Principle · Resources

Liebig's Law of the Minimum

Carl Sprengel, popularized by Justus von Liebig 1840

Formal Statement

"Growth is limited not by total resources but by the scarcest resource"

Mathematical Form

Growth = f(min(R₁, R₂, R₃, ...)) where Rᵢ represents each required resource

Description

A system's growth is constrained by the resource in shortest supply, regardless of the abundance of other resources. A plant with abundant water, sunlight, and phosphorus but limited nitrogen will be limited by nitrogen.

Biological Implication

This explains why adding more of a non-limiting resource doesn't improve growth, and why removing a bottleneck often reveals a new one. It's the fundamental law of ecological limitation and drives resource competition.

Business Implication

Companies are limited by their scarcest critical resource - which may be capital, talent, distribution, trust, or regulatory approval. Pouring more of a non-limiting resource into a system is waste. Effective strategy identifies and addresses the true bottleneck, knowing that relieving it will reveal the next one.

Tags

resourcesconstraintsbottlenecksfundamental