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Pareto Principle
 

The Pareto principle was originated by an Italian economist, Vilfredo Pareto, who found that 20% of the population owned 80% of the resources. This principle applies to many phenomena, in process improvement it is often found that 80% of problems will result from 20% of the causes. Sometimes expressed as ‘The vital few and the trivial many’.

The Pareto principle is used in the Pareto Chart.

 

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