Pareto Charts Training Slides

Pareto Principle states that 80% of the situations of the problem can be traced to 20% of possible causes--A Pareto Chart, named after Vilfredo Pareto, is a type of chart that contains both bars and a line graph, where individual values are represented in descending order by bars, and the cumulative total is represented by the line. A Pareto Chart is used to graphically summarize and display the relative importance of the differences between groups of data. The purpose of the Pareto Chart is to highlight the most important among a (typically large) set of factors. In quality control, it often represents the most common sources of defects, the highest occurring type of defect, or the most frequent reasons for customer complaints, and so on. The left vertical axis is the frequency of occurrence, but it can alternatively represent cost or another important unit of measure. The right vertical axis is the cumulative percentage of the total number of occurrences, total cost, or total of th