How Great Entrepreneur Use Pareto Principle to Get Quick results?

Pareto Principle
Pareto Principle

Many of you heard the Pareto principle but did you actually know what is Pareto principle is and the advantages of the Pareto principle, many of you know don't really know what Pareto principle or 20 80 rule.

Mainly 20 80 rule is used in business and economics but you can use it on any given problem are solving, generally, I use the Pareto principle in time management which gives me efficient time management.

Pareto principle and 20 80 rule make the same concept so don't confuse yourself, below on the blog we going to use both terms.

So let's dive right into it,

What is Pareto principle?

A simple definition of the Pareto principle serves generated results between input and output, suppose 80% of your outputs depend upon 20 % of input.

Economist Vilfredo Pareto observes this phenomenon and named after his results called 20 80 rule or Pareto Principle.

How to Use Pareto Principle :

By applying the 20 80 rule you can achieve problems solutions based on numbers such as profit and loss, high and low maintenance clients,

So let's see how to use Pareto Principle,

1. Understand and identify your problem.

2. List down your problems pretending you have many causes.

3. Score your problem means to give priority to each problem plus see how much this problem cause.

4. You can ask for feedback to most cause issues in other senses.

5. By giving priority to the problem number, you can focus on the highest-scoring problem and develop an action plan to get rid of it.

Application of Pareto principle :

As a Productivity blogger, I'm going to give you a simple set of questions that will help you to know what 20 80 rule applications on blog traffic,

Ask questions to yourself according to which industry you are working on,

1. Which 20% of the audience do I wish to reach.

2. Where are my 20 % Audience that gives me 80% of the results.

3. In terms of blogs 20% of blogs are generating the highest number of Organic traffic.

So I realize most of the audience comes from Facebook therefore I rearrange my focus by targeting the audience on Facebook.

Plus Later in stats, I observed people are viewing the Procrastination blog more than any other which helps me create more content on procrastination.

Advantages of the Pareto Principle :

The Advantage of Pareto principle 20 80 rule is you can Eliminate what takes more errors and time, plus we are the one who tries to minimize time waste,

In Bussiness, you can try to eliminate errors that cause most of the problems because eliminating the root causes is the main priority here.

Disadvantages of the Pareto Principle :

The Main Disadvantage of the Pareto principle is that the Pareto principle only provide a problem, or issue but doesn't provide you solution of the problem,

The Pareto principle can give you a problem statement in number form, not in theoretical form.

Plus Pareto principle focuses on past information, such as what causes the problem or how many problems are there, generally, it doesn't give you a clear idea of if past information is going to predict future outcomes.

Conclusion :

By applying the 20 80 rule to blogs you can understand your audience and what 20% of the audience you should target.

But as we see in disadvantages it doesn't apply to every scenario and the past doesn't always predict the future, therefore the Pareto principle is not as important.

Now if you are here then let me consider you that you fully know what the Pareto principle is.

You may also like :

1. Learn the Science of motivation to stay motivate.

2. Simple Psychology to find Ambition in life

3. Simple guide to Timeboxing | Abhishek Patil life blogs | Elon musk

Resources :

1. Pareto-analysis
2. 80-20 rule

FAQs :

1. Why is Pareto's principle important?

In business and economics, Pareto principle is considered most important because it focuses on which areas make your efforts and resources work in a way to increase your efficiency.

2. How does the 80/20 rule work?

80/20 Rule works on a simple basis which is what 20 % of my work gives me 80% of results, so it's easy to focus on what's working rather than trying to work what's not working.

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