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top   »  business   »  business processes   »  scalability   »  scalability definition

What is Scalability?

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Scalability is the ability for a technology, system, process or business to handle additional volumes. A highly scalable business allows new capacity to be added quickly at low cost with little associated risk. The term scalability implies declining costs due to economies of scale as business volumes increase.

Examples

A cloud infrastructure platform that allows a business to scale usage of computing and storage on demand.
A manufacturer that enjoys declining cost-per-unit as demand for its products grows.
A startup company that sees operating margins improve with revenue growth.
Overview: Scalability
Type
Economics
Definition
A business, process or technology that achieves economies of scale as volumes increase.
Related Concepts
Economies Of Scale
Next: Examples of Scalability

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