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Pareto Principle
About “Pareto Chart“
Use of “Pareto chart”
Benefits of Pareto Diagram or Pareto Analysis.
Pareto chart helps to Narrow problem area or prioritize the significant problems for corrective measures.
Pareto Chart based on Pareto 80-20 rule. It means that 80 percent of the problems/failures are caused by 20 percent of the few major causes/factors which are often referred as Vital Few.
And the remaining 20 percent of the problems are caused by 80 percent of many minor causes which are referred as Trivial Many. Hence, it gives us information about Vital few from Trivial many.
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