Cost of Poor Quality Calculator
See how much defects cost you per year — the price of the hidden factory.
CurrentTarget
Defective units/year
—
Annual cost of poor quality
—
As % of revenue
—
A simplified estimate; real COPQ also includes prevention and appraisal costs.
Values are calculated only in your browser; no data is stored.
About this metric
What is it?
The total yearly cost of defects as scrap, rework and returns — the often-invisible 'hidden factory'.
How is it calculated?
Defective units/year = output × defect rate; cost = defective units × average cost per defect (scrap+rework+returns).
How to interpret it?
Above 2% of revenue is a serious loss; real COPQ is usually 3–5× larger than what is visible.
How to improve it?
Find root cause (8D, Ishikawa), prevent risk with FMEA, catch defects early with SPC.
Let's improve these numbers on the field
Measuring is the first step; lasting gains come from implementing together on the field.
Get in Touch