The Theory of Constraints (TOC)

The Theory of Constraints (TOC) is a management philosophy that focuses on identifying and addressing the most critical limiting factor—known as a constraint—that prevents an organization from achieving its goals. By improving or eliminating this constraint, the overall performance of the system can be enhanced. TOC emphasizes a continuous process of identifying constraints, exploiting them for maximum efficiency, and gradually addressing subsequent constraints to optimize productivity and profitability. Essentially, it’s about understanding that every system has limits, and by managing those limits effectively, organizations can improve their overall outcomes.