What amazes me is how many IT shops have no idea of their capacity. They struggle with explaining to the business why they can't deliver consistently or in a timely manner. Amazingly enough all that is needed as a first step is a really simple capacity vs demand tool. It is quite simple really.
Take your total capacity in any given area.
Subtract out your administrative overhead and PTO hours for your staff.
What is remaining is your true capacity.
Then plot out your project hours by release, or month.
Compare your capacity to your demand and produce a chart. It will quite clearly show the problem and will be quite easily consumed by business leadership.
The next discussion is how to adjust demand and perhaps change scope or delivery dates. I will discuss more about this in another post.
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