---
title: Defining Pareto Classifications Within Forecast Pro
description: "Start Forecast Pro and open the project, *Tutorial – Pareto*. This project contains forecasts for the cakes and muffins data that we worked with in previous lessons. ![](https://dev.forecastpro.com/wp-content/uploads/2024/05/ExtendedPareto-1024x555.png) On the **Home** tab, click the Options icon to invoke the Options dialog box and…"
url: "https://dev.forecastpro.com/documentation/forecast-pro-trac/100ext-pareto-analysis/100ext-defining-pareto-classifications-within-forecast-pro/"
updated: "2024-12-17"
category: "FP100 & Extended General Operations Tutorials / Pareto Analysis"
---

# Defining Pareto Classifications Within Forecast Pro

Start Forecast Pro and open the project, *Tutorial – Pareto*. This project contains forecasts for the cakes and muffins data that we worked with in previous lessons.

![](https://dev.forecastpro.com/wp-content/uploads/2024/05/ExtendedPareto-1024x555.png)

On the **Home** tab, click the Options icon to invoke the Options dialog box and then select the Pareto tab.

![](https://dev.forecastpro.com/wp-content/uploads/2024/05/ExtendedParetoSettings.png)

The Pareto Analysis tab allows you to specify how the ABC codes should be assigned.

The **Weighting Basis** section allows you to indicate whether the ranking should be performed using the history, forecasts or a combination of the two and allows you to set the span for your selection. The codes are assigned to a single level of the hierarchy. The Hierarchy level drop-down allows you to pick the level to use.

The **Ranking Basis** section allows you to set the thresholds for the classifications.

The **Volume (%)** option allows you to set the codes based upon the cumulative volume of each group. For example, if A is set to 80%, B is set to 15% and C is set to 5%, Forecast Pro will first rank all of the items from highest volume to lowest volume and then sequentially place the top ranked items into the A group until their cumulative volume equals or exceeds 80% of the total volume. It will then sequentially place items into the B group until the cumulative volume of the A and B items equals or exceeds 95% (80% + 15%). The remaining items (5% or less of the cumulative volume) are assigned type C.

The **Series Count (#)**option allows you to assign specific numbers of items to each group. For example, if you had 1,000 items and you set the A group to 100, the B group to 200 and the C group to 700—the 100 highest volume items would be assigned to group A, the next highest 200 items would be assigned to group B and the remaining 700 would be assigned to group C.

The **Series Count (%)** assigns the specified percentage of the total number of items you have to each group. For example if A is set to 20%, B is set to 50% and C is set to 30%, Forecast Pro will first rank all of the items from highest volume to lowest volume and then sequentially place the top ranked items into the A group until the number of A group items equals 20% of the total number of items. It will then sequentially place items into the B group until the number of B group items equals 50% of the total number of items. The remaining items (30% of the total number of series) are assigned type C.

If selected, the **Group zero volume** option will place any items with zero volume into group “D”.

Make sure that your settings match the ones above and click OK.