What is meant by Pareto analysis?
The "Pareto analysis" is a method for prioritizing problems or causes based on the Pareto principle or the 80/20 rule. This method assumes that approximately 80% of problems are caused by 20% of the causes. The Pareto analysis involves collecting data on various problems or causes, categorizing and prioritizing this data according to their frequency or impact, and focusing on those that have the greatest influence. This allows resources to be allocated more efficiently to address the most important issues and achieve the greatest improvements.
Typical functions of software in the "Pareto analysis" domain could include:
- Data analysis: The ability to collect and analyze data on problems or causes to determine their frequency or impact.
- Graphical representation: Presenting the results of the Pareto analysis in the form of charts or graphs to visually highlight the most important issues.
- Prioritization: The capability to prioritize problems or causes based on their impact or frequency to focus attention on the most critical ones.
- Filtering and drill-down features: Tools for filtering and detailed analysis of data to examine specific areas more closely.
- Export and reporting: The ability to export results of the Pareto analysis and generate reports to share with others or further analyze.
- Automation: Automation of processes for data collection and analysis to make the analysis process more efficient.