Theory Of Constraints (Toc) Definition

Theory of Constraints is a management philosophy that was developed by Eliyahu Goldratt in the 1980s. The theory states that every system has at least one constraint, and that the goal of any organization should be to identify and manage these constraints in order to improve the overall performance of the system.

The Theory of Constraints provides a framework for thinking about how to improve systems, and has been applied in a variety of industries including manufacturing, healthcare, government, and software development. In recent years, there has been increasing interest in using the Theory of Constraints to understand and improve complex systems such as supply chains and financial markets.