The "Outer Loop" refers to a concept in software development and systems design that emphasizes the broader context in which a system operates. It involves understanding how various components interact with each other and the environment, focusing on the overall workflow rather than just individual parts. This approach helps in identifying dependencies and optimizing performance across the entire system. In the context of agile methodologies, the Outer Loop can also represent the iterative process of feedback and improvement. Teams regularly assess their progress and adapt their strategies based on user feedback and changing requirements, ensuring that the final product aligns with user needs and expectations.