The 80/20 rule is not a formal mathematical equation, but more a generalized phenomenon that can be observed in economics, business, time management, and even sports. General examples of the Pareto principle: 20% of a plant contains 80% of the fruit. 80% of a company's profits come from 20% of customers.
What are some fun examples of the 80/20 rule?
- 20% of the websites you visit deliver 80% of the value
- 20% of your magazine subscriptions bring you 80% of the fun
- 80% of the pleasure comes from 20% of the TV shows you watch
What is the 80 20 law?
- The 80-20 rule, also known as the Pareto Principle, is an aphorism which asserts that 80% of outcomes (or outputs) result from 20% of all causes (or inputs) for any given event. In business, a goal...
What does 80 20 rule mean?
- What is the 80-20 rule? The 80-20 rule is the principle that 20% of what you do results in 80% of your outcomes. Put another way, 80% of your outcomes result from just 20% of your inputs. Also known as the Pareto principle, the 80-20 rule is a timeless maxim that’s all about focus.
What are the applications of 80/20 rule?
- In the other hand, following are different applications of 80 20 rule in our normal life: The richest 20% people in the world have 80% of worlds income. In 2002, Microsoft reported that 80% of the errors and crashes in windows and office are caused by 20% of the bugs involved. 80% of the time spent on the phone was useless. ... In the US, 20% of the patients use 80% of the health care resources. More items...