A system bottleneck occurs when a component of a system limits the overall performance or capacity. This can happen in various contexts, such as computer networks, manufacturing processes, or software applications. When one part of the system is slower or less efficient than others, it creates a "bottleneck" that slows down the entire operation. Identifying and addressing bottlenecks is crucial for improving efficiency. Common causes include inadequate hardware, inefficient algorithms, or high demand exceeding capacity. By optimizing or upgrading the bottleneck component, organizations can enhance performance and ensure smoother operations across the entire system.