capacity utilization

  

Definition

Extent or level to which the productive capacity of a plant, firm, or country is being used in generation of goods and services. Expressed usually as a percentage, it is computed by dividing the total capacity with the portion being utilized.

Use this term in a sentence

  • The company's CEO stated that we are at least ten percent short of capacity utilization but he thinks that by the end of the year we can cover the gap.

    22 people found this helpful
  • You should try to be great at capacity utilization so that you are always getting the most out of the space you have.

    19 people found this helpful
  • The capacity utilization analysis concluded that there was a more efficient method of operating so we analyzed all variables in the meeting.

    18 people found this helpful
Show more usage examples...



http://www.businessdictionary.com/definition/capacity-utilization.html

Popular 'Industries, Manufacturing, & Technology' Terms

Mentioned in these terms

Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z