Use Pareto to attack the biggest shrink cause

Monthly shrink is up, but causes are mixed: overfilled premium steaks, expired marinades, grind leftovers, trim loss, and packaging damage. Pareto analysis: group losses, measure them consistently, rank the categories, and focus first on the vital few. Anecdotes pull attention toward the most annoying waste, not necessarily the most expensive or repeatable waste. The not-quite move is treating the loudest complaint as the biggest loss before the counts are sorted. Choose the measure Use shrink dollars, not item count, because premium steak loss costs more than small garnish or label waste. The measure should match the decision. Here, margin protection…

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