E-Training

session
WHAT IS PARETO CHART?
When we need to display the relative importance of all the problems or conditions in order to;
choose the starting point for problem solving, monitor success or identify the basic cause of a
problem, we go for Pareto Chart. It is a special form of vertical bar graph which helps us to
determine which problem to solve and in which order. The data for pareto chart may be taken from
check sheet or any other data collection method. We generally gain more by working on taller bars
than tackling the smaller bars. Typical pareto charts looks like

Areas to concentrate on

Some tips for construction of the pareto chart

1. Mark the bar showing OTHERS at the last as we can not take any action on the causes for
OTHERS.
2. Concentrate on vital few rather than trivial many.
3. Mark chart clearly to show the standard of measurement, i.e. #, $, %.