Process yield is used in manufacturing to measure performance of the process. It can explained as the percentage of products that pass through the compliance check. That means they are not the defective one and are passed for selling.
Supposedly for example
Total Units produced=1000 units
Total units pass compliance check=800 units
Number of defective units=1000-800=200
This means the process yield of that particular product is 80% i.e 800 units are defect free and have passed compliance check successfully.
I. First Time yield
First time yield is defined as the number of defect free units that are produced in a particular work station divided by total number of units produced.
Hence First Time yield of overall process can be determined by multiplying the first time yields of all the work stations.
II. Final Yield
Final yield is defined as the overall defect free units produced (absolute number that is sum of defect free units of all work stations) divided by the total number of units produced
III. Throughput Yield (TPY):
Throughput yield is similar to final yield only difference is while dividing by the total number of units produced in TPY reworked and scrapped units are excluded
IV. Rolled Throughput Yield (RTY):
Rolled throughput is simply the probability that a particular unit will pass defect free at each work station. Or in other words it is simply the multiplication of throughput yield of each work station.
Hence, this concludes the definition of Process Yield along with its overview.
This article has been researched & authored by the Business Concepts Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
Browse the definition and meaning of more similar terms. The Management Dictionary covers over 2000 business concepts from 5 categories.
What is MBA Skool?About Us
MBA Skool is a Knowledge Resource for Management Students, Aspirants & Professionals.
Quizzes & Skills
Quizzes test your expertise in business and Skill tests evaluate your management traits
All Business Sections
Write for Us