Capacity planning involves the use of baseline performance data to model and project future needs. Capacity planning should address internal factors (growth, mergers, acquisitions, new product lines, and the implementation of new technologies) and external factors (shift in customer preferences, competitor capability, or regulatory or market requirements). Management should monitor technology resources for capacity planning including platform processing speed, core storage for each platform's central processing unit, data storage, and voice and data communication bandwidth.
Capacity planning should be closely integrated with the budgeting and strategic planning processes. It also should address personnel issues including staff size, appropriate training, and staff succession plans.