So you are dedicating your efforts in building a successful project, a PRINCE2 Foundation course could help with this. But, before you do everything and spend your money and time, you must do so many things. In fact, there is a formula for the foundation business that some call the Pareto principle. According to the Pareto principle, 80% of the work is complete by 20% of your employees.
The idea behind the concept of Pareto is to draw such Wealth concentrating on the few, that it is not possible to reach even 20% of the people in the organization. Isn’t that rather unfair? However, so that is exactly what the Pareto principle means. Let me share a formula with you that will help you to better organize your attention with the foundation business course.
The next question for foundation business would therefore be: what are critical factors?
Critical factors are those activities which contribute to the success or failure of the organization. If you want to become a great leader, you will not be able to get things done; you will be giving orders or instructions to, who, what, when, and where; you are providing commands to the people. And again, the question would then be: Are the activities which contribute to the success or failure of the organization, the critical factors?
If we take the formula and simplify it to 80% of an organization’s effort, investment, and risks should be concentrate on the critical factors. Now let’s see whether you are applying that 80% of your efforts in the right activities. Let me ask you this. What is the purpose of doing something? The answer to that question is the very reason you are doing that activity.
If you are spending 80% of your time on things that do not contribute value to the organization you are wasting your time. So you must find where they are, not where you want to be. So that you would have to determine which activities are productive and which are not. Which activities are capital intensive, which are operation oriented, which are people oriented (and this does not apply only to sales personnel), finance oriented, and so on and so forth.
True efficiency is not repeat after negative. It is impossible to run, make, fix, install, and produce with the same effectiveness, quality and quantity of anything every time; not for one person. So when we talk about efficiency, we are talking about the ability to do the same, to do less, produce similar, and to produce more. Keeping on doing things by or for, which are not productive and not effective, is like pushing a string. There is a cap. You get a limit, attaining the same results, with more time and control, if you are shifting the finger.
The bottom line is this. You should focus 80% of your attention, effort, money and resources on the things. Also, on the activities which bring in value profitable measurements of follows Dr. Pareto’s principle.