Process Manufacturers--Great Batch, Every Batch Olin Thompson - August 30, 2004
What Makes a Batch Great or Terrible?
The definition of a "great batch" or a "terrible batch" will vary from business to business or even product to product. The measurement encompasses yield, cost, and quality metrics. Most manufacturers understand the definition of a good batch. From a financial standpoint, the definition is distilled to how well an individual batch contributes to profitability. Better yield means a lower cost per unit. Higher quality should mean a higher price. The measurement reflects either a lower cost or a higher price, and in either case, improved contribution for the great batch and lower contribution for the terrible batch, even a loss...
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