This is a statistical analysis method that helps decide priorities between several actions to be taken. The basis is that there are about 20% action which when executed gets you 80% of the results. In QA this is used to identify the 20% of causes that create 80% of the problems.

The Pareto Principle, also known as the 80/20 rule, is a concept applied in various fields, including project management. Here’s how you can explain it:

The Pareto Principle states that roughly 80% of the effects come from 20% of the causes. In project management, this principle suggests that a significant portion of the outcomes or problems within a project can often be traced back to a small number of key factors or activities. Conversely, a large number of activities may only contribute a minor portion of the overall results.

For example, in a software development project, it’s common to find that 80% of the errors or bugs originate from 20% of the codebase, or that 80% of project delays are caused by 20% of the tasks.

Understanding and applying the Pareto Principle in project management can help project managers focus their efforts and resources on the most critical areas that have the greatest impact on project success. By identifying and addressing the vital few factors, project managers can prioritize tasks more effectively, allocate resources efficiently, and ultimately improve project outcomes.

In practical terms, project managers can use Pareto analysis to identify the key contributors to project success or failure, prioritize tasks or issues accordingly, and allocate resources in a way that maximizes their impact. This analytical approach helps in streamlining project management efforts and achieving better results with limited resources.