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Objective: Using the pareto analysis in decision making at related for hypothetical in ME

department

Problem Description: Cebu institute of technology has a limited budget for improving its ME
department. The department's head, Eng. Base jr, must decide how to allocate funds to improve
student performance and satisfaction. There are several areas that need attention, but the
budget is insufficient to cover all of them. , Eng. Base jr, wants to make an informed decision
based on data.

Data:

Category Frequency Percentage Cumulative


. Percentage

Infrastructure 7 35% 35%

Equipments 6 30% 65%

Quality Assurance 4 20% 85%

Research and 3 15% 100%


development

Pareto Chart:
Analysis and decision:

The provided data represents the distribution of resources in different categories, along
with their respective frequencies and percentages. The data is structured to show both the
individual percentages and the cumulative percentages, which can be helpful for
decision-making.

First and foremost, the data shows that the majority of resources are allocated to the
"Infrastructure" category, which accounts for 35% of the total resources. This indicates a
significant investment in infrastructure, which may include facilities, utilities, and related assets.
This could be due to the need for a solid foundation to support other operations within the
organization.

Following infrastructure, "Equipment" is the second-largest category, with 30% of the


resources. This suggests a substantial commitment to acquiring and maintaining equipment
necessary for the organization's operations. This allocation could be justified if the organization
heavily relies on specialized equipment or machinery.

"Quality Assurance" and "Research and Development" receive 20% and 15% of the
resources, respectively. These categories, though smaller in terms of resource allocation, play
crucial roles in ensuring product or service quality and innovation. Quality assurance is essential
for maintaining high standards and customer satisfaction, while research and development can
foster future growth and competitiveness.

The cumulative percentages indicate that 85% of the resources are distributed among
the first three categories, leaving only 15% for research and development. This may suggest
that there is a need to reassess the resource allocation strategy. While infrastructure and
equipment are undoubtedly important, innovation and research and development are key
drivers of long-term success. To remain competitive, it might be beneficial to reallocate
resources to boost research and development efforts.

In conclusion, the data provides a clear picture of resource distribution within the
organization. To make informed decisions, it's essential to consider the strategic priorities of the
organization. While maintaining and improving infrastructure and equipment are crucial,
dedicating more resources to research and development can be a proactive step towards future
growth and staying competitive in the market. It is advisable to review the resource allocation
periodically to ensure it aligns with the organization's evolving objectives and goals.

Data source:

The data is a fictional scenario which was generated for this purpose and does not represent
any real world data, in practice data collection for such an analysis would involve surveys,
feedback and department records.
Signature:

Castillano, Jenina Faith M.

Jamie P. Gonzales

Antecristo, Allena T.

Aldwin Ajoc

Vhea Pearl S. Obiso

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