Allosteric modulation refers to the process by which a molecule binds to a site on a protein, distinct from the active site, leading to a change in the protein's shape and function. This binding can enhance or inhibit the protein's activity, allowing for fine-tuned regulation of biological processes. This mechanism is crucial in many biological systems, including enzyme activity and receptor function. Allosteric modulators can be naturally occurring molecules or synthetic drugs, and they play a significant role in pharmacology, particularly in the development of targeted therapies for diseases like cancer and diabetes.