Bottleneck definition

What is a Bottleneck?

A bottleneck is an operation that is already operating at its maximum capacity , and so cannot accept any additional work beyond its current production level. A bottleneck is the key issue that interferes with the ability of an enterprise to increase its sales and profits . The term refers to the narrow neck of a bottle, where the flow of fluid is most likely to be constricted.

Bottleneck Management

The effects of a bottleneck can be reduced by the following means:

  • Increasing capacity . Additional staffing and equipment could be acquired to expand the capacity of the bottleneck.

  • Outsourcing work . Shifting work to a third party keeps processing away from the bottleneck operation.

  • Reconfiguring products . Products can be redesigned to require less processing time in the bottleneck operation.

  • Maximizing the efficiency of the bottleneck . This can include overstaffing the bottleneck, running second and third shifts, and keeping a dedicated maintenance staff nearby.

Terms Similar to Bottleneck

A bottleneck is also known as a constraint .

Related AccountingTools Course

Constraint Management