80/20 Rule – Lean Six Sigma Moneybelt

Improvement Insights Blog

Posts tagged "80/20 Rule"

Juran and the Pareto Principle

Juran borrowed the work of Vilfredo Pareto to describe the uneven distribution of defects. Vilfredo focused on wealth. Juran expanded it to defects. And I narrowed and expanded it to include almost anything. Here’s what it means to you:



“Hi, I’m Jay Arthur, author of “Lean Six Sigma For Hospitals” and the QI Macros [software].

“I was rereading Juran, and he was talking about how he misnamed the Pareto Principle but then it stuck. When he was in his mid-20s, as a young engineer he observed that quality defects are unequal in frequency. They seemed to just be in specific places, and so on.

Posted by Jay Arthur in Improvement Insights.

Drill Down to the 4-50 Rule to Get Results

You don’t have to fix everything, just the one thing out of 25 that causes over half the waste, rework and lost profit.



“Hi, I’m Jay Arthur, author of “Lean Six Sigma Demystified” and QI Macros [software].

“I’ve talked to you about Pareto’s rule before, but I continue to come back to this time and time again: 20% of what you’re doing is producing 80% of the waste, rework, lost profit, [lost] productivity, patient harm… whatever it is. But within that 20% that Pareto rule still applies, which means that only 4% of what you’re doing is producing over half the mistakes and errors.

Posted by Jay Arthur in Agile Lean Six Sigma, Data Mining, Improvement Insights, QI Macros.