Demand exceeds capacity
Change scope or timing, reassign work, add capacity, or accept the risk explicitly.
Capacity planning guide
How to calculate team capacity across multiple projects.
A practical method for turning schedules, leave, internal commitments, and project allocations into a capacity view managers can use.
Capacity is not the same as contracted hours.
Gross hours are a starting point. A useful plan subtracts leave, public holidays, internal responsibilities, and other fixed commitments before comparing the remaining time with project demand.
- ✓Gross capacity = people multiplied by working hours
- ✓Usable capacity = gross capacity minus unavailable and internal time
- ✓Remaining capacity = usable capacity minus confirmed allocations
Calculate one time period at a time.
- 1Choose a consistent week or month.
- 2Apply each person’s actual working schedule.
- 3Subtract approved leave and public holidays.
- 4Subtract recurring internal commitments.
- 5Subtract confirmed project allocations to calculate remaining capacity.
- 6Compare remaining capacity with dated demand.
- 7Review overload and underuse with the project owners.
Keep assumptions visible.
A capacity total without its date, working pattern, and included commitments is easy to misunderstand. Record the source and effective period for every major assumption.
- ✓Do not treat every person as a 40-hour week.
- ✓Keep tentative work separate from confirmed allocation.
- ✓Show overbooking as a decision to resolve, not as extra capacity.
- ✓Refresh the outlook when leave, dates, or estimates change.
Use the result to choose an action.
Capacity exceeds demand
Bring work forward, support another team, invest in improvement, or protect learning time.