What does "Bottleneck analysis" focus on?

Bottleneck analysis is a technique used to identify the specific step in a process that limits overall throughput or performance. By focusing on the bottleneck, organizations can gain insights into where improvements are needed to optimize efficiency and increase the flow of work through the entire system. This step is critical because enhancing performance at the bottleneck can lead to significant gains in throughput and can help to balance the workflow throughout the entire process.

In contrast, identifying additional resources needed for a project relates to resource allocation rather than process optimization. Analyzing employee workloads for balance looks at distribution of tasks among team members rather than pinpointing process limitations. Evaluating market demand for products does not pertain to internal processes and therefore is unrelated to bottleneck analysis, which focuses solely on optimizing operational efficiency.