Flow efficiency is the *cycle time divided by the total lead time* - with an optimal system having no wait time. To improve flow efficiency, follow these five steps from the **Theory of Constraints** (as described in “The Goal”, by Eli Goldratt): 1. Identify the constraint through Value Stream Mapping. 2. Exploit the constraint by extracting as much value from it as possible and improve the utilization of that particular resource. 3. Subordinate everything else to the constraint, leading to reduced wait times before and after the constraint. This can include improving upstream quality and reliability of the inputs to the constraint. 4. Elevate the constraint by increasing the capacity of the constraint: Improve the workstation (via automation) or increase the headcount, for example. 5. Prevent inertia from settling in by repeating the improvement process continuously. The most important tool to improve flow efficiency is to **limit the work in progress** (WIP): - The team's attention is less fragmented with less WIP, leading to more cohesion and collaboration. - Bottlenecks become more visible and easier to address. - Limiting WIP leads to more predictable workflows and easier prioritization. - Limiting WIP lowers the risk of distractions and cognitive load.