The Pareto chart is sometimes incorrectly referred to as what type of diagram?

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The Pareto chart is sometimes incorrectly referred to as a bar graph. This is understandable, as both diagrams utilize bars to represent data. However, there are key distinctions that set a Pareto chart apart from a standard bar graph. A Pareto chart specifically displays the frequency or impact of problems or causes in a descending order, which highlights the most significant factors contributing to an issue, following the Pareto principle (80/20 rule).

While a bar graph can simply show the data values side by side without emphasizing rank or importance, the Pareto chart is designed to lead the viewer to focus on the most critical areas for improvement. It often includes a cumulative line graph overlay to further emphasize the proportion of the total represented by the highest bars. This purposeful design and the focus on prioritization is what differentiates a Pareto chart from a typical bar graph.

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