The Pareto Principle—or the Law of the Vital Few—is also commonly referred to as “The 80-20 rule.” For many businesses, 80% of their sales can be attributed to 20% of the items they sell, or to 20% of the customers they sell to. These 80/20 rankings can be incorporated into ABC Analysis, leading to a more effective exception-based inventory planning and management process.
The Pareto Principle enables managers to effectively manage by exception, by focusing time and attention on their company's most critical products and business segments
Join SupplyChainBrain and Demand Solutions for this actionable presentation to get:
• Numerous real-world examples of the impact of the 80/20 rule
• 7 steps required to run & regularly update your ABC rankings
• 10 innovative tips for how to apply ABC Analysis to manage what matters.