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Several departments within an organization have implemented changes that improved their departmental results. However, the organizational results are decreasing. Which of the following concepts describes this situation?
Correct Answer: C
The situation where several departments within an organization have implemented changes that improved their departmental results, but the organizational results are decreasing, can be described by the concept of Theory of Constraints . The Theory of Constraints focuses on identifying and addressing bottlenecks or constraints that limit overall system performance. In this case, the improvements in individual departments may not be synchronized or aligned with the overall organizational goals, leading to suboptimal results at the organizational level12.