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80/20 Rule (aka 80:20 Rule or 80 20 Rule)
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By Kerri Simon Vilfredo Pareto was an economist who is credited with establishing what is now widely known as the Pareto Principle or 80/20 rule. When he discovered the principle, it established that 80% of the land in Italy was owned by 20% of the population. Later, he discovered that the pareto principle was valid in other parts of his life, such as gardening: 80% of his garden peas were produced by 20% of the peapods. Some Sample 80/20 Rule Applications 80% of process defects arise from 20% of the process issues.20% of your sales force produces 80% of your company revenues.80% of delays in schedule arise from 20% of the possible causes of the delays.80% of customer complaints arise from 20% of your products or services.
(The above examples are rough estimates.)Related References Vilfredo Pareto HistoryPareto Chart
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