An Evaporating Cloud, or Conflict Resolution Diagram, is a tool from the Theory of Constraints used to address and resolve conflicts by identifying and challenging underlying assumptions. It visualizes a conflict between two opposing actions or needs that stem from a common objective, which are perceived to be mutually exclusive.
By analyzing the assumptions that underlie the connections between these elements, an Evaporating Cloud helps identify solutions that satisfy both needs without compromising the objective, leading to a resolution that eliminates the perceived conflict.