Pareto Analysis and Industrial Maintenance: The Guide
- 22/07/2026
- 10:47
reading time : 2 min
Content Marketing Manager
Table of Contents
What is Pareto Analysis?
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- Definition
Pareto analysis, also known as the 80/20 principle, is a management method that identifies the most important factors within a data set. It is based on the observation that 80% of effects stem from 20% of causes.For example, in a maintenance context, this could mean that 80% of breakdowns originate from 20% of equipment. By identifying and focusing on this 20%, companies can improve their operational efficiency.- Sectors that use Pareto analysis
Pareto analysis is used across many sectors, including:- Quality management: to target the main sources of production defects.
- Logistics: to optimize stock by identifying the most in-demand products.
- Sales management: to determine the customers or products that generate the most revenue.
- Industrial maintenance: to identify the equipment most prone to breakdowns. This is the sector we will focus on in this article.
This method is one of 9 equally effective approaches! If you are interested in using these methods, we have written a comprehensive article presenting them!Discover the 9 methods for optimizing your industrial maintenance approach
The importance of Pareto analysis in industrial maintenance
- Impactful resource allocation
- Cost reduction
- Prioritization of actions
How to implement Pareto analysis
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- Step 1: Identify the problems or data
Collect data on the problems or events you wish to analyze. In a maintenance context, this could include equipment failures, repair costs, or downtime.
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- Step 2: Quantify the data
Assign a quantifiable value to each problem or event. This can be the number of occurrences, the associated cost, or the duration of interruptions. For example, record how many times each piece of equipment has broken down over a given period and the cost of each breakdown.
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- Step 3: Classify the data
Rank the problems or events in descending order based on their impact (frequency, cost, etc.). The most frequent or most costly problems will be at the top of the list.- Step 4: Calculate cumulative percentages
Calculate the cumulative percentage for each problem or event. This allows you to visualize what percentage of the total each problem represents, and how these percentages accumulate. To do this, divide the value of each problem by the grand total and multiply by 100.- Step 5: Draw the Pareto diagram
Create a chart with the problems or events on the horizontal axis (X) and the corresponding values on the vertical axis (Y). The bars should be arranged in descending order. Then add a line representing the cumulative percentages, running from 0% to 100%.- Step 6: Analyze the results
Interpret the Pareto diagram to identify the “vital few” problems that have the greatest impact. As you will have gathered, you should find that 20% of the causes (problems) contribute to 80% of the effects (costs, interruptions).- Step 7: Prioritize corrective actions
Focus your efforts on the problems identified as most critical. In industrial maintenance, this may mean targeting the equipment causing the most breakdowns, or the most costly types of breakdowns, for preventive action or process improvements.Of course, you will need the right tools to implement Pareto analysis more easily!
Tools to support Pareto analysis
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- Project management software
Tools such as Microsoft Project or Trello can help to organize and prioritize tasks based on Pareto analysis. They make it possible to visualize the most critical tasks that will have the greatest impact.- Spreadsheets
Spreadsheet applications such as Excel or Google Sheets are widely used to carry out Pareto analyses. They allow you to sort and calculate the contributions of different elements and to create Pareto charts to visualize results.- ERP (Enterprise Resource Planning) systems
ERP systems allow analytical modules to be integrated, which can be used to apply Pareto analysis to various aspects of the business — such as sales, stock, or production. These tools help identify the most critical elements for overall business efficiency.- CMMS (Computerized Maintenance Management System) software
This type of software can use Pareto analysis to manage equipment and spare parts. These maintenance management software solutions help identify the assets that require the most maintenance attention, and the spare parts that have the greatest impact on operational performance.CMMS software supports you in understanding which equipment is most prone to failure — and therefore in anticipating the management of your interventions. And that is precisely what our solution does best.
Frequently Asked Questions
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