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KPI for Measuring of Yield % posted in category Manufacturing

WinningKPI - Manufacturing - KPI for Measuring of Yield % posted in category Manufacturing

KPI details:

This indicator is for measuring the part of the manufacturing process that is free of defects as a % of the total process. This measurement goes beyond product defects (e.g. faulty chair), it can also measure % of met commitments/deadlines/order size etc.

This KPI is measured by calculating what percentage the process free of defects is of the total process.

A company’s aim is to maximise the Yield %, as the closer it is to 100%, the better performing the manufacturing process is. Hence, this will mean lower costs and higher ROI. Monitoring the Yield % via a KPI can help the company put in place measures and strategies (using lessons learnt as well) to maximise the figure.

This information can give competitive advantage in the market and can also be used in marketing and promotion materials to attract clients.

Formula:

Process free of defects/ Total process x 100

KPI Unit: %

KPI Time Frame: update annually

Posted by KPI Expert | Help to protect community: Flag for moderation

Ideas suggested by WinningKPI community:

Here are comments:

A manufacturing company is measuring the yield % for the past one year period.

This is calculated as below:

Process free of defects/ Total process x 100

Hence, the company’s figures are:

Total processes: 10 000

Number of processes free of defects: 8000

So, Yield % is:

8000/10 000 x 100 = 80 %

In other words, 80% of the manufacturing company’s processes are fault free.

KPI Expert | September 13, 2012 at 9:59 am

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