Pareto Analysis:

A very useful tool to help identify the most important issue among a plethora of symptoms is Pareto analysis. This can be used to analyze the cost of quality and point us in the direction of what quality problem to resolve first, second, third, and so on. Using the information provided below you will draw a Pareto Diagram and identify which causes should be resolved as a priority.

The Everprising Rental Car company has a fleet of 167 vehicles. At any given time, approximately 35% of these are not in good working order and cannot be rented. The company is frustrated and needs to get this fixed so they have gathered some data on why the vehicles are inoperable.

The causes are:

• Windshield wipers - 32 occurrences
• Bad tire/flat tire - 16 occurrences
• Cracked windshield - 9 occurrences
• Alternator issues - 15 occurrences
• Block heater and/or block heater cord not working - 19 occurrences
• Alternators - 7 occurrences
• Light bulbs not working - 22 occurrences
• Struts require replacement - 2 occurrences
• Electrical issues - ignition, speedometer - 4 occurrences

1. Correctly draw up a Pareto Diagram using this data.
2. Identify and suggest ways that the top 3 causes could be prevented.