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Monday, August 24, 2020

Perform Quick Pareto Analysis in Excel


A Pareto analysis tries to find out what variable are responsible for the bulk of the outcomes. It's referred to as a Pareto Principle or the 80/20 rule. The concept can be expressed with the saying that 80 percent of the wealth is owned or created by 20 percent of the population. Though in real life data may not fit tightly in the 20 percent, the idea of Pareto is that a small number of variables have a disproportionate ownership or cause of an outcome. This video show how to quickly find out from your data what variables are responsible for the "80%" in your data using Excel.

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