Conceptually, the term means putting no more work into a work center than it can be expected to execute. Master Scheduling with Available-To-Promise and associated Rough-Cut Capacity Planning, is fundamentally a finite loading technique, and is very effective.
However, the specific term Finite Loading usually refers to a computer technique that involves automatic priority revision in job shop schedules for components, in order to level the workload operation by operation. Successful applications of this kind of finite loading are difficult to find. These kinds of automated computer techniques are not recommended because they tend to fence out human judgment and knowledge of the business, and drastically weaken accountability.