What does capacity planning aim to determine?

Capacity planning primarily focuses on determining the production capacity required to meet changing demands for products or services. It involves assessing current production capabilities and forecasting future customer demand in order to ensure that a facility can operate efficiently without incurring excess costs or delays. By accurately recognizing the necessary capacity, businesses can optimize their resources, ensuring they have the right amount of equipment, personnel, and materials available to meet demand levels at any given time.

Other options, while relevant to business operations, do not directly address the core purpose of capacity planning. Current market trends relate to external influences affecting the overall business environment, employee training needs focus on workforce development rather than production capabilities, and supply chain partnership opportunities deal with external collaborations, which are distinct from the internal assessments that capacity planning seeks to address.