Italian Economist

In this article the principle of Pareto, or the rule of the 80/20 is explained. According to this Italian economist of century XIX, 20% of the causes cause 80% of the results, and vice versa. This can be applied to the distribution of resources, benefits, clients, sales of products, time This one is a rule against intuitive, because normally we hoped that there is an equal proportion between causes and results. Not always one is fulfilled, it must have in addition a clear relation between causes and results, between the output data and input data. In addition, sometimes the proportion varies to 70/30, 90/10 or 95/5.No is even applicable to everything, but he is useful like model to learn to focus basically and to eliminate the superfluous thing. As we can use this rule to help our management of the time? For it we must be concentrated in more valuable 20%. We must first analyze different aspects from our life and identify what causes cause what results, doing to us questions like: what 20% of the tasks and activities that I do are in 80% of my wished results and my happiness? What 20% of the causes are causing 80% of my problems and my infelicidad? What or who causes an out of proportion stress to me while I dedicate to him? Once we have the answers to these questions, preferably in writing, we must select and eliminate the ineffective thing, which brings about the worse results.

If it seems to us too drastic to eliminate 80% less cash, we can at the moment concentrate in 20% less cash of the total. Either using principle of 50/5 (similarity at the beginning of Pareto), that says that 50% of the resources or causes cause only 5% of the results, we can look for this 50% and center our efforts in eliminating it. Thus at least we would be concentrating in undoing to us of less efficient. Although it is preferable and easier simply to concentrate in better 20% and to harness it. In theory, using this principle could be gotten to increase between a 300% and 400% the productivity, if we quintupled 20% more productive than it causes 80% of the results. Nevertheless, probably it is not thus in the reality, because as we harnessed this more productive minimum, the results are diluted. Since I have commented before not always is applied is rule or principle, but that is simply a useful model to consider and to apply it when we see that a situation of this type can occur. spacoacher-gestiondeltiempo.blogspot.