What are the factors to effect capacity levels?

Factors effecting capacity levels are as follows:

• Resources accessible for example, labour and skills, machine time and another bottleneck which restrict the organisations capacity to supply.

• Physical space for example, maximum seating into a football stadium or production floor space limiting capacity.

• Efficiency, wastage levels and idle times for examples, reduces efficiency and time taken to change inputs resources in the product or service.

• Lead time for examples: high set up times or other ineffectiveness can make supply extremely unresponsive or inelastic to changes into customer demand.