explanation of pareto graph with an example.

1. PARETO ANALYSISPARETO ANALYSIS
Made By:Made By:
Shubham GuptaShubham Gupta
Siddharth GuptaSiddharth Gupta
Rajas SontakkeRajas Sontakke

2. Pareto analysis is a formal techniquePareto analysis is a formal technique
useful where many possible courses ofuseful where many possible courses of
action are competing for attention.action are competing for attention.

3. Pareto analysis is a creative way ofPareto analysis is a creative way of
looking at causes of problems because itlooking at causes of problems because it
helps stimulate thinking and organizehelps stimulate thinking and organize
thoughts.thoughts.

4.  This technique helpsThis technique helps
to identify the topto identify the top
20% of causes that20% of causes that
needs to beneeds to be
addressed to resolveaddressed to resolve
the 80% of thethe 80% of the
problems.problems.

5.  The value of the Pareto Principle for a projectThe value of the Pareto Principle for a project
manager is that it reminds you to focus on themanager is that it reminds you to focus on the
20% of things that matter. Of the things you do20% of things that matter. Of the things you do
during your project, only 20% are reallyduring your project, only 20% are really
important. Those 20% produce 80% of yourimportant. Those 20% produce 80% of your
results. Identify and focus on those things first,results. Identify and focus on those things first,
but don't totally ignore the remaining 80% ofbut don't totally ignore the remaining 80% of
causes.causes.

6. History of Pareto AnalysisHistory of Pareto Analysis
 The Pareto effect is named after VilfredoThe Pareto effect is named after Vilfredo
Pareto, an economist and sociologist whoPareto, an economist and sociologist who
lived from 1848 to 1923.lived from 1848 to 1923.

7. HOW TO USE IT ?HOW TO USE IT ?

8.  Step 1: Identify and List ProblemsStep 1: Identify and List Problems
 Step 2: Identify the Root Cause of EachStep 2: Identify the Root Cause of Each
ProblemProblem
 Step 3: Score ProblemsStep 3: Score Problems
 Step 4: Group Problems Together By RootStep 4: Group Problems Together By Root
CauseCause
 Step 5: Add up the Scores for Each GroupStep 5: Add up the Scores for Each Group
 Step 6: Take ActionStep 6: Take Action

9. The Pareto ChartThe Pareto Chart
A Pareto chartA Pareto chart
is a graphicalis a graphical
representationrepresentation
that displaysthat displays
data in orderdata in order
of priority.of priority.

10. There are many waste types defined by modern systems of
waste management, notably including:
Municipal waste includes Household waste, Commercial waste, and
Demolition waste
Hazardous waste includes Industrial waste
Biomedical waste includes clinical waste
Special Hazardous waste includes Radioactive waste, explosives waste, and

11. Surface water contamination:
Waste that ends up in water bodies negatively change the chemical composition of the water.
Technically, this is called water pollution. This will affect all ecosystems existing in the water. It can
also cause harm to animals that drink from such polluted water.
Soil contamination:
Hazardous chemicals that get into the soil (contaminants) can harm plants when they take up the
contamination through their roots. If humans eat plants and animals that have been in contact with
such polluted soils, there can be negative impact on their health.
Pollution:
Bad waste management practices can result in land and air pollution and can cause respiratory
problems and other adverse health effects as contaminants are absorbed from the lungs into other
parts of the body.
Ill Effects of Garbage and Waste

12. Sources of waste
quantity(in metric
tons) cumulative frequency % cumulative frequency
paper 878 878 19.80%
food scraps 786 1664 37.53%
yard trimming 601 2265 51.08%
plastics 558 2823 63.67%
metals 432 3255 73.41%
rubber,textile,leather 386 3641 82.12%
wood 303 3944 88.95%
glass 283 4227 95.33%
others 207 4434 100.00%
Types of Garbage in the City

13. Pareto Graph

14. By Pareto analysis (80/20 rule)we conclude that the major causes of
garbage in cities are as follows:
1. Paper
2. Food scraps
3. Yard trimming
4. Plastics
5. Metals

15. Solutions
Landfill
Disposal of waste in a landfill involves burying the waste and this remains a common practice in most
countries. Landfills were often established in abandoned or unused quarries, mining voids or borrow
pits. A properly designed and well-managed landfill can be a hygienic and relatively inexpensive
method of disposing of waste materials.
Incineration
Incineration is a disposal method in which solid organic wastes are subjected to combustion so as to
convert them into residue and gaseous products. This method is useful for disposal of residue of
both solid waste management and solid residue from waste water management. This process
reduces the volumes of solid waste to 20 to 30 percent of the original volume.
Recyclin
gRecycling is a resource recovery practice that refers to the collection and reuse of waste materials
such as empty beverage containers. The materials from which the items are made can be
reprocessed into new products.
Pyrolysis
Pyrolysis is a process of thermo-chemically decomposition of organic materials by heat in the
absence of oxygen which produces various hydrocarbon gases. During pyrolysis, the molecules
of object are subjected to very high temperatures leading to very high vibrations. Therefore
every molecule in the object is stretched and shaken to an extent that molecules starts breaking
down.

16. Lessons learnt
 The team learnt the importance of pareto analysis when many possible
courses of action are competing for attention.
 We learnt the importance of Pareto diagrams in our daily lives and its
utilization.
 The team learnt via Pareto diagram that focusing efforts on the ‘vital few’
causes is usually a better use of valuable resourses.