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Capacity Management is concerned with ensuring that the business can meet the demands on it to the required/agreed level.  It is split into three sub-processes:

  • Business Capacity Management - The overall capacity of the whole business, focusing on demands for new services or enhancements to existing services.  This sub-process needs to take a long term view in predicting future demands.
  • Service Capacity Management - The capacity of individual services versus what is known about peaks and troughs in demand for that service and past breaches of the SLA.  The focus is on load balancing of demand and supply in the medium term by trying to influence demand or flexing the resource available for supply where demand cannot be influenced sufficiently.
  • Component Capacity Management - Understanding the technology to handle changes in demand at the immediate to short term. This usually relies heavily on capacity monitoring tools and speedy re-allocation of resources.

The output of this process is the Capacity Plan which details expected investments in capacity.  This plan should be prepared in sync with the business budget life cycle and be reviewed regularly and after any action that may impact the capacity of the business such as downsizing, mergers, acquisitions or major changes.