Individual psychology is the psychological method or science founded by the Viennese psychiatrist Alfred Adler. The English edition of Adler’s work on the subject (1925) is a collection of papers and lectures given mainly in 1912–1914, and covers the whole range of human psychology in a single survey, intended to mirror the indivisible unity of the personality.
In developing the concept of “individual psychology” Adler broke away from the psychoanalytic school of Sigmund Freud. In this development, Adler did call his work “free psychoanalysis” for a time, but he later rejected the label of “psychoanalyst“. His method, involving a holistic approach to the study of character, has been extremely influential in later 20th century counselling and psychiatric strategies.
The term “individual psychology” (German: Individualpsychologie) does not mean to focus on the individual. Adler said one must take into account the patient’s whole environment, including the people the patient associates with. The term “individual” is used to mean the patient is an indivisible whole. (Source)