First pass yield is a key metric used in manufacturing to measure production performance and quality. What is yield in production? There are several different types of yields used in production that refer to the production of units, and one of the most important ones is first pass yield.
What is first pass yield?
First pass yield is the percentage of product made correctly without any rework or corrective activity. With this metric, manufacturing companies can gain a comprehensive picture of their efficiency and effectiveness. Through first pass yield analysis, companies can also better manage their continuous improvement initiatives.
How to calculate first pass yield
First pass yield calculation is simple to compute:
(Units of product completed from process to specification, with no rework) / (total units of products entering the process) = First pass yield
For example, if 100 units entered the process, 98 are finished to specification, and 3 have to be reworked, then the first pass yield is:
(98-3)/100 = 0.95 = 95%
Best practices for first pass yield
To gain the most benefit from the first pass yield formula, many manufacturing companies use this metric alongside other key performance indicators as part of a composite overall metric. One of the reasons is that first pass yield does not consider production schedules, downtime, or the capacity of a given production process.
Improving first pass yield can be part of a company’s continuous improvement management plan. One of the central ways to increase first-pass yield is to focus on quality control. This ensures more throughput results in more functional units and reduces inefficiency and waste.
Different industries may have different standards for an acceptable first pass yield, and different companies may determine that improving first pass yield brings them a certain return on investment. For example, a company may find it worthwhile to invest in improving their first pass yield from 85% to 95%, but that same company may determine that improving their first pass yield from 95% to 99% is not part of their strategic plan. Each company must decide what makes sense for their individual business plan and growth strategy.