Friday, June 5, 2020

80/20 Applies to Covid-19, Telco Capex, Most of Business and Life

A study suggests that 80 percent of Covid-19 cases were caused by 20 percent of spreaders. That is an example of how ubiquitous the 80/20 rule is quite common in nature, business and life. 


Also known as a Pareto distribution--the 80/20 rule--appears in business life, or in life, generally. Basically, the theorem states that 80 percent of results come from 20 percent of the actions.


The Pareto distribution applies to business performance, It seems to apply to telco capex. It seems to appy to the India mobile business.  


As one example, 80 percent of sales come from 20 percent of clients, or 80 percent of wealth is owned by 20 percent of the people.


In customer service 80 percent of your problems are going to come from 20 percent of your customers, and 80 percent of your profits are going to come from 20 percent of your customers.


In management 80 percent of your value is going to be created by 20 percent of your employees, and 80 percent of your problems are going to come from 20 percent of your employees (not necessarily the same 20 percent.


In computer science fixing 20 percent of your most common bugs will fix 80 percent of your errors and crashes.


In mobile gaming 80 percent of your in-game purchases are going to be made by 20 percent of your users.


In website management  80 percent of your traffic is going to come during 20 percent of your uptime and 80 percent of your traffic will route to 20 percent of your page. 


In construction 80 percent of your injuries are going to come from 20 percent of your hazards.


In sports  80 percent of your wins are going to come from 20 percent of your competitors 

or teams.


In weight loss and muscle gain, 80 percent of your results are going to come from 20 percent of 

your exercises.


In user experience — 20 percent of the features of your product or service will be used by users

80 percent of the time. 


No comments:

Which Firm Will Use AI to Boost Revenue by an Order of Magnitude?

Ultimately, there is really only one way for huge AI infrastructure investments up by an order of magnitude over cloud computing investment ...