Yield in Manufacturing

Yield is a critical key performance indicator (KPI) within the manufacturing domain. It quantifies the proportion of input to a manufacturing process that is usable output, thereby providing a measure of the effectiveness and efficiency of the manufacturing process. Yield serves as an excellent indicator of the performance of a manufacturing unit or process.

Simply put, Yield is the percentage of products that are manufactured correctly and to specifications the first time through the manufacturing process without the need for rework or repair.

Calculating Yield involves counting the number of good units produced (those without defects or that have not undergone rework) and dividing by the total number of units that have gone through the manufacturing process.

The formula to calculate Yield is as follows:

Yield = (Number of Good Units Produced / Total Number of Units Produced) * 100

In this formula,

• Number of Good Units Produced represents the quantity of units that have been manufactured correctly, meeting the required quality and specification standards.
• Total Number of Units Produced reflects the entire quantity of units that the manufacturing process has produced.

The result of this calculation is a percentage. A Yield of 100% means that every unit produced was a 'good' unit, meeting specified quality standards. In real-world manufacturing environments, this is often not the case due to various factors such as equipment issues, human error, and raw material quality.

In conclusion, Yield is a vital KPI in manufacturing, providing key insights into the quality and efficiency of the manufacturing process. By monitoring and optimizing Yield, manufacturers can reduce waste, improve efficiency, and increase profitability.