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← KPI Glossary
Manufacturing & Distribution

Scrap Rate

Percentage of raw materials wasted during production. A cost and sustainability metric that impacts gross margin directly.

What is Scrap Rate?

Scrap Rate is defined as: Percentage of raw materials wasted during production. A cost and sustainability metric that impacts gross margin directly.

What data source is used to measure Scrap Rate?

Scrap Rate is typically measured using data from a MES / ERP. This system of record provides the transactional and operational data required to calculate and monitor this metric accurately and in real time.

Typical Data SourceMES / ERP

Which industries track Scrap Rate?

Scrap Rate is a key performance indicator used across the following sectors:

  • ›Manufacturing & Distribution

How does Firehawk Analytics measure Scrap Rate?

Firehawk Analytics connects directly to your MES / ERP and delivers a live Scrap Rate dashboard. Configuration is completed within 48 hours — no data analyst required on your team.

More metrics from Manufacturing & Distribution

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Overall Equipment Effectiveness

Composite metric combining availability, performance, and quality rates. The gold standard for manufacturing productivity measurement.

Manufacturing & Distribution
MES / SCADAView →

Order Fill Rate

Track Scrap Rate in your business

In 48 hours, you'll have a live Scrap Rate dashboard connected to your MES / ERP.

Browse all KPI definitions →

Percentage of customer orders fulfilled completely on the first shipment. Directly impacts customer satisfaction and logistics costs.

Manufacturing & Distribution
WMS / ERPView →

Cost per Unit Produced

Total production costs divided by units produced. The fundamental benchmark for manufacturing cost competitiveness.

Manufacturing & Distribution
ERP / MESView →