Pareto Principle: 20% of the group does 80% of the work

The few affe8020Rulect the many.

An Italian economist, Wilfredo Pareto has been attributed to what we know as the “80-20 Rule” in business.

Roughly this rule of thumb states, 80% of the affects come from 20% of the causes:

  1. 80% of sales from 20% of customers,
  2. 20% of the population own 80% of the land,
  3. 20% of groups do 80% of the work, etc.

Within volunteer groups, I would suggest that it is even more uneven.

For instance, Wikipedia founder founder Jim Wales is quoted by the author and consultant Don Tapscott in his 2006 book,  Wikinomics, as saying that:

50% of the Wikipedia edits are made by less than 1% of the users.

My experience in charities supports the idea that “the few carry the many”.

The danger I see in many new franchisee leaders is that they bring or accept too high a participation rate into their work trying to organize a leaderless franchisee network.

  • The risk is that they quit when people do not act with the same enthusiasm as is “expected”.

When you add these, I would suggest, unfair expectations with franchisees’ unbelievably high levels of impatience, many perfectly good groups are abandoned before being given a fair chance to take flight.

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