📋 Case Study
Electronics Contract Manufacturer Labor Yield Recovery
High defect-related rework consuming 31% of operator time; low first-pass yield (68%)
🏗️ Project Overview
Surface-mount technology (SMT) line in Vietnam producing medical PCBs
🎯 Challenge
High defect-related rework consuming 31% of operator time; low first-pass yield (68%)
🔧 Design Approach
Integrated poka-yoke fixtures, standardized visual work instructions, and defect root cause mapping via 5-Why + Fishbone analysis
📐 Design Diagram
AI-generated project design illustration
📐 Key Calculations
Rework Labor Cost per Unit
(Rework Minutes × Labor Rate) / Units
Result: $4.20 → $0.85
Quantified true cost of quality failure
Effective Labor Utilization
(Value-Added Time / Total Labor Time) × 100
Result: 41% → 79%
Shifted focus from speed to value
📊 Results
First-pass yield increased to 94%, labor productivity rose 28%, rework-related absenteeism dropped 60%💡 Lessons Learned
- •Defects are labor efficiency killers — not just quality issues
- •Visual management reduces cognitive load and errors
- •Frontline ownership of standards improves sustainability
✅ Key Takeaways
- 1Defects are labor efficiency killers — not just quality issues
- 2Visual management reduces cognitive load and errors
- 3Frontline ownership of standards improves sustainability
📐 Prerequisites
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🔗 Engineering Applications
See how this applies across industries