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What are Rejects, Waste and Yield Loss in production?

In a production environment, it is crucial to differentiate between Rejects, Waste, and Yield Loss, as they impact overall efficiency and cost.

  • Rejects: These are products that do not meet quality standards and are unsuitable for sale as a final product.

  • Waste: This refers to leftover raw materials that are not needed in the final product and are discarded as waste or scrap.

  • Yield Loss: The percentage of products lost due to defects, rework, or scrap during the production process. This includes rejects, reworks, and waste.

Juice Factory

Example: Juice Factory Production Line

The Image above illustrates a bottling production line for apple juice.

  1. Apple Sorting:

    • After washing, apples are sorted.
    • Apples that do not meet the required standards are manually rejected by Jane and placed in the "Reject" box.

  2. Juice Extraction (Crusher Equipment):

    • The Crusher extracts juice, and the remaining apple solids are discarded as waste (or scrap).

  3. Bottling Process:
    Various scenarios can occur during the filling and labeling of juice bottles:

    • Broken Bottle → Reject (not usable and must be discarded).
    • Underfilled Bottle → Rework (can be reintroduced into the production line and filled correctly).
    • Overfilled Bottle → Rework (can be reprocessed to meet the correct filling level).
    • Incorrect Label → Rework (the incorrect label can be removed, and the bottle can be reintroduced).

Since reworks remain within the production line, they may or may not be counted again by a sensor.

 

 

Tracking Yield Loss in PerformOEE

The system allows manual and automated tracking of yield loss:

  • Manual Entry: Operators, such as Jane, can manually input the number of rejected apples.
  • Automated Detection: Sensors or push arms can detect and count rejected products. Each activation of the push arm or sensor registers as a reject and is recorded under the Q (Quality) metric.

Importance of Tracking Rejects and Waste

  • Cost Analysis: Monitoring rejects helps identify financial losses due to unsellable products.
  • Supplier Evaluation: If a high number of broken bottles is recorded, switching to a more durable glass or a different supplier might reduce losses.
  • Waste Management & Recycling: If waste/scrap is significant, it may be resold to composting companies. Tracking waste over time (weekly, monthly, etc.) helps assess opportunities for sustainable practices and cost recovery.