# Capacity Planning

# Genesys WFM Capacity Planning Documentation

## Study Notes
| Topic | Description |
|---|---|
| Capacity Planning | Long-range 2-year staffing forecasts and hiring needs |
| Hiring Plans | Project required agents based on volume growth |
| Shrinkage Modeling | Account for breaks, absences, training, meetings |
| Attrition Planning | Factor in turnover rates (typical 10-15% annual) |
| FTE Calculation | Full-time equivalent staffing requirements |
| What-If Scenarios | Model multiple growth/demand scenarios |
| Multi-Skill Planning | Plan for multiple planning groups and skill sets |
| Business Unit Level | Create capacity plans per business unit |

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## Navigation
Admin → Workforce Management → Capacity Planning
OR
Menu → Workforce Management → Planning → Capacity Plans

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## Capacity Planning Overview

Capacity Planning enables organizations to forecast long-range (up to 2 years) staffing needs based on projected demand, anticipated shrinkage, and expected attrition. It answers the strategic question: "How many agents do we need to hire in the next 6-12-24 months?"

Capacity Planning functions:
- Project future staffing requirements
- Model growth scenarios
- Account for turnover and attrition
- Plan hiring timelines
- Determine training needs
- Support budget planning
- Enable proactive recruitment

### Capacity Planning Process

```
Capacity Planning Workflow:

Input Phase:
├─ Volume Forecast (2 years forward)
├─ Service Level Goals
├─ Average Handle Time (AHT)
├─ Shrinkage Rate (% unavailable)
├─ Attrition Rate (% turnover)
└─ FTE Targets (if applicable)

Processing:
├─ Calculate staffing needed by period
├─ Apply shrinkage adjustments
├─ Apply attrition (turnover) adjustments
├─ Factor in training ramp-up time
└─ Model multiple scenarios

Output Phase:
├─ Hiring requirements by month
├─ Training schedule
├─ Budget projections
├─ Risk identification
├─ Recommendation scenarios
└─ Long-term staffing plan

Usage:
├─ HR coordinates recruitment
├─ Budget allocates hiring resources
├─ Training schedules onboarding
├─ Leadership makes staffing decisions
└─ Ongoing refinement based on actuals
```

---

## Key Concepts

### Staffing Calculation Formula

```
Basic Staffing Calculation:

Staffing Required = (Volume × AHT) / Available Hours

Example:
├─ Volume: 5,000 calls/day
├─ AHT: 300 seconds (5 minutes)
├─ Target SL: 80% in 20 seconds
│  └─ Staffing calculation: (5,000 × 300) / 3,600 = 416.67 agent-hours needed
│
├─ Workday: 8 hours (28,800 seconds available per agent)
├─ Agents needed: 416.67 ÷ 8 = 52.08 agents
└─ Rounded: 52-53 agents minimum for stated conditions

Advanced Calculation (with shrinkage):

Staffing Required = ((Volume × AHT) / Available Hours) × (1 / (1 - Shrinkage Rate))

With 30% Shrinkage:
├─ Base staffing: 52 agents
├─ Shrinkage factor: 1 / (1 - 0.30) = 1.43
├─ Total staffing needed: 52 × 1.43 = 74.36 agents
└─ Actual: 75 agents (accounting for shrinkage)
```

### Shrinkage

Shrinkage represents the percentage of time agents are unavailable for customer work.

```
Shrinkage Components (Typical 25-35%):

Paid Time Off:
├─ Vacation: 2.5% (20 days ÷ 260 work days)
├─ Sick Leave: 1.5% (12 days ÷ 260)
├─ Personal Time: 1% (8 days ÷ 260)
└─ Subtotal: ~5%

Scheduled Non-Work:
├─ Breaks: 8% (2 × 15 min breaks per 8-hr shift)
├─ Lunch: 12% (1 hour per 8-hr shift)
└─ Subtotal: ~20%

Other Non-Productive:
├─ Meetings: 2%
├─ Training: 2%
├─ Administrative: 1%
├─ Unplanned absences: 2%
└─ Subtotal: ~7%

Total Shrinkage: ~32% (typical)

This means:
├─ 8-hour shift = 5.44 hours available for customer work
├─ OR you need 1.47 agents for every 1 customer-facing agent needed
```

### Attrition (Turnover)

Attrition is the rate at which employees leave the organization.

```
Typical Contact Center Attrition: 10-20% annually

Attrition Impacts:

Monthly Impact Example (100 agents, 15% annual):
├─ 15% ÷ 12 = 1.25 agents/month turnover
├─ Planning for 12 months: 15 agents departing
├─ To maintain 100 agents: Must hire 15 new agents

With Growth (5% growth + 15% turnover):
├─ Current: 100 agents
├─ Target: 105 agents (5% growth)
├─ Turnover expected: 15 agents
├─ Total to hire: 105 - 100 + 15 = 20 agents
├─ Hiring rate: 1.67 agents/month
└─ Timeline: 12 months to recruit and train

Factors Affecting Attrition:
├─ Compensation levels
├─ Work environment quality
├─ Career development opportunities
├─ Schedule flexibility
├─ Work-life balance
├─ Management quality
├─ Job satisfaction
└─ Industry benchmarks
```

---

## Capacity Plan Creation

### Creating a Capacity Plan

```
Step 1: Define Planning Parameters

Period Definition:
├─ Start Date: January 1, 2026
├─ End Date: December 31, 2027 (24 months)
├─ Intervals: Monthly
└─ Business Unit: Select target BU

Step 2: Input Volume Forecast

Volume Projections:
├─ Month 1: 5,000 calls/day (baseline)
├─ Month 2: 5,100 calls/day (+2%)
├─ Month 3: 5,200 calls/day (+4% YoY)
├─ ... (continue for 24 months)
└─ Can import from existing forecasts or enter manually

Step 3: Configure Service Levels

Service Goals:
├─ Service Level: 80% in 20 seconds
├─ ASA: 18 seconds
├─ Abandon Rate: 5%
├─ AHT: 300 seconds (5 minutes)
└─ Apply to all planning groups or specific ones

Step 4: Set Staffing Parameters

Shrinkage & Attrition:
├─ Shrinkage Rate: 30%
├─ Attrition Rate: 15% annually (1.25% monthly)
├─ Training Ramp-Up: 60% productivity week 1, 80% week 2, 100% week 3
├─ Training Duration: 2 weeks
└─ Seasonal Adjustments: Higher in Q4, lower in Q1

Step 5: Configure Planning Groups

Multi-Skill Planning:
├─ Planning Group 1: Voice Support (60% of volume)
├─ Planning Group 2: Email Support (40% of volume)
├─ Planning Group 3: Chat (optional blended group)
└─ Staffing Groups: Can map multiple skills to handle

Step 6: Review Calculations

System Calculates:
├─ Monthly staffing requirements
├─ Hiring needs accounting for attrition
├─ Training schedule and capacity
├─ Budget impact
├─ FTE projections
├─ Multi-skill distribution
└─ Over/under-staffing risks

Step 7: Scenario Analysis

Create What-If Scenarios:
├─ Copy existing plan
├─ Adjust variables:
│  ├─ Modify volume forecast (+/- %)
│  ├─ Adjust SL targets
│  ├─ Change attrition assumptions
│  └─ Update shrinkage rates
├─ Compare scenarios
└─ Select recommended plan
```

---

## Real-World Examples

### Example 1: Growth Planning (30% Growth Over 12 Months)

```
Current State (Jan 2026):
├─ Headcount: 100 agents
├─ Daily Volume: 5,000 calls
├─ SL: 80%
├─ Annual Attrition: 15%

Growth Forecast:
├─ Q1: +5% volume (5,250 calls)
├─ Q2: +10% volume (5,500 calls)
├─ Q3: +20% volume (6,000 calls)
├─ Q4: +30% volume (6,500 calls)

Capacity Plan Calculation:

Month 1 (Jan):
├─ Volume: 5,000 calls/day
├─ Staffing needed: 75 (including 30% shrinkage)
├─ Current staff: 100
├─ Status: Over-staffed (+25)

Month 3 (Mar):
├─ Volume: 5,250 calls/day (+5%)
├─ Staffing needed: 79
├─ Attrition: 1.25 agents/month = 3.75 to date
├─ Current staff: 96
├─ Status: Over-staffed, but shrinking

Month 6 (Jun):
├─ Volume: 5,500 calls/day (+10%)
├─ Staffing needed: 83
├─ Attrition YTD: 7.5 agents
├─ Current staff: 92
├─ Status: At capacity

Month 12 (Dec):
├─ Volume: 6,500 calls/day (+30%)
├─ Staffing needed: 98
├─ Attrition YTD: 15 agents
├─ Total to hire: (98 - 100) + 15 = +13 agents
├─ Current staff with hires: 113
└─ Status: Meeting demand

Hiring Plan:
├─ Month 1-2: No hiring (use excess)
├─ Month 3-4: Begin recruiting (start with 2-3/month)
├─ Month 5-8: Accelerate hiring (5/month)
├─ Month 9-12: Intensive hiring (4/month)
├─ Total new hires: 28 agents
├─ Training cohorts: 4 groups of 7 agents
├─ Training timeline: 2-week program per cohort

Budget Impact:
├─ Current salary cost: $4.8M/year (100 × $48k)
├─ Additional 13 agents: +$624K/year
├─ Training cost: 28 × $2,000 = $56K
├─ Equipment/setup: 28 × $500 = $14K
└─ Total additional cost: ~$694K over 12 months
```

### Example 2: Scenario Planning (High vs Low Growth)

```
Base Scenario: 15% Growth
├─ Jan: 5,000 calls/day
├─ Dec: 5,750 calls/day
├─ Staffing Jan: 75 agents
├─ Staffing Dec: 87 agents
├─ Hiring needed: 15 agents (net of attrition)
└─ Annual cost increase: $720K

Aggressive Scenario: 25% Growth
├─ Jan: 5,000 calls/day
├─ Dec: 6,250 calls/day
├─ Staffing Jan: 75 agents
├─ Staffing Dec: 94 agents
├─ Hiring needed: 22 agents (net of attrition)
└─ Annual cost increase: $1,056K

Conservative Scenario: 5% Growth
├─ Jan: 5,000 calls/day
├─ Dec: 5,250 calls/day
├─ Staffing Jan: 75 agents
├─ Staffing Dec: 79 agents
├─ Hiring needed: 8 agents (net of attrition)
└─ Annual cost increase: $384K

Comparison:
├─ Cost Range: $384K to $1,056K
├─ Headcount Range: 8 to 22 new hires
├─ Timing Impact: Early hires for high growth, delayed for conservative
└─ Recommendation: Plan for base case, stay flexible for scenarios
```

### Example 3: Multi-Skill Planning

```
Scenario: Voice + Email Blended Team

Planning Group Distribution:
├─ Voice Support: 60% of workload
├─ Email Support: 40% of workload
└─ Single agent team handling both

Staffing Calculation:

Voice Staffing:
├─ Volume: 3,000 calls/day
├─ AHT: 300 seconds
├─ Base: 45 agents (with shrinkage)

Email Staffing:
├─ Volume: 2,000 emails/day
├─ AHT: 600 seconds
├─ Base: 30 agents (with shrinkage)

Blended Approach (Single Planning Group):
├─ Combined workload: 45 + 30 = 75 agent-hours
├─ Blended team: 60 agents (20% efficiency gain)
├─ Staffing needed: 60 agents (vs 75 separate)
├─ Savings: 15 agents / $720K annually

Requirements:
├─ All 60 agents trained in voice
├─ All 60 agents trained in email
├─ Ability to switch between during shift
├─ Proper activity coding for tracking
├─ Balanced workload distribution
└─ Adequate systems for both channels

Benefits:
├─ Cost savings: 20% staffing reduction
├─ Flexibility: Can shift agents to high-demand channel
├─ Agent satisfaction: Work variety
├─ Efficiency: Prevents over-staffing one channel
└─ Resilience: Handle channel imbalances
```

---

## Best Practices

### Forecasting Accuracy
- **Use Historical Data** - ABM requires 90+ days minimum
- **Account for Seasonality** - Q4 peaks, Q1 valleys typical
- **Plan for Growth** - Include business growth plans
- **Conservative Approach** - Better to over-hire than under-staff
- **Ongoing Refinement** - Adjust monthly based on actuals
- **Scenario Planning** - Model multiple growth scenarios

### Hiring & Training
- **Lead Time** - Start recruiting 3-6 months before need
- **Batch Training** - Group new hires into cohorts
- **Ramp-Up Plan** - Account for 2-4 week productivity ramp
- **Retention Focus** - Lower attrition through engagement
- **Budget Planning** - Include hiring and training costs
- **Skill Planning** - Ensure multi-skill coverage

### Staffing Decisions
- **Monitor Actuals** - Track actual vs planned monthly
- **Adjust Early** - Don't wait for crisis to hire
- **Communicate** - Keep HR and leadership informed
- **Flexibility** - Plan for contingencies
- **Cost Control** - Balance service level with cost
- **Continuous Improvement** - Review and refine quarterly

---

## Interview Cheat Sheet

| Question | Answer |
|---|---|
| What's capacity planning? | Long-range (2-year) workforce staffing forecasts |
| Why capacity planning? | Project hiring needs months in advance |
| Key inputs? | Volume forecast, SL goals, AHT, shrinkage, attrition |
| What's shrinkage? | % unavailable time (breaks, meetings, training ~30%) |
| What's attrition? | Employee turnover rate (typical 10-20% annually) |
| How calculate staffing? | (Volume × AHT) / Available Hrs × (1 / (1 - Shrinkage)) |
| Planning horizon? | Up to 2 years forward |
| FTE? | Full-time equivalent (one agent = 1 FTE) |
| Multi-skill planning? | Plan for agents handling multiple channels |
| What-if scenarios? | Model high/low growth alternatives |
| Training ramp-up? | New agents reach 100% productivity over 2-4 weeks |
| Hiring timeline? | Start recruiting 3-6 months before need |
| Cost calculation? | Salary + benefits + training + equipment |
| Over-staffing issue? | Wasted labor cost, low occupancy |
| Under-staffing issue? | Service level failure, agent burnout |

---

## Key Takeaways

- **Strategic Planning** - Look ahead 2 years for staffing
- **Growth Alignment** - Match hiring to business growth
- **Turnover Factor** - Account for normal attrition rates
- **Shrinkage Modeling** - Realistic availability calculations
- **FTE Tracking** - Monitor full-time equivalent staffing
- **Scenario Flexibility** - Plan for multiple growth paths
- **Lead Time** - Start recruiting before you need agents
- **Cost Planning** - Budget hiring and training expenses
- **Multi-Skill** - Plan for blended team capabilities
- **Continuous Refinement** - Adjust monthly based on actuals

---

## Additional Resources

### Official Documentation
- Capacity Plans: help.mypurecloud.com/articles/capacity-plans-overview/
- Planning: help.genesys.cloud/articles/plan-workforce-management/
- Staffing: help.genesys.cloud/articles/about-workforce-management/

### Support & Training
- Genesys University: genesys.com/training
- Community Forums: https://community.genesys.com
- Technical Support: https://support.genesys.com

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## Document Version Info
**Last Updated:** March 2026  
**Validated:** Current with March 2026 release  
**Version:** 1.0