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Pareto Analysis

Pareto Analysis is the process of using the Pareto Principle and (usually) the Pareto Chart to prioritize things requiring work.

Joseph Juran, the originator of the Pareto Analysis in quality, pointed out how this analysis highlighted the vital few things that if you addressed would give the greatest gains. He called the remainder the trivial many, although he got into trouble for calling what could still be important things 'trivial'. He subsequently renamed them the useful many.

Casuistry aside, Pareto Analysis which leads to focusing on the vital few is a key tool for quality improvement.

See also:

Pareto Chart, Pareto Curve, Pareto Principle, Pareto Pyramid, 80-20 rule, Joseph Juran, Vilfredo Pareto

Toolbook chapter: Pareto Chart

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