Have you heard of the 80/20 Rule? This Rule is based upon the Pareto Principle. Watch this 2-minute video Links to an external site.to see how the Pareto Principle applies not only to business but also to your personal life.
VIDEO LINK: https://www.youtube.com/watch?v=zPoA6dzKmtg
The Pareto Principle is used for quality assurance and focuses on the 80/20 Rule. A Pareto Chart Analysis visually identifies the most important contributing factors, the most occurring defects, or the most common problems. We call these the vital few.
This Pareto Principle, or 80-20 Rule, says 80% of the effects stem from 20% of the causes. Although the actual numbers may be different from case-to-case, the Pareto Principle is a guiding principle used in business for the following:
