What we hold still

On a recent client call, we were discussing how to use a new capacity report to make decisions for a firm.

Capacity measures an asset's maximum ability.

For example,

The capacity of a consultant might be that they can perform up to 50 billable hours each week

Or the capacity of a 3D printer might be that it can print up to 3 whirligigs per hour

The question is: Why is this useful?

Because it’s a metric that holds still.

What does that mean?

It means it’s a known quantity that doesn’t fluctuate often, so you can use it as a steady baseline to calculate other values inside the business.

Which can help you

Predict the future, and

Make better decisions.

Examples:

How many employees do you need to fulfill the pipeline of deals this quarter?

-> Employees required = Revenue / hourly rate / project weeks / 50 hours

How long will it take you to print out this next order?

-> Hours needed = Whirligigs ordered / # machines / 3 whirligigs per hour

How much money will you make next month if you continue to work at max capacity?

-> Revenue = 50 billable hours * # employees * hourly rate * 4.33333

Every business is full of moving parts.

Markets shift, demand surges and dips, costs rise and fall.

But certain inputs (like capacity) hold pretty steady,

And that stability is powerful.

Because when you find the numbers that don’t move,

You can anchor to them.

You can build reliable models around them.

And you can turn chaos into clarity.

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