phenomenal discovery of the famous Italian sociologist and economist Vilfredo Pareto was done by analyzing the distribution of wealth in Italy, in which Pareto found that the country's 80% of all the wealth belongs to 20% of the population.Curiously, around the same time, the American official, the future "father of the theory of quality management" Joseph Juran, also came to the conclusion that such a relationship has some regularity, but his conclusion he formulated on the basis of observation of the harvest of peas, where 20% of the bushes were given80% of the crop.Actually, and the term "Pareto principle" belongs to him, he gave this name in honor of Vilfredo Pareto.
Italian scientist extended the scope of this principle in other areas, but most importantly, he has gained its importance as the Pareto principle in the management of which is that 80% of productive activity, people spend only 20% of the time.With this numerical expression Pareto principle it is still referred to as the "80/20 rule."In philosophical terms, this means that the causal efficacy is distributed as follows: 20% of the reasons given by those most 80% of the result of activities, and on the contrary, 80% of the causes, only 20% of the results.At first glance, this ratio seems paradoxical, it is hard to imagine that 80% of the time, for example, spent almost without bringing any results.However, the subsequent statistical analysis showed the proportion of its high reliability.Due to the fact that such a principle can be applied to assess the quality of work, reflecting the Pareto principle, the effectiveness of various orders in a fairly wide range of activities.
analysis to determine the proportions of the main directions in which it can show itself in different ways.Those two areas.
First, the Pareto principle encourages the search for the most 20% of the causes that give 80% success rate.
Secondly, the 80/20 rule motivates the search for the reasons why most of the time spent does not give result.
However, use in practice, this principle should be cautious, as it is necessary selective when choosing the object of study.Otherwise, a straightforward abuse of the principle can lead to incorrect conclusions.Rational application of the principle provides for its inclusion in any analysis system that allows you to assess the need for complex objects and phenomena.For example, if you work at a place where your wages are determined by management once and for all, or a long period, then you just make up those same 80% that give only 20% efficiency.The reason for this lies in the fact that no matter how you work, your performance will not be stimulated by rising wages.
Apply the Pareto principle is very useful in the modern management.The rationale for this conclusion is that only 20% of the time we use on significant, the remaining 80% is spent on activity that benefits neither the company nor the employee himself.Moreover, in many cases, it is the most "useless time" is put in a different kind of manufacturing procedures (bureaucracy, wrong clerical logistics, violation of relationships with partners, etc.).The meaning and use of the principle of derivation, which follows naturally from this application, is that it is necessary to focus the full potential of the company on those 20%, which form 80% effective results.
80/20 Principle can be used successfully in business, which must be very critically examine its structure, partnership and, if necessary, develop a new strategic model development.Roughly the same can be suitable for use in the marketing rules, services and investment activities.
Note that the study of any activity, the manifestations of this proportion can be seen almost everywhere, down to family relations.Therefore, the most important in deciding whether or not to use the Pareto rule, decide that for you is a priority and the most important.
