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# Pareto Analysis

Develop a Pareto analysis of the following causes of poor grades on an exam:

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Insufficient time to complete 15
Late arrival to exam 7
Difficulty understanding material 25
Insufficient preparation time 2
Studied wrong material 2
Distractions in exam room 9
Calculator batteries died during exam 1
Forgot exam was scheduled 3
Felt ill during exam 4
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#### Solution Preview

PARETO ANALYSIS

The "Pareto principle" is the idea that by doing 20% of the work you can generate 80% of what you would get from doing the entire job.

Here are the steps:

1) Form a table listing the causes and their frequencies.
2) Arrange the rows in the decreasing order of frequency of the causes.
3) Find the cumulative percentages.
4) Plot with causes on x- and cumulative percentage on y-axis.
5) Join the above points to form a curve.
6) Plot a bar graph with causes on x- and percent frequency on y-axis.
7) Draw line at 80% on y-axis parallel to x-axis. Then drop the line at the point of intersection with the curve on x-axis.