Chapter 13. Smoothing the Order Cycle

Because a major goal of capacity management is to reduce IT costs, it is important that we link capacity management with IT spending. Capacity management doesn’t affect your payroll directly, but it should certainly have a strong impact on your IT procurement.

In this chapter we examine the link between managing the capacity you have and purchasing new capacity in the form of hardware and software. You learn that managing capacity effectively can help you defer spending, and as your organization gets more mature at managing the existing IT capacity, justification for future spending is much easier.

Establishing Capacity Buffers and Reorder Levels

The most important step you can take to link capacity management ...

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