Think of it this way. Your tank (its occupants, how much you feed, etc.) produces a certain amount of waste. If you have enough biological filtration, you are cycled. You could have, just to illustrate the point, 1000 pounds of Matrix and a single goldfish, but the bacteria needed to process that goldfish's waste would be exactly the right amount regardless of the amount of media or flow...because your would only be feeding that population. If you were to added another goldfish to the system the amount of waste (bacteria food) would go up and the bacterial population would too, and would have no trouble keeping up with this modest increase in food supply. Adding 100 goldfish, though, would mean that despite how much surface area (the Matrix) they have, and the sudden abundance of food (ammonia and then nitrite), the bacterial population would not have enough time to grow to keep levels at zero. They would get there eventually but in the meantime that bad stuff would accumulate and kill your fish.
But to get to your question, I guess, more directly, under filtration would be where the bacteria do not have a place or the flow to process the waste, no matter how much time and food/waste you give them. So, a goldfish in a bowl with no flow or biomedia would have some bacteria on the surfaces, but not enough to process the waste fast enough. So it is underfiltered and the ammonia acculumates and the fish dies.