6Sigma Tools: Pareto Analysis
The Pareto principle, most commonly known as the 80-20 rule, is known by business owners as the simple fact that 80% of your problems are caused by 20% of the people. Really the theory was about wealth and power distribution, but the general premise applies. Most of your issues can be attributed to a fairly small distribution […]
Using the Pareto Chart
You hear about this rule all the time from management, human resources and just about any business guru you can think of, so what exactly is it and how do you use it? The Pareto Chart, based on the Pareto Rule (commonly called the 80/20 rule), is an economic distribution principle named after Italian engineer […]
