How to Apply the Pareto Principle AKA 80/20 Rule in Your Life

According to the Pareto principle (commonly known as the 80/20 rule), 80% of results come from 20% of our actions. For many thought leaders, it is becoming a method to prioritise tasks and boost productivity.

 

The Pareto Principle

Named after economist Vilfredo Pareto, the Pareto Principle is an observable theory that 80% of the property in his Italian homeland was owned by only 20% of the people. After testing the concept in other nations, he discovered the same result.

In the 1800s, management consultant Joseph M. Juran applied Pareto's discovery to modern business, which used the Pareto Principle in quality control. He claimed that 20% of a product's issues are caused by 20% of the same reoccurring problems. For example, 20% of car parts cause 80% of car breakdowns, and 20% of bugs cause 80% of a program's crashes.

These analogies apply to other aspects of management as well. The Pareto principle has been used in marketing, product development, public relations, etc. It's possible that 20% of your social media posts are responsible for 80% of your website's traffic or that 20% of your clients are responsible for 80% of your company's income.

 

What effect does the Pareto Principle have on me?

Even though the 80/20 rule does not apply in every case since it is merely a theory based on observation, you can still use it in beneficial ways. Thought leaders regard the 80/20 rule as a game-changing technique for improving productivity and time management skills.

The Pareto principle emphasises that just because something isn't part of the critical 20% doesn't mean it's unimportant. The remaining 80% of your inputs are helpful when completing your action items, although they may be lower on the priority list or don't require much attention to accomplish.

According to this point of view, an egalitarian approach to business, in which you consider all clients, action items, colleagues, and networking opportunities the same, can eventually hold you back. Other things are more important than others in life, and it is up to you to decide what will propel you forward, even if it means leaving some things behind.

 

Applying the 80/20 rule

The secret to innovation is to begin by changing manageable aspects of your surroundings. That is why the Pareto principle is vital to follow daily: 80% of your job, 20% of your time.

Budgeting time for your day is a popular application of the Pareto principle. According to the 80/20 rule, you can use 20% of your day to complete 80% of your daily work. However, this does not imply that you are prioritising effectively. During your most productive hours, you may experience a burst of inspiration to do things that will slightly impact your workload or the organisation.

Make a list of everything you accomplish during that 20% of the day when you feel the most motivated. Are these jobs important, or are they just filler? And do you make good use of the remainder of your day, or do you just like to appear busy?

When applying the Pareto principle to your timetable, be as ruthless as possible. If you're most productive at the same time every day, schedule your most challenging work for those two hours.

 

80% of the duties, 20% of the resources

Another issue is failing to recognise that 80% of your tasks demand only 20% of your resources. In this case, you're only using 20% of your brainpower when doing the majority of your work, whether they're meetings, emails, or inputting data into the software. The other 20% of your duties may involve a lot of mental callisthenics, and as a result, you may be putting them off.

If you notice that a significant portion of your task doesn't require a lot of brainpower to complete, don't be scared to delegate or streamline. There are numerous methods for completing jobs that allow you to focus on more important things, and if you just share the labour, the least productive part of your day may be the most productive part of your colleagues's.

 

80% of communications, 20% of coworkers

Another application of the Pareto principle is to remember that 80% of your communication on a particular day may be with the same 20% of people. You have colleagues, clients, and teammates with whom you frequently communicate, while other connections such as your superiors or subordinates may require less of your time. So, how do you improve those connections while maintaining your relationships?

Invest in your close ties and ensure that those with whom you deal regularly are pleased with your connection, such as delivering them food, sending them flowers on their birthdays, or sending an extra emoji in an email if you see they're having a bad day. You don't have to eliminate minor contacts, but you shouldn't count on such relationships to boost you professionally as much as your team would.

 

The Pareto principle is more than a fun mental exercise; it's a way of life that may alter how your day looks and, ultimately, how your tasks are completed. 

 

Source: Hive