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THE 20/80 PRINCIPLES

Many years ago, while working toward a business degree, I


learned about the Pareto Principle. It is commonly called the 20/80
principles. Although I received little information about this principle
at the time, I began applying it to my life. Twenty years later I find it
a most useful tool for determining priorities for any person’s life or
for any organization.

Every leader needs to understand the Pareto Principle in the


area of people oversight and leadership. For example, 20 percent of
the people in an organization will be responsible for 80 percent of
the company’s success.

The following strategy will enable a leader to increase the


productivity of an organization:

1. Determine which people are the top 20 percent producers.


2. Spend 80 percent of your “people time” with the top 20
percent.
3. Spend 80 percent of your personal developmental dollars on
the top 20 percent.
4. Determine what 20 percent of the work gives 80 percent of
the return and train an assistant to do the 80 percent less
effective work. This “frees up” the producer to do what
he/she does best.
5. Ask the top 20 percent to do on-the-job training for the next
20 percent.

Remember, we teach what we know; we reproduce what we


are. Like begets like.

-Developing the Leader Within You

BRING A 20/80 FOCUS TO EVERYTHING YOU DO TODAY.

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