Industrial Engineer Engineering and Management Solutions at Work

January 2012    |    Volume: 44    |    Number: 1

The member magazine of the Institute of Industrial and Engineers

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Revisiting Pareto in manufacturing

Revising your charts can provide clear communication to managers

By Michel Baudin

The Pareto principle also is known as the 80/20 law, the law of the vital few and the trivial many, and ABC classification. It is a simple yet powerful idea, generally accepted but still underutilized. It applies to quality defects in manufacturing, market demand, the consumption of components during production and item quantities in warehouses.

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