Scrap Cost Calculator One bad part loses EVERYTHING already spent on it, so the formula grosses it up: you must make extra to ship enough. That is also why scrap is computed LAST - the system has to total the other nine categories before it knows what a bad part is worth. Leave the cost-per-defect field empty and it uses exactly that figure.
Overall Impact Realtime Total BEFORE?
not filled in
Total AFTER?
not filled in
SAVINGS?
OPTIMIZED table is empty — nothing to compare yet
An empty table does not mean zero — the system will not read it as a 100% saving.
COST BY CATEGORY
Labor? 0 USD
Machine? 0 USD
Material? 0 USD
Scrap? 0 USD
Consumable? 0 USD
Outsourced processing? 0 USD
Rework? 0 USD
Packaging? 0 USD
Logistics? 0 USD
Factory overhead? 0 USD
Done calculating? Turn it into a real case to save it and compare with your industry.
Write a case from this data Not sure where the numbers come from? What the system reads in your figures 1 Efficiency is set to 1.0 (100%) — this is the DEFAULT starting value, not a number you confirmed. 100% means nobody rests, nothing waits for materials, no changeovers happen all month. Ohno ("Toyota Production System"): "the ideal rate is not necessarily 100 percent" - running flat out raises the odds of breakdowns. Update it if you know the real figure for your plant; if not, leaving it is fine too — this is just a nudge to check.