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MBA Boot Camp: Process Thinking & Bottlenecks (6.2)
Alex LeClair Alex LeClair

MBA Boot Camp: Process Thinking & Bottlenecks (6.2)

In the 1980s, Eliyahu Goldratt introduced The Theory of Constraints. The core idea is simple but profound: Any system is only as fast as its slowest bottleneck.

Imagine a coffee shop:

  • Step 1: Cashier takes the order (Capacity: 60/hour)

  • Step 2: Barista makes the coffee (Capacity: 30/hour)

  • Step 3: Server hands it to the customer (Capacity: 60/hour)

The throughput of this entire shop is NOT 60 coffees an hour. It is exactly 30. The barista is the bottleneck. If you hire a second cashier to take orders faster, you haven't helped the business at all; you've just created a massive traffic jam of angry customers waiting for the barista. To improve the business, you must improve the bottleneck.

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