Capability and Capacity

And maybe you'll go away and never call
And a taste of honey is worse than none at all
--Smokey Robinson & the Miracles

Capability is skill or talent for doing something. Thinking, observation, doing, repetition build capability.

Capacity is the maximum amount of output possible from production. The upper limit, threshold for production volume.

While often related, capability and capacity are not the same. A process can be capable of producing something while have limited capacity. On the other hand, a process may be able to produce high volumes but have little skill for delivering valuable output.

It is usually desirable, of course, to possess both capability and capacity.