Method
As a basic approach, you can list out all the actions that you can potentially take to reach a goal and then rank them according to impact. The Pareto principle predicts that the top 20% of items on a complete list will produce 80% of the results.Basis
The Pareto principle is popular in a number of fields because it can often be seen in observed data. For example, it is often said that 20% of customers represent 80% of profits.| Overview: Pareto Analysis | ||
Function | Time ManagementStrategyProject ManagementProductivity | |
Value | Prioritizing actions that have the most impact. | |
Pareto Principle | The following are a few commonly claimed business rules of thumb that are based on the pareto principle.20% of bugs cause 80% of errors 20% of products generate 80% of sales20% of business hours produce 80% of sales | |
