Saturday, January 10, 2009

Pareto Principle

Today, I am studying Six Sigma from the skillSoft which I downloaded from myLearning. This is an interesting sharing about Pareto Principle.

Pareto Principle, also known as very famous rule- 80/20 rule, The law of vital few.

Pareto Principle is named after a famous Italy Economist- Pareto Vilfredo. He is the one observe 80 percent of income went to 20% of population.

However, in project management, we need to understand one thing- 20% effort to drive 80% of return.

In Computer Science, 20% of defeats cause 80% of error.