Pareto in Alteryx

Hello friends!! today we’ll be learning to create Pareto in Alteryx. I’ve attached the Alteryx workflow for download and reuse.
The Pareto Principle (also known as the 80/20 rule), for many events, roughly 80% of the effects come from 20% of the causes. The Pareto Principle is an observation, not a law of nature.

More generally, the Pareto Principle is the observation (not law) that most things in life are not distributed evenly. It can mean all of the following things:

• 20% of the input creates 80% of the result
• 20% of the workers produce 80% of the result
• 20% of the customers create 80% of the revenue
• 20% of the bugs cause 80% of the crashes
• 20% of the features cause 80% of the usage
  and many more…

Now let’s start creating the Pareto chart but here Pareto table for our analysis in Alteryx. So I’ve sales data for different products and I want to see top 20% of products contributes to what % of sales. Data is as shown below table. I’ve used Tableau’s super store data for the tutorial.

Sample Data

Product	Sales
HON 5400 Series Task Chairs for Big and Tall	8987
HON 5400 Series Task Chairs for Big and Tall	3244
Ibico EPK-21 Electric Binding System	326
Tennsco 6- and 18-Compartment Lockers	3546

Steps to achieve the final output:

1. Get input data and get sum of Sales for individual product
2. Remove any negative values(if its there)
3. Sort the table descending(high to low) based on the total sales for each product
4. Now get the total sales and number of products in the data
5. Append to the data using ‘Append fields’ tool
6. a. Create a new column Record ID and assign value as 1
   b. Calculate the % of sales of total sales (output from step 5)
   c. Calculate the % of product count of total number of products (output from step 5)
7. Take the running total of % of sales and % of products using Running Total tool
8. Set the cut off 0.1, 0.2, 0.3…(10%,20%..) for running total of % of product using Tile tool
9. Now group by Tile_Num and take max values of running total of % of sales and % of sales
   and that’s done

Download the Alteryx workflow here

Read More
1. https://www.investopedia.com/terms/p/paretoprinciple.asp
2. https://en.wikipedia.org/wiki/Pareto_principle

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