Updated: Jun 20, 2020
In this tutorial, let us learn about Pareto chart and how to create this in Excel.
Pareto chart is based on Pareto principle also known as 80:20 rule. this is basically used in project management.
According to this principle 80% of problems are caused because of 20% of issues or else
80% of results are because of 20% efforts that we put in. So in project management, we use this principle to solve 80% of the problems by targeting 20% of those issues.
So, let us now see how to create this Pareto chart in Excel for our further analysis.
This is my example data as shown here.
Here, I am showing different reasons and their respective occurrences.
1. Arrange this data in the descending order of occurrences i.e column D