; table-layout: fixed; border-collapse: collapse; border: 0px solid rgb(0, 0, 0); font-family: inherit; border-spacing: 0px;\"><tbody class=\"tbody\"><tr class=\"desktop-view tr_class_9565578\" id=\"tr_id_9565578\" data-draggable=\"true\" style=\"background: rgb(234, 204, 242);\"><td id=\"td_id_72185566\" class=\"td_class_72185566 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_72185566\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_43\" spellcheck=\"false\"><strong>Strategy<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_46760796\" class=\"td_class_46760796 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_46760796\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_44\" spellcheck=\"false\"><strong>Approach<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_10901697\" class=\"td_class_10901697 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_10901697\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_45\" spellcheck=\"false\"><strong>Main trade-off<\/strong><\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_5700827\" id=\"tr_id_5700827\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_39315946\" class=\"td_class_39315946 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_39315946\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_46\" spellcheck=\"false\">Lead strategy<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_38965644\" class=\"td_class_38965644 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_38965644\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_47\" spellcheck=\"false\">Add people or equipment before demand is confirmed<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_45677111\" class=\"td_class_45677111 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_45677111\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_48\" spellcheck=\"false\">Faster response, more unused-capacity risk<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_3894081\" id=\"tr_id_3894081\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_55435855\" class=\"td_class_55435855 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_55435855\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_49\" spellcheck=\"false\">Lag strategy<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_56719893\" class=\"td_class_56719893 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_56719893\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_50\" spellcheck=\"false\">Add capacity after demand is proven<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_96265388\" class=\"td_class_96265388 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_96265388\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_51\" spellcheck=\"false\">Lower carrying cost, more delay risk<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_1825869\" id=\"tr_id_1825869\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_92380226\" class=\"td_class_92380226 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_92380226\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_52\" spellcheck=\"false\">Match strategy<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_49294340\" class=\"td_class_49294340 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_49294340\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_53\" spellcheck=\"false\">Add capacity in smaller increments<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_73619614\" class=\"td_class_73619614 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_73619614\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_54\" spellcheck=\"false\">Balanced risk, regular monitoring required<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_3083148\" id=\"tr_id_3083148\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_93333550\" class=\"td_class_93333550 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_93333550\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_55\" spellcheck=\"false\">Level strategy<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_37597470\" class=\"td_class_37597470 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_37597470\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_56\" spellcheck=\"false\">Keep capacity stable and smooth, queue, or decline demand<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_57992058\" class=\"td_class_57992058 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_57992058\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_57\" spellcheck=\"false\">Stable teams, but some work waits<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_4470894\" id=\"tr_id_4470894\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_53249736\" class=\"td_class_53249736 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_53249736\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_58\" spellcheck=\"false\">Lean capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_57182682\" class=\"td_class_57182682 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_57182682\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_59\" spellcheck=\"false\">Improve flow without removing necessary resilience<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_26741142\" class=\"td_class_26741142 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_26741142\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_60\" spellcheck=\"false\">Efficient, but too little slack is fragile<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_4854713\" id=\"tr_id_4854713\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_25083722\" class=\"td_class_25083722 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_25083722\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_61\" spellcheck=\"false\">Just-in-time capacity planning (JIT)<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_60490142\" class=\"td_class_60490142 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_60490142\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_62\" spellcheck=\"false\">Matches work output&nbsp; directly to real-time client demand<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_26558509\" class=\"td_class_26558509 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_26558509\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_63\" spellcheck=\"false\">Lower idle-capacity cost, but dependent on quick access to additional capacity when the need arises<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_7530061\" id=\"tr_id_7530061\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_76603809\" class=\"td_class_76603809 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_76603809\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_64\" spellcheck=\"false\">Mixed strategy<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_12209198\" class=\"td_class_12209198 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_12209198\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_65\" spellcheck=\"false\">Use different approaches for different constraints<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_99336147\" class=\"td_class_99336147 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_99336147\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_66\" spellcheck=\"false\">Flexible, but more complex<\/span><\/div><\/div><\/div><\/td><\/tr><\/tbody><\/table><\/div>\n\n<h3>Team-level techniques that support capacity planning<\/h3>\n<div class=\"ntb_table_wrapper ninja_table_builder_instance_11\"\n     id='ninja_table_builder_9964'\n     data-ninja_table_builder_instance=\"ninja_table_builder_instance_11\"\n     style=\"\n     max-height:1500px;\n     max-width: 1160px;\">\n    <table id=\"ntb_table\" role=\"table\" class=\"table ninja_tables_builder_class_9964 ntb_9964\" style=\"margin: 0px auto; table-layout: fixed; border-collapse: collapse; border: 0px solid rgb(0, 0, 0); font-family: inherit; border-spacing: 0px;\"><tbody class=\"tbody\"><tr class=\"desktop-view tr_class_6284005\" id=\"tr_id_6284005\" data-draggable=\"true\" style=\"background: rgb(234, 204, 242);\"><td id=\"td_id_43222536\" class=\"td_class_43222536 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_43222536\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_67\" spellcheck=\"false\"><strong>Strategy<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_66854245\" class=\"td_class_66854245 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_66854245\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_68\" spellcheck=\"false\"><strong>Approach<\/strong><\/span><\/div><\/div><\/div><\/td><td id=\"td_id_51450179\" class=\"td_class_51450179 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_51450179\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_69\" spellcheck=\"false\"><strong>Main trade off<\/strong><\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_7148218\" id=\"tr_id_7148218\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_11897722\" class=\"td_class_11897722 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_11897722\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_70\" spellcheck=\"false\">Scrum capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_93150811\" class=\"td_class_93150811 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_93150811\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_71\" spellcheck=\"false\">Set capacity for each sprint (usually less than one month) based on team availability, historical velocity, and the work the team can realistically commit to<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_10093841\" class=\"td_class_10093841 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_10093841\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_72\" spellcheck=\"false\">Predictable short-term planning, but less flexible once a sprint begins<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_1372424\" id=\"tr_id_1372424\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_41386558\" class=\"td_class_41386558 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_41386558\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_73\" spellcheck=\"false\">Agile capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_48258071\" class=\"td_class_48258071 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_48258071\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_74\" spellcheck=\"false\">Reassess and adjust capacity iteratively as priorities, demand, and team availability changes<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_39368264\" class=\"td_class_39368264 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_39368264\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_75\" spellcheck=\"false\">Highly adaptable, but requires frequent replanning and reliable visibility into capacity<\/span><\/div><\/div><\/div><\/td><\/tr><tr class=\"desktop-view tr_class_6876845\" id=\"tr_id_6876845\" data-draggable=\"true\" style=\"background: rgb(255, 255, 255);\"><td id=\"td_id_14024614\" class=\"td_class_14024614 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_14024614\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_76\" spellcheck=\"false\">Kanban capacity planning<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_30503405\" class=\"td_class_30503405 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_30503405\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_77\" spellcheck=\"false\">Visualize demand (often on a Kanban board) and use WIP limits to pull new work only when capacity becomes available<\/span><\/div><\/div><\/div><\/td><td id=\"td_id_40905822\" class=\"td_class_40905822 table-data\" rowspan=\"1\" colspan=\"1\" style=\"padding: 10px; max-width: 200px; min-width: 200px; border: 1px solid rgb(0, 0, 0);\"><div id=\"cell_40905822\"><div class=\"single-item other-item\" data-draggable=\"true\"><div class=\"ntb-datas-wrapper\" style=\"margin: 1px;\"><span data-v-bd450b80=\"\" data-placeholder=\"Add New\" class=\"hover-item mce-content-body\" style=\"padding: 0px; font-weight: normal; font-style: normal; text-decoration: none; font-size: 15px; display: block; text-align: center; color: rgb(0, 0, 1); opacity: 1; line-height: 1.2; position: relative;\" id=\"mce_78\" spellcheck=\"false\">Reduces overload and exposes bottlenecks, but excess demand must wait for capacity<\/span><\/div><\/div><\/div><\/td><\/tr><\/tbody><\/table><\/div>\n\n<div class=\"callout callout--reading\">\n<p><strong>Further reading<\/strong>: A reminder that, for more details on team-level capacity planning, you can consult our <a href=\"https:\/\/resourceguruapp.com\/blog\/resource-management\/resource-capacity-planning-guide\" target=\"_blank\" rel=\"noopener\">resource capacity planning guide<\/a>.<\/p>\n<\/div>\n<p><span style=\"font-weight: 400;\">As well as the tradeoffs we\u2019ve listed, we spoke to experts working in the capacity planning space daily. Here are their picks when it comes to the most useful strategy, and why.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Fahed favors matching capacity to evidence:<\/span><\/p>\n<div class=\"quote quote--image quote--cyan\"><div class=\"quote__text\"><p><i><span style=\"font-weight: 400;\">\u201cThe match strategy is what I come back to consistently. It matches resources to actual demand and not to expected need.\u201d<\/span><\/i><\/p>\n<\/div><div class=\"quote__author\"><div class=\"quote__author__image\"><img loading=\"lazy\" decoding=\"async\" width=\"105\" height=\"105\" src=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Fahed-Bitar-105x105.jpeg.webp\" class=\"attachment-quote size-quote wp-post-image\" alt=\"Fahed Bitar headshot.\" srcset=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Fahed-Bitar-105x105.jpeg.webp 105w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Fahed-Bitar-44x44.jpeg.webp 44w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Fahed-Bitar-310x310.jpeg.webp 310w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Fahed-Bitar.jpeg 560w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Fahed-Bitar-105x105@2x.jpeg.webp 210w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Fahed-Bitar-44x44@2x.jpeg.webp 88w\" sizes=\"auto, (max-width: 105px) 100vw, 105px\" \/><\/div><div class=\"quote__author__cite\"><cite><p><strong>Fahed Bitar<\/strong> <span>Project Executive<\/span> <span>S-Line Contractors<\/span><\/p><\/cite><\/div><\/div><\/div>\n<p><span style=\"font-weight: 400;\">Tetiana uses a blended approach:<\/span><\/p>\n<div class=\"quote quote--image quote--orange\"><div class=\"quote__text\"><p><i><span style=\"font-weight: 400;\">\u201cWe prefer to rely on a combination of the &#8216;match&#8217; and &#8216;level&#8217; strategies. In software development, using only forecasts of future demand creates burnout.\u201d<\/span><\/i><\/p>\n<\/div><div class=\"quote__author\"><div class=\"quote__author__image\"><img loading=\"lazy\" decoding=\"async\" width=\"105\" height=\"105\" src=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk-105x105.png.webp\" class=\"attachment-quote size-quote wp-post-image\" alt=\"Tetiana Hnatiuk headshot.\" srcset=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk-105x105.png.webp 105w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk-671x671.png.webp 671w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk-711x711.png.webp 711w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk-44x44.png.webp 44w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk-310x310.png.webp 310w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk.png 800w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk-105x105@2x.png.webp 210w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk-44x44@2x.png.webp 88w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Tetiana-Hnatiuk-310x310@2x.png.webp 620w\" sizes=\"auto, (max-width: 105px) 100vw, 105px\" \/><\/div><div class=\"quote__author__cite\"><cite><p><strong>Tetiana Hnatiuk<\/strong> <span>COO<\/span> <span>Skylum<\/span><\/p><\/cite><\/div><\/div><\/div>\n<p><span style=\"font-weight: 400;\">Next we\u2019ll tackle the math you need to pull off any of these strategies by exploring helpful formulas and calculations.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Capacity-planning-formulas-and-calculations\"><\/span><span style=\"font-weight: 400;\">Capacity planning formulas and calculations<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Regardless of which methods, methodologies, or strategies you employ when it comes to capacity planning, you&#8217;ll always need to calculate capacity at one stage or another.\u00a0<\/span><\/p>\n<p>Below are four useful examples that apply regardless of which capacity planning approach you choose:<\/p>\n<ol>\n<li data-section-id=\"nw1tzk\" data-start=\"321\" data-end=\"436\"><strong data-start=\"324\" data-end=\"346\">Available capacity<\/strong> \u2013 A useful overall indicator of the uncommitted capacity you have at any given time<\/li>\n<li data-section-id=\"1n8rzrq\" data-start=\"437\" data-end=\"546\"><strong data-start=\"440\" data-end=\"474\">Available capacity (equipment)<\/strong> \u2013 A riff on the previous formula specifically for non-human resources<\/li>\n<li data-section-id=\"1m5c4e8\" data-start=\"547\" data-end=\"670\"><strong data-start=\"550\" data-end=\"566\">Capacity gap<\/strong> \u2013 A simple but effective way to see how far off your current capacity is from where you need it to be<\/li>\n<li data-section-id=\"19ifrmj\" data-start=\"671\" data-end=\"878\"><strong data-start=\"674\" data-end=\"703\">Billable utilization rate<\/strong> \u2013 Not strictly limited to capacity, but billable utilization shows you how much workable capacity is being spent on billable activity and can highlight opportunities to use that capacity more effectively<\/li>\n<\/ol>\n<h3><span style=\"font-weight: 400;\">Available capacity formula<\/span><\/h3>\n<p>Available capacity is the capacity you have left after accounting for predictable unavailable time and work that has already been committed.<\/p>\n<div id=\"attachment_9921\" style=\"width: 953px\" class=\"wp-caption alignnone\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-9921\" class=\"wp-image-9921 size-medium\" src=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-943x203.png\" alt=\"Available capacity formula.\" width=\"943\" height=\"203\" srcset=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-943x203.png.webp 943w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-1042x224.png.webp 1042w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-1536x330.png.webp 1536w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-310x67.png.webp 310w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-800x172.png 800w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-1200x258.png 1200w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula.png 1716w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-310x67@2x.png.webp 620w\" sizes=\"auto, (max-width: 943px) 100vw, 943px\" \/><p id=\"caption-attachment-9921\" class=\"wp-caption-text\"><em>Available capacity = Total working time &#8211; Predictable unavailable time &#8211; Existing commitments<\/em><\/p><\/div>\n<p class=\"PDq2pG_selectionAnchorContainer\" data-start=\"1152\" data-end=\"1350\">Predictable unavailable time might include planned leave or other time when someone cannot take on work. Existing commitments are the projects, tasks, or other work that have already been allocated.<\/p>\n<p data-start=\"1352\" data-end=\"1437\">The resulting figure shows how much capacity remains available for additional demand.<\/p>\n<h3><span style=\"font-weight: 400;\">Available capacity formula (equipment)<\/span><\/h3>\n<p>The same principle can be applied to equipment by accounting for planned downtime and time that has already been booked.<\/p>\n<div id=\"attachment_9960\" style=\"width: 953px\" class=\"wp-caption alignnone\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-9960\" class=\"wp-image-9960 size-medium\" src=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-equipment-1-943x203.png\" alt=\"Available capacity formula for equipment and vehicles.\" width=\"943\" height=\"203\" srcset=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-equipment-1-943x203.png.webp 943w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-equipment-1-1042x224.png.webp 1042w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-equipment-1-1536x330.png.webp 1536w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-equipment-1-310x67.png.webp 310w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-equipment-1-800x172.png 800w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-equipment-1-1200x258.png 1200w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-equipment-1.png 1716w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Available-capacity-formula-equipment-1-310x67@2x.png.webp 620w\" sizes=\"auto, (max-width: 943px) 100vw, 943px\" \/><p id=\"caption-attachment-9960\" class=\"wp-caption-text\">Available capacity (equipment) = Total potential operating time &#8211; Maintenance time &#8211; Existing bookings<\/p><\/div>\n<p><span style=\"font-weight: 400;\">This shows how much equipment capacity remains available for additional work.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Capacity gap formula<\/span><\/h3>\n<p>Once you know your available capacity, you can compare it with the capacity needed to meet additional demand.<\/p>\n<div id=\"attachment_9961\" style=\"width: 953px\" class=\"wp-caption alignnone\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-9961\" class=\"wp-image-9961 size-medium\" src=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Capacity-gap-formula-1-943x203.png\" alt=\"Capacity gap formula.\" width=\"943\" height=\"203\" srcset=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Capacity-gap-formula-1-943x203.png.webp 943w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Capacity-gap-formula-1-1042x224.png.webp 1042w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Capacity-gap-formula-1-1536x330.png.webp 1536w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Capacity-gap-formula-1-310x67.png.webp 310w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Capacity-gap-formula-1-800x172.png 800w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Capacity-gap-formula-1-1200x258.png 1200w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Capacity-gap-formula-1.png 1716w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Capacity-gap-formula-1-310x67@2x.png.webp 620w\" sizes=\"auto, (max-width: 943px) 100vw, 943px\" \/><p id=\"caption-attachment-9961\" class=\"wp-caption-text\">Capacity gap = Available capacity &#8211; Additional required capacity<\/p><\/div>\n<p class=\"PDq2pG_selectionAnchorContainer\" data-start=\"1995\" data-end=\"2133\">Here, additional required capacity means the capacity needed to meet demand that is not already accounted for in existing commitments.<\/p>\n<p data-start=\"2135\" data-end=\"2274\">A positive gap suggests spare capacity; a negative gap means additional demand is greater than the capacity currently available to meet it.<\/p>\n<h3><span style=\"font-weight: 400;\">Billable utilization rate formula<\/span><\/h3>\n<p>Billable utilization shows how much workable time is spent on billable work.<\/p>\n<div id=\"attachment_9962\" style=\"width: 953px\" class=\"wp-caption alignnone\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-9962\" class=\"wp-image-9962 size-medium\" src=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-943x208.png\" alt=\"Billable utilization formula.\" width=\"943\" height=\"208\" srcset=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-943x208.png.webp 943w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-1042x230.png.webp 1042w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-1536x339.png.webp 1536w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-2048x452.png.webp 2048w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-310x68.png.webp 310w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-800x177.png 800w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-1200x265.png 1200w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-1748x386.png 1748w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-943x208@2x.png.webp 1886w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-1042x230@2x.png.webp 2084w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-1536x339@2x.png.webp 3072w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2026\/07\/Billable-utilization-1-310x68@2x.png.webp 620w\" sizes=\"auto, (max-width: 943px) 100vw, 943px\" \/><p id=\"caption-attachment-9962\" class=\"wp-caption-text\">Billable utilization (%) = (Total billable hours\/Total workable hours) x 100<\/p><\/div>\n<p data-start=\"2481\" data-end=\"2741\">Here, total workable hours means scheduled working time after non-working time such as leave, holidays, and absence has been excluded. It still includes non-billable working activities such as administration, internal meetings, training, and documentation.<\/p>\n<p data-start=\"2743\" data-end=\"2927\">This is different from available capacity: available capacity tells you how much capacity remains uncommitted, while billable utilization shows you how much workable capacity is being spent on billable activity, and can highlight opportunities to use that capacity more effectively.<\/p>\n<p><span style=\"font-weight: 400;\">When asked what &#8220;ideal&#8221; billable utilization looks like, Stein from Poki recommends dedicating 20-30% of hours to non-billable time:<\/span><\/p>\n<div class=\"quote quote--default quote--green\"><div class=\"quote__text\"><p><em><span style=\"font-weight: 400;\">\u201cI generally look for billable\/delivery utilization levels ranging from 70% to 80%. Any higher than this, I typically believe that a company is taking time away from some area such as quality, documentation or recovery.\u201d<\/span><\/em><\/p>\n<p>\u2014 <strong>Stein Janssen<\/strong><\/p>\n<\/div><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Capacity-planning-FAQs\"><\/span><span style=\"font-weight: 400;\">Capacity planning FAQs<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span style=\"font-weight: 400;\">What is capacity planning in project management?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Capacity planning in project management is the strategic process of determining whether an organization has enough people, skills, working time, and other resources to meet expected project demand. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">It helps identify future capacity gaps or surpluses before they affect delivery.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">What are the different types of capacity planning?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Capacity planning can use methodologies such as dynamic, elastic, finite, and infinite planning, depending on how an organization chooses to respond to demand and resource constraints.<\/span><\/p>\n<p><span style=\"font-weight: 400;\"> Methods such as rough-cut capacity planning and simulation can then be used to assess requirements, test scenarios, and identify capacity gaps.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">What considerations should I take into account when it comes to capacity planning?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Capacity planning should consider expected demand, available people and equipment, skills and roles, working hours, utilization, planned leave, project priorities, and the time required to add or reallocate capacity. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">It should also account for uncertainty in forecasts and how quickly the organization can respond when demand changes.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">What factors affect capacity planning?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Capacity planning is affected by changes in project demand, workforce availability, employee skills, productivity, working patterns, equipment or infrastructure, project schedules, and organizational priorities. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">External factors such as client demand, labor market conditions, supply constraints, and unexpected disruptions can also change the amount of capacity required or available.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">What are the tradeoffs in capacity planning?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The main tradeoff in capacity planning is between maintaining enough spare capacity to absorb demand changes and maximizing utilization to control costs. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Too little capacity can cause delays, <\/span><span style=\"font-weight: 400;\">overwork<\/span><span style=\"font-weight: 400;\">, and lost opportunities, while too much capacity can result in underutilized people, equipment, and unnecessary costs.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"How-to-get-started-with-capacity-planning\"><\/span><span style=\"font-weight: 400;\">How to get started with capacity planning<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">If you\u2019re ready to put what you\u2019ve learned about capacity planning in this guide into practice, dedicated <\/span><a href=\"https:\/\/resourceguruapp.com\/features\/capacity-planning-software\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">capacity planning software<\/span><\/a><span style=\"font-weight: 400;\"> can help provide the clarity, control, and flexibility you need to execute on any of the methods, methodologies, and strategies.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Start a free trial of <a href=\"https:\/\/resourceguruapp.com\/\" target=\"_blank\" rel=\"noopener\">Resource Guru<\/a> is just a few clicks\u2014no credit card needed:\u00a0<\/span><\/p>\n<div class=\"freetrial freetrial--text-light freetrial--alt\"><div class=\"freetrial__image\"><img loading=\"lazy\" decoding=\"async\" width=\"310\" height=\"286\" src=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2024\/02\/free-trial-alt-310x286.png\" class=\"attachment-freetrial size-freetrial wp-post-image\" alt=\"\" srcset=\"https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2024\/02\/free-trial-alt-310x286.png 310w, https:\/\/resourceguruapp.com\/blog\/wp-content\/uploads\/2024\/02\/free-trial-alt.png 536w\" sizes=\"auto, (max-width: 310px) 100vw, 310px\" \/><\/div><div class=\"freetrial__text\"><h4>The #1 scheduling and time tracking tool trusted by thousands of project teams<\/h4>\n<p>Join thousands of project managers who have made scheduling a breeze.<\/p>\n<p><a class=\"button\" href=\"https:\/\/app.resourceguruapp.com\/\" rel=\"noopener\">Start Your Free Trial<\/a><\/p>\n<\/div><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Learn what capacity planning means, how to calculate it, which methods and strategies to use, and how to plan future demand around real capacity.<\/p>\n","protected":false},"author":36,"featured_media":9924,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","mc4wp_mailchimp_campaign":[],"footnotes":""},"categories":[38],"tags":[],"class_list":["post-9918","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-project-management"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Capacity planning guide: Definitions, strategies, and formulas<\/title>\n<meta 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