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Thinking

Pareto at organisational scale

The 80:20 principle is the most quoted concept in modern management. At organisational scale, Pareto becomes a filter for structural selection.

The 20% rule

In every business, a core of activities, people and decisions, about 20% of the effort, generates 80% of the net value. The remaining 80% adds little value and a great deal of operational complexity.

Business architecture leaves the noise aside and deliberately concentrates the structure on the core of value. A high-performance structure is built on the discipline of devoting resources exclusively to the activities that belong to this core.