pareto analysis tool

Trivial many

Vital few

FICCI CE

Pareto analysis

The Pareto principle is to concentrate on “vital few” rather than “trivial many” in tackling quality problems.

The Pareto diagram is a tool for identifying few actually important causes for defectives which result in large proportion of defectives, instead of concentrating on large number of causes which contributes to a small proportion of the total defectives.

FICCI CE

80 : 20

A term referring to the Pareto principle, which was first defined by J.M. Juran in 1950. The principle suggests most effect come from relatively few causes; that is 80% of the effects come from 20% of the possible causes.

FICCI CE

Constructing a Pareto chart

A Pareto diagram is a bar chart of number of defectives with bars representing the number of defectives due to different sources arranged in descending order of their importance. A line graph of cumulative number of defectives (Ogive) is also drawn in the same chart. The causes are given along the x axis, the number of defectives are given on the left y axis and the cumulative %defectives is given along the right y axis.

FICCI CE

Constructing a Pareto chart

Data on defective cords

S No. Source of defectives No. of Percentage defectives defectives

1 Wrong Ply TPM 75 252 Plyless Feeding 150 503 Single end 30 104 Wrong Cable TPM 45 15

Total 300 100

FICCI CE

Arranging data in descending order

Data on defective cords

S No. Source of defectives No. of Percentage Cumulative defectives defectives % defectives

1 Plyless Feeding 150 50 502 Wrong Ply TPM 75 25 753 Wrong Cable TPM 45 15 904 Single end 30 10 100

Total 300 100

FICCI CE

Pareto analysis of defective cords

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0%Plylessfeeding

Wrong plyTPM

Wrongcable TPM

Singleend

FICCI CE