Here’s what a typical capacity management process might look like. A good capacity management process ensures accurate data entry, effective capacity management, and overall organizational efficiency and productivity. However, these processes vary from organization to organization.
1. Determining and breaking down future plans
Forecasts and capacity plans help you understand what demand will be in the coming seasons. For example, more people need to be hired, more equipment is needed, or the previous one needs to be repaired or maintained.
2. Understand customer needs
Market trends and customer needs are constantly changing. This helps create a flow of opportunities. It is very important to understand whether demand is affected by any unforeseen events or seasonal factors.
3. Assess existing resources
Before increasing production according to a newly belgium telegram phone numbers developed plan, an organization must assess whether existing resource capacities or infrastructure can support such production. If not, it may be necessary to purchase or lease new machinery, devices or equipment.
4. Resource and capacity planning
Once you have a proper plan, it is time to implement and execute it. If you need to install more equipment or machinery to increase production, then the plan should be: purchase new machinery/equipment, install it, start working and meet additional requirements in a timely manner.
5. Consistent monitoring
Finally, if you don’t constantly monitor and review your production capacity, you may miss important factors. And, like any other process, there is always room for improvement.
Capacity management and capacity planning
Capacity management is often confused with capacity planning . Although they are similar in some aspects, they are also quite different. The concept of capacity management is broad, and capacity planning can be called a subset of capacity management. However, the ultimate goal of both is to ensure that the right amount of capacity is available at the right time to meet demand.
As Mike Wise, author of the Microsoft DataDriven blog, says, "One big difference between capacity planning and capacity management is that capacity planning is 'thrown away.' That means capacity planning is something that is done up front. It's about gathering and estimating needs, while capacity management is about the entire lifecycle of monitoring, data collection, analysis, infrastructure optimization, and then back to monitoring again."
Digital organizations planning to create a successful capacity planning and management strategy should think of these concepts as separate entities.