Estimates of agents in a distributed consensus control are aligned with a particular value through interacting on communication graphs, which are of particular interest for researchers in the field of multi-agent coordination. Following this pattern, a discrete-time constrained consensus issue with generalized time delays is first established in this article, which is manipulated into an optimization problem via a quadratic performance index introduced as a global objective function. Then, a novel consensus scheme is investigated and proposed for handling this problem, enabling the consensus to approach the desired state globally and rapidly with optimal system property ensured. Besides, to advance the convergence speed and stability in resisting constant bias or oscillation, an adjustment control method is explored to construct a modified consensus scheme; further, to enhance the scene adaptability, fix topologies are extended to switching ones, and the latter is involved to develop another scheme on this basis. Moreover, the convergence and robustness of these three proposed consensus schemes are substantiated by theoretical analysis and numerical simulations. To highlight the practical implementations, the proposed consensus schemes are incorporated with a winner-take-all operation to accomplish multi-agent competitive coordination in a distributed way, and the results embody their effectiveness and superior consensus control ability, along with strong plasticity. <italic xmlns:mml="http://www.w3.org/1998/Math/MathML" xmlns:xlink="http://www.w3.org/1999/xlink">Note to Practitioners</i> —This paper is dedicated to investigating and optimizing distributed consensus schemes with time delays and output saturation with application to the competitive coordination of multi-agent systems. On the one hand, the consensus problem with output saturation receives limited attention, and few consensus algorithms consider both saturation limitation and channel gain. On the other hand, most existing studies on consensus with saturation consider simply the dynamic behaviour of agents without employing optimization, thus limiting further improvement of system performance. In this paper, a consensus algorithm is built from an optimization perspective that guarantees the state consensus of a multi-agent system with output constraints and generalized time delays. In addition, a consensus scheme is designed in a discrete-time framework and further modified and perfected along with the idea of considering time delays and expanding diverse topologies. Finally, experiments are conducted by applying the consensus scheme to a winner-take-all operation, with contributions of this paper verified.