In production and quality work, not all problems are equal.
Some problems look big but have small impact.
Some look small but create most of the loss.
This is where the Pareto Principle helps.
The 80/20 rule says that 80% of problems come from 20% of causes.
If we identify and control that 20%, most of our issues reduce automatically.
What Pareto Really Means on the Shop Floor
Pareto is not theory.
It is a decision-making tool.
Every day in manufacturing, we see:
Many defect types
Many breakdown reasons
Many customer complaints
But when we check data carefully, we notice a pattern: Only a few reasons repeat again and again.
Pareto helps us find those repeating reasons instead of guessing.
How to Use Pareto in a Practical Way
First, collect data. Not one day data, but at least 1 to 4 weeks.
Without data, Pareto is useless.
Then:
Group similar problems into categories
Count how many times each problem occurred
Arrange them from highest to lowest
Calculate percentage and cumulative percentage
The problems that fall within 80% line are your main focus areas.
These are the problems that deserve time, manpower, and corrective action.
Simple Production Example
Suppose you collect defect data for one month.
You may see:
Wrong size defects happening again and again
Scratches appearing frequently
Other defects like dent, burr, or minor issues happening rarely
Pareto will clearly show that wrong size and scratch are creating most of the rejection.
Instead of shouting on operators or increasing inspection everywhere, you now know where to act.
This saves time and gives fast results.
What to Do After Pareto
Pareto does not solve problems by itself.
It only shows where to work.
After Pareto:
Do 5 Why analysis on top causes
Use fishbone diagram if needed
Assign clear responsibility
Take simple, practical actions
Review results after 30 days
If actions are effective, the same Pareto chart will look different next month.
That is improvement.
Where Pareto Can Be Used
Pareto is useful in many areas:
Defects and rejection
Machine breakdown reasons
Downtime analysis
Rework causes
Supplier quality issues
Customer complaint types
Material wastage
Safety incidents
Anywhere there is data, Pareto can guide action.
Final Thought
Many teams work hard on all problems and get tired.
Smart teams work on important problems and get results.
Pareto teaches one simple habit: Do not fight everything.
Fight what matters most.
In production, focus is power.
Pareto helps you focus.
