What is it?
A Pareto chart is a bar chart showing how often different categories of events take place, ordered with the most common to the left, and the least common to the right. Using a Pareto chart allows us to focus on where improvement efforts will make most impact.
It is often the case that a large amount of the problems come from a small number of causes. A Pareto chart can help you to find the most frequent causes of a problem.
Why use it?
A Pareto chart can be a good way to identify the best opportunities for improvement and which areas are likely to make the biggest impact.
They work best when you have at least 30 items to count across the categories graphed.
How to use it?
Pareto charts can be made in excel. Data collection needs to occur first and it is recommended you have at least 30 data items before using a Pareto chart.
Links below provide templates for creating Pareto charts.