The Art and Science of Segmentation

The reason that 80/20 is so valuable is that it is counterintuitive. We tend to expect that all causes will have roughly the same significance, that all customers are equally valuable, or that every bit of business, every product and every dollar of sales revenue is as good as another.

3X Equity in 3 Years!

Topics Covered by the 80/20 Managment Practice


Learn how to create a data-driven customer and product segmentation process finds profitable P&Ls within a business.  The ultimate goal here is to separate unlike businesses.


  • Quartiles
  • Quads

Learn how to take swift & aggressive action to eliminate unnecessary complexity and take thoughtful action to simplify outside the core business.

  • Quads
  • Magnificent 7

Learn how to de-resource P&Ls with poor profitability via complexity reduction. Over-resource profitable P&Ls with meaningful share to gain.

  • Quads
  • Key Ratio
  • Zero-Up Blueprint

Learn how to create Value Streams aligned to core; Continuous Improvement aimed at closing gaps to top customer expectations and positioned take share from competition.

  • Customer Scorecard
  • Target Selling
  • Trade Focus

Let Me Tell You More About
The 80/20 Management Practice

Also known as the Pareto principle, 80/20 is a management concept based on a natural law: 80% of results come from 20% of causes. It is a tool used to prioritize and manage resources, focusing on the most important and impactful activities that generate the majority of results. The principle suggests that organizations can achieve significant improvement by focusing their efforts on the 20% of activities that generate 80% of their results, rather than spreading their resources non-strategically across all activities.

The 80/20 principle can be applied in various ways, including time management, problem solving, decision-making, and resource allocation. For example, in time management, individuals can use the 80/20 principle to identify the 20% of tasks that generate 80% of desired results and prioritize these activities. In problem solving, the principle can be used to identify the root causes of issues and focus on solving the most impactful problems.

The 80/20 principle is a useful tool for organizations to achieve more with limited resources, but it is important to remember that it is an approximation and not a strict rule. It is a useful guideline that can help organizations focus their efforts and resources more effectively.

Earn the Right to Grow

"Earn the Right to Grow" details the structured 80/20 management practice that is designed to create long-term plans to achieve profitable growth.  This process helps create a shared view amongst senior leadership about where the business competes effectively and how to best allocate resources in order to continue winning in the marketplace. 

Part of the PGOS Library of Books

You'll learn:


Learn how to analyze your business to conduct profit segmentation to define the quartiles.


Understand why you must simplify your business to reduce complexity.


Learn how to segment your unlike businesses to get a more granular assessment.


Learn how to Zero-up your segments to align the minimum resources towards serving you "80's" 


Learn how to implement process improvements, such as Lean, Value Engineering, etc. required to optimize your business. 

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The Profitable Growth Operating System (PGOS) is a proven set of simple tools and processes to help middle-market companies profitably grow their businesses.

About Bill Canady

Bill Canady has been leading companies to profitable growth for over 30 years. Working in a variety of industries and markets focused on industrial as well as consumer products and services, he brings to the table a unique Operating System and uses it in a 100-day campaign to position the company for profitable growth. Combining vision and process, Canady aligns leadership and other critical stakeholders to earn the right to grow and then to claim that right with a 3-to-5-year business plan for targeted, strategic growth. He believes in bringing the right tools to the job and developing strong leaders and management teams to use them. His experience encompasses global public, private, and sponsor-owned firms.

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