Job Scrap Impact
Profit Margin Erosion
Profit
Scrap Loss
Hard Cost
Actual Profit
$0
Total Loss
$0
Meeting Insights
When a part is scrapped, you don't just lose the material cost. You lose the labor, the overhead, and the opportunity to sell that part for a profit.
The True Cost of Scrap
Scrapping a single part costs you its Full Selling Price in lost opportunity revenue.
QC Meeting Data Points:
Scrap Rate: 0%
Margin Erosion: 0%
Recovery: You must run 0 extra good parts just to pay for the scrapped ones.
"Reducing scrap is the fastest way to increase profitability without raising prices or finding new customers."