The Theory of Constraints (TOC) is a management philosophy developed by Eliyahu M. Goldratt that focuses on identifying and addressing the limiting factor, or constraint, that hinders an organization from achieving its goals. According to TOC, every system has at least one constraint that determines its overall performance. By systematically identifying, exploiting, and elevating this constraint, organizations can improve their efficiency and effectiveness. The approach emphasizes a continuous improvement cycle, encouraging businesses to streamline processes, optimize resource allocation, and ultimately enhance throughput. This methodology is widely applied in manufacturing, project management, and supply chain operations to drive significant improvements and sustain competitive advantage.
the theory of constraints
