Why Factory Capacity Utilization Impacts Your Lead Times and Risks Delays

Factory capacity utilization affects your lead times.

A factory operating at 90% capacity is a ticking time bomb for delays.

Why?

Because one unexpected surge in demand, or a single equipment failure, pushes your order to the back of the line.

Always ask about current capacity utilization before placing your order.

If they’re stretched thin, it’s better to wait or split production with another factory.

Capacity isn’t just a number, but a risk factor.