Pareto Analysis is a decision-making technique that helps identify the most significant factors contributing to a problem. It is based on the Pareto Principle, which states that roughly 80% of effects come from 20% of causes. By focusing on the key issues, organizations can prioritize their efforts and resources more effectively. In practice, Pareto Analysis often involves creating a bar chart to visualize the frequency or impact of different problems. This allows teams to see which issues are most critical and should be addressed first, leading to more efficient problem-solving and improved outcomes.