Question

List ten examples of Pareto Principle in business not discussed in the lecture and provide the reference of each example

Answer 1

In 1906, Italian economist Vilfredo Pareto noted that 80% of Italy's land was owned by 20% of the people.

The 80:20 ratio of cause-to-effect became known as the Pareto Principle.
Pareto principle is a prediction that 80% of effects come from 20% of causes.

1. 20% of employees are responsible for 80% of the results

2. 20% of software development efforts account for 80% of the program’s functionality

3. 80% of problems originate with 20% of projects

4. 80% of work is completed by 20% of your team

5. 80% of software problems are caused by 20% of bugs

6. 80% of customers only use 20% of software features

7. 80% of sales come from 20% of your products

8. 80% of your complaints come from 20% of your customers

9. 80% of sales come from 20% of your salespeople

10. 80% of sales come from 20% of your clients