A Pareto chart is a graphical tool that allows manufacturers to identify the most significant problems across the shop floor using quantifiable data. It often identifies the top few issues that cause 80% of the pain.

Pareto charts are based on the Pareto principle – otherwise known as the 80/20 rule –, which states that 80% of outcomes originate in 20% of causes. In manufacturing terms, we can rephrase that by saying that 80% of all defects will generally be caused by 20% of defect categories.

If you're looking for ways to reduce downtime in your manufacturing process, Pareto analysis is a great tool to help you identify the most important areas to focus on. The Pareto principle, also known as the 80/20 rule, states that 80% of the effects come from 20% of the causes.

A Pareto analysis, also known as the 80/20 rule, is used to identify the most common causes for an impact to occur and then to optimize them at best.