The 80/20 Rule for Managers

Pareto Principle > Best Practices

The 80/20 Rule for Managers
Vasiliy Smetanin, CEO, Dominican Republic, Member
To organize their working process well, and to complete tasks effectively, managers use a big variety of resources including finances, social and time resources. Obviously the environment is never perfect, and your success depends on your ability to rationalize the way of using the funds available.
One important thing you should understand: being busy doesn't always lead you to your aim, the result you get depends on the QUALITY of the things you do, NOT on their AMOUNT. The way you plan your work and the tasks you include into your to-do-list can make a big difference.

Probably you have already heard about the law of imbalance or the 80/20 rule. Also called: the law of the vital few, or the principle of factor sparsity. All the names refer to the Pareto Principle.
- It was discovered in the 19th century by an Italian economist Vilfredo Pareto. Studying the distr...Sign up

Pareto Unleashed in Maintenance
Charles Palmer, Consultant, South Africa, Member
I found mid way through my career that this principle can be applied to virtually every situation I encountered. 20% effort in the right place, produc...Sign up

Pareto Principle in Telecom
akosua hodey, Manager, Ghana, Member
In the telecom sector where I work we have found this principle to be so very true. 20% of our customers yield about 80% of our revenue. The challenge...Sign up

Pareto Principle as Tipping Leadership
Andy Radka, Director, United Kingdom, Premium Member
Great principle - I have used it as 'Tipping Leadership' in learning programmes for a number of years.
What is Tipping Leadership?
In a nuts...Sign up

Pareto Principle for Managers
MdL Mario TERRALAVORO, Interim Manager, Italy, Member
The Pareto Law or 80/20 is well known. It's a very good way to examine problems in the managerial area. But you need a lot of data to make a st...Sign up

80/20 Rule for Managers
R.S. MATHUR, Teacher, India, Member
As a busy manager saddled with a myriad of problems and issues, I found this tool very effective in ensuring optimal performance - but definitely shor...Sign up

Pareto Principle and Productivity
Oluwaseyi Solomon, Partner, Singapore, Member
Actually, this is clearly understood in the line of productivity. I just realized that 20% of us in our company actually delivers the expected results...Sign up

Pareto Principle is Setting and Working on Priorities
Rahma, Student (MBA), Member
Knowing your priorities and working on them definitely will safe your time and energy used. The 20% of what you recognised as highly priorities is eno...Sign up

Should Managers Focus on 80:20 or on 99:1?
Rudolf Burkhard, Management Consultant, Germany, Member
The 80:20 rule applies when working with INDEPENDENT ENTITIES. Much of management is working within the business system (your business) where everythi...Sign up

The 80% is Usually not Appreciated by the Customer!
Bruno Perboni, Consultant, Italy, Member
We have to consider another interesting point: if you aim for the 100% in your work to obtain a very high quality as a result, very often the customer...Sign up

80:20 Interdependence
Andrew Blaine, Business Consultant, South Africa, Member
Have you not found that unless you complete the 80% you cannot realise the benefits from the 20%? I have and have also found that unless the 80% is do...Sign up

Interesting and Inspiring Discussion
Kurt Ludikovsky, Consultant, Austria, Member
What I 'feel' from the replies, is that the principle seems to be taken, but too less is considered what the output should be. Pareto discovered that ...Sign up

Pareto Principle 20/80 in Telecom Procurement
Nihad Almahrooq, Consultant, Saudi Arabia, Member
I applied this founding principle on procuring telecom products and found it works. 80% of the project spends went into 20% of the projects. Therefore...Sign up

Management is 100%!
ALLAIN, Entrepreneur, France, Member
Management is a behavior of 100% as leadership is too. 80/20 is a tool or method but it should not be a management principe. I have seen too many time...Sign up

Tripping Leadership
Vasiliy Smetanin, CEO, Dominican Republic, Member
@Andy Radka: Andy, Thank you. Could you explain what is Tripping Leadership? I found a book in Amazon about it, but w...Sign up

Pareto Principle Defines your Success as a Manager
Margaret Au, Interim Manager, Hong Kong, Member
One might say that The capability of prioritizing the top 20% defines whether an individual has the q...Sign up

Pareto Principle in Mining Industry
Abderrahman ARAFAN, Consultant, Morocco, Member
Thanks a lot for giving me another reason to think about this so useful issue. During my career as mineral processing engineer and now as a consultant...Sign up

I Use Pareto for Communication and Stock Control
john masavi, Accountant, Member
I have used the Pareto concept in communication and stock controls:
- I talk only 20% of the time and listen to my employees, customers for 80% o...Sign up

80/20 Rules for Managers
harminder mohan, HR Consultant, India, Member
I have experienced this rule in many areas whether it is routine HR practice or a specific intervention we are talking about.
20% of core time sp...Sign up

80/20 Rule - The Law of Imbalance
unwana ukwak, Student (University), United Kingdom, Member
The law of imbalance can be an efficient tool in management, yet, the focus of managers should not address the imbalance by having a clear preference ...Sign up

80/20 Thinking for Managers
K.Narayana Moorthy, HR Consultant, India, Member
The 80/20 Pareto Principle asserts that there is an in-built imbalance between inputs & outputs; causes & consequences; and effort & result.
It s...Sign up

80/20 Customers Rule for Managers
Nangolison Benego, Accountant, Uganda, Member
The Pareto principle of customer analysis is commonly used in business circles. Emphasis is placed on the 20% that contributes 80% of the revenues (or...Sign up

80/20 the Paradoxical Theory of Change
Monika Ecimovic, HR Consultant, Croatia, Member
There has to be an awareness within the system that an alienated fragment exists (the 80%); next that fragment is accepted as a legitimate outgrowth o...Sign up

The Paradoxical Theory of Change
Jaap de Jonge, CEO, Netherlands, Editor
@Monika Ecimovic: Thanks, Could you please explain a bit more what you mean?
- What do you mean by an "alienate...Sign up


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