Vilfredo Pareto (1848 - 1923) was one of the largest Italian economy has been as you can see why he died in 1923, but his ideas and in particular what is called the "80/20 law" or "Pareto Principle" is still valid and shows a clear key to understanding the reality.
Let me explain.
Pareto in 1897, studying the distribution of income, showed that in a given region only a few individuals possessed the most wealth.
This observation inspired the so-called "80/20 law", which possimao summarized as follows: " most of the effects is due to a small number of cases .
According to the "80/20 law" (values \u200b\u200b80% and 20% are obtained by empirical observations of many phenomena and are approximate), in typically 80% of the results depends on 20% of cases. This principle can have various practical applications in various fields, such as:
- economy: 80% of the wealth is owned 20% of the population (but of course actual values \u200b\u200bvary between countries and periods). Or: 20% of the sellers is 80% of sales, and the remaining 80% of trade is only 20% of sales.
- quality: the 20% of the possible types of failure in a production process generates 80% of total non-compliance. Or 80% of complaints come from 20% of customers.
- information: 80% of the execution time is used by only 20% of the instructions of a program. Or 80% of user operations are due to 20% of the features available to an application. 80% of coding errors can be attributed to 20% of the modules. I want to add
- everyday life : 80% of daily time (I keep MOOLTO below), is a dediacato things we need but we do not want to do, while we devote only the remaining 20% to our interests, and someone wants to denial?
Besides, I feel free, and so those who want to participate, to express opinions on the matter, without ever transcended by education and by the rules of civilized behavior.
[about Pareto taken from Wikipedia.it]
0 comments:
Post a Comment