Contract Manufacturing, Job Shop Quoting & Make-to-Order worked example

Lot Size Economics at 70% usable lot yield: a worked example

Here is what the math looks like when conditions slip. We hold every other input steady and drop usable lot yield to 70%, then walk the calculation through step by step. Estimate lot-size economic benefit or cost impact for a quoted run.

The inputs for this scenario

  • Lot-size cost impact per unit: 3.25 $ / unit (held at the documented default)
  • Quoted lot size: 1,800 units (held at the documented default)
  • Usable lot yield: 70 % (the input this scenario stresses; the baseline uses 97)
  • Cost impact captured in price: 100 % (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: gross lot-size economic impact = lot-size cost impact per unit × quoted lot size.
  • lot-size economic impact captured works out to 4,095 $ at these inputs, and this is the headline figure for the scenario.
  • gross lot-size economic impact works out to 5,850 $ at these inputs.
  • lot-size impact lost to yield works out to 1,755 $ at these inputs.
  • lot-size impact not captured in price works out to 0 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where usable lot yield sits at 97% and the headline result is 5,675 $, this scenario comes in 27.84% below the baseline at 4,095 $.
  • The practical read: the gap between this scenario and the baseline is entirely attributable to usable lot yield, so recovering it is worth quantifying in dollars before considering equipment or staffing changes. It assumes the per-unit impact is constant across the lot; in reality unit cost often steps down nonlinearly with quantity, so for large lot-size swings you should re-derive the per-unit figure at each quantity.

Results at a glance

  • lot-size economic impact captured: 4,095 $ (headline result)
  • gross lot-size economic impact: 5,850 $
  • lot-size impact lost to yield: 1,755 $
  • lot-size impact not captured in price: 0 $

Run it with your numbers

  • To rerun this with your own numbers, open the live Lot Size Economics calculator, set usable lot yield to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.