The phrase implies someone is acting against their own best interests, often unknowingly. He skipped team meetings and ended up cutting his own throat.
Pro Tip 2/3
Metaphorically Speaking
This phrase is metaphorical; it doesn't involve actual physical harm, but rather self-inflicted problems. Ignoring her advisor's warnings, she cut her own throat academically.
Pro Tip 3/3
Avoidable Consequences
The phrase often suggests the person could avoid the negative outcome if they acted differently. He kept wasting money and eventually cut his own throat financially.