How is pareto diagram constructed

Step 3 Choose a timeframe for collecting the data. Step 4 Tally, for each item, how often it occurred or cost or total time it took. Then, add these amounts to determine the grand total for all items. Find the percent of each item in the grand total by taking the sum of the item, dividing it by the grand total and multiplying by Step 5 List the items being compared in decreasing order of the measure of comparison: e.

Step 6 List the items on the horizontal axis of a graph from highest to lowest. Label the left vertical axis with the numbers frequency, time or cost , then label the right vertical axis with the cumulative percentages the cumulative total should equal percent.

Draw in the bars for each item. Step 7 Draw a line graph of the cumulative percentages. The first point on the line graph should line up with the top of the first bar.

Excel offers simple charting tools you can use to make your graphs, or you can do them with paper and pencil. Step 8 Analyze the diagram by identifying those items that appear to account for most of the difficulty. Do this by looking for a clear breakpoint in the line graph, where it starts to level off quickly. If there is not a breakpoint, identify those items that account for 50 percent or more of the effect.

A Pareto chart is a bar graph. The lengths of the bars represent frequency or cost time or money , and are arranged with longest bars on the left and the shortest to the right. In this way the chart visually depicts which situations are more significant. This cause analysis tool is considered one of the seven basic quality tools.

Figure 2 takes the largest category, "documents," from Figure 1, breaks it down into six categories of document-related complaints, and shows cumulative values. If all complaints cause equal distress to the customer, working on eliminating document-related complaints would have the most impact, and of those, working on quality certificates should be most fruitful.

Figure 1: Pareto Chart, Customer Complaints. Figure 2: Pareto Chart, Document Complaints. List the contributors from largest to smallest, going from left to right. Provide a caption to describe them. If the contributor names are long, label the axis A, B, C, etc. Step 6: Draw and label the right vertical axis. Label the axis from zero to percent. Line up percent with the grand total on the left axis.

In this example, the grand total is 73, so the 50 percent point on the right axis should line up with Step 8: Draw a line graph to represent the cumulative-percent of total. The plotted points correspond to the cumulative-percent as measured on the right axis. Line up the points above the right-hand edge of the bars. The cumulative-percent-of-total point for the first ranked contributor should be even with the height of the first bar.

If not, you have made an error. Step 9: Analyze the diagram. Look for a breakpoint on the cumulative-percent graph. Assuring Elections Quality. By Thomas Pyzdek and Joseph A. DeFeo The views expressed in this White Paper are solely those of the authors.

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