80/20 Principle

Focus on a Critical Few To Make Fast Decisions, Improve Efficiency, and Achieve More With Less

The 80/20 Principle asserts that there is an inbuilt imbalance between inputs and outputs, causes and consequences, and effort and result. It states that a minority of causes, inputs or effort usually lead to a majority of the result, outputs or rewards. A few things are important; most are not.

The 80/20 Principle involves a static breakdown of causes at any one time, as opposite to change over time. "The art of using the 80/20 Principle is to identify which way the grain of reality is currently running and exploit that as much as possible," advises Richard Koch.

80/20 Theory of the Firm

Apply the 80/20 Rule to Everything

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80/20 Principle Resource-based Model of Strategic Management Efficiency Improvement 80/20 PRINCIPLE - How To Achieve More with Less