In 1906, Italian economist Vilfredo Pareto created a mathematical formula to describe the unequal distribution of wealth in his country, observing that twenty percent of the people owned eighty percent of the wealth.
The 80/20 Rule means that in anything a few (20 percent) are vital; and many(80 percent) are trivial. In Pareto’s case it meant 20 percent of the people owned 80 percent of the wealth.
Other examples are as follows:
80% of your profits come from 20% of your customers
80% of the value of stocks in the warehouse comes from 20% of the items in the warehouse
80% of your complaints come […] Read more