# Run at Rate Calculator (Production Capacity Verification)

> Source: https://netray.co/tools/run-at-rate-calculator-ppap
> Publisher: Netray (netray.co), AI and integration engineering for ERP and manufacturing systems.
> Section: Free Tools

## Short answer

Calculates actual rate, attainment against plan, first time quality and margin over customer demand from a run at rate.

## Category

quality

## Industry

Automotive

## Audience

- Supplier quality engineer
- Process engineer
- Plant manager

## Tool

**Kind:** calculator

**Currency:** $

**Inputs:**

#### Total parts produced in run

**Key:** produced

**Type:** number

**Default:** 1920

**Min:** 0

**Step:** 10

**Unit:** parts

**Help:** All parts made, good and bad.

#### Good parts, first time through

**Key:** good

**Type:** number

**Default:** 1862

**Min:** 0

**Step:** 10

**Unit:** parts

**Help:** Parts passing all inspections with no rework.

#### Run duration

**Key:** run_hours

**Type:** number

**Default:** 8

**Min:** 0.1

**Step:** 0.5

**Unit:** hours

**Help:** Net run time agreed with the customer, often 8 hours.

#### Planned (quoted) rate

**Key:** planned_rate

**Type:** number

**Default:** 240

**Min:** 1

**Step:** 5

**Unit:** parts per hour

#### Customer weekly demand

**Key:** weekly_demand

**Type:** number

**Default:** 7000

**Min:** 0

**Step:** 100

**Unit:** parts per week

#### Planned production hours per week

**Key:** hours_week

**Type:** number

**Default:** 40

**Min:** 1

**Step:** 1

**Unit:** hours

**Outputs:**

#### Actual rate

**Key:** actual_rate

**Expr:** produced / run_hours

**Format:** decimal

**Description:** Parts produced per hour, good or bad.

#### Rate attainment

**Key:** attain

**Expr:** actual_rate / planned_rate * 100

**Format:** percent

**Primary:** true

**Description:** Actual rate against the quoted rate.

#### First time quality

**Key:** fty

**Expr:** good / produced * 100

**Format:** percent

**Description:** Good first pass parts divided by parts produced.

#### Good parts per hour

**Key:** good_rate

**Expr:** good / run_hours

**Format:** decimal

#### Required rate for customer demand

**Key:** req_rate

**Expr:** weekly_demand / hours_week

**Format:** decimal

#### Capacity margin over demand

**Key:** margin

**Expr:** (good_rate / req_rate - 1) * 100

**Format:** percent

**Primary:** true

**Description:** Positive means good output exceeds the demand rate.

**Disclaimer:** Customer run at rate requirements differ in run length, sample size, acceptance thresholds and how downtime is treated. Use the customer's definition when it conflicts with this calculation.

## Content

**Intro:** A run at rate, also called a capacity verification run, proves that a supplier can make good parts at the quoted rate using production tooling, people and process. This calculator turns your run data into attainment, first time quality and margin over demand.

**Sections:**

#### How to use it

**Body:** Enter the total parts produced, the number that were good first time through, the run duration and the planned rate from your quote. Add the customer's weekly demand and the production hours you plan per week. The calculator returns actual rate, rate attainment and first time quality, then compares your good output with the demand rate to show margin. Run the numbers for each shift or line if you run more than one.

#### The formulas

**Body:** Actual rate is parts produced divided by run hours. Rate attainment is actual rate divided by planned rate. First time quality is good parts divided by parts produced. Required rate is weekly demand divided by planned production hours. Capacity margin is good parts per hour divided by required rate, minus one. A margin near zero means no buffer for downtime, scrap or demand spikes.

**Bullets:**

- Actual rate = produced / run hours
- Attainment = actual rate / planned rate
- First time quality = good / produced
- Margin = good rate / required rate - 1

#### Worked example

**Body:** A line produces 1,920 parts in an 8 hour run, 1,862 of them good first time. The quote assumed 240 parts per hour. Actual rate is 240 per hour, so attainment is 100 percent, and first time quality is about 97 percent. Good output is about 233 per hour. Weekly demand of 7,000 over 40 hours needs 175 per hour, so there is roughly 33 percent margin, which leaves room for downtime and changeovers.

#### Common mistakes

**Body:** Counting rework as good output, excluding planned breaks or stoppages the customer expects to count, running with extra operators that will not exist in production, and using the machine's rated speed rather than measured output. Also verify that upstream and downstream operations can keep up at the same rate, since the weakest process sets the real rate.

**Cta:** Netray can help pull actual rate, scrap and downtime from your MES or ERP into a private dashboard so capacity checks use live data.

**Faq:**

#### What is a run at rate?

**Answer:** It is a production run done at the quoted rate, with production tooling, people, gauges and material, to show the supplier can meet customer volume and quality. Many OEMs require it as part of PPAP or as a separate capacity verification before launch.

#### How long should a run at rate be?

**Answer:** It depends on the customer. Many require a continuous run of several hours or a fixed number of pieces, often with a minimum percentage of the daily rate. Always follow the customer's written requirement for duration, sample size and acceptance.

#### What first time quality is acceptable?

**Answer:** There is no universal number. Customers set their own thresholds, often requiring all parts to be good or a very high yield on the run. Use the customer requirement, and investigate every failed part, even if the percentage looks high.

#### Does the run need to include setup and changeovers?

**Answer:** Sometimes. Some customers want the run to show real conditions, including breaks and typical stoppages, while others measure net run time only. Confirm how downtime counts before the run and record your assumptions with the results.

## Search terms

run at rate calculator, run at rate ppap, production capacity verification, run at rate template, run at rate formula, run at rate attainment, capacity verification run, run at rate quality systems

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