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Constraint (Theory of Constraints)

Goldratt's insight that every system's output is limited by its most constrained element—the bottleneck that determines overall throughput. The Theory of Constraints provides a five-step process: (1) Identify the constraint, (2) Exploit it (maximize its throughput), (3) Subordinate everything else to it (don't optimize non-constraints), (4) Elevate it (invest to remove the constraint), (5) Repeat (find the new constraint). The revolutionary implication: improving anything that is NOT the constraint is waste.

When to use it

When resources are limited and prioritization is critical (always); when improving one area doesn't improve overall results; when a system feels 'stuck' despite investment; when deciding where to allocate the next dollar, hour, or hire.

How it can help

At any given time, your business has one primary constraint—the thing limiting growth, output, or progress. Find it. Everything else is secondary. If your constraint is lead generation, optimizing your sales process is waste. If your constraint is engineering capacity, hiring more salespeople creates pressure without throughput. The discipline is ruthlessly identifying the ONE constraint and focusing all energy there until it's no longer the bottleneck—then finding the next one.

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