Pedro Ferro.
Author · Business strategist

Life is lopsided, and so is business.

Books and essays on finding the few customers, products and decisions that drive most of the results, and on the discipline to act on them.

Pareto chart: twenty items ranked by contribution. The first four, 20 percent of items, produce 80 percent of the total. 100% 80% 0% 20% Customers ranked by contribution → The vital few
Twenty items, ranked. The red four produce 80% of the total.

The scarce resource was never the arithmetic. It was the judgment to ask the right questions and the resolve to act on the answers.

From The 80/20 Business Process

One process, one loop

From the new book
  1. Foundations

    Think in imbalances

    Adopt the Vital Few Principles and 80/20 thinking, and name the biggest obstacle you face: complexity.

  2. Diagnose

    Find the true profit

    Build the customer-product matrix from your own transactions, reallocate complexity costs, and read true profitability. With AI, in an afternoon.

  3. Act

    Tip the balance

    Simplify the product line, price with precision, sell to the Sweet Spot, streamline delivery, segment, build loyalty and innovate systematically.

  4. Sustain

    Defend the advantage

    Turn focus into an economic moat, govern complexity on purpose, and put the vital few people where they matter most.

Then start again, from a higher floor.

The Vital Few Principles

About the book

Entropy

Disorder is the natural state of processes, teams and systems. Order takes continual effort, not a one-time fix.

Simplicity

Complexity slows teams, confuses customers and muddies strategy. Clarity wins, and it is earned by subtraction.

Pareto

A small number of inputs produce most of the results. Find them, and put your time and energy there.

Mutuality

Lasting relationships rest on mutual respect and shared values. Trust compounds over time.

Similarity

Most problems have been met before. Patterns and analogies let you act earlier and with more confidence.

Satisficing

Perfect decisions rarely exist. Good enough, made in time, beats an optimum that arrives too late.