Glossary

Pareto Principle

Also known as: 80/20-Rule

The pareto principle is a heuristic that says a small share of causes often produces a large share of results First noted by economist Vilfredo Pareto (new tab) in wealth distributions, it generalizes to many heavy-tailed systems:

  • 20% of features drive 80% of usage
  • 20% of customers generate 80% of revenue
  • 20% of bugs cause 80% of incidents

That said, the exact ratio isn't sacred. It could also be 90/10 or 70/30.

Attention

Some low-impact tasks are hygiene or risk control. Metrics can mislead and the vital few can change, so make sure to recheck regularly.

It reframes productivity from "do more" to "do the right few".
By finding high-leverage activities, you reduce effort, complexity and opportunity cost while increasing impact.

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