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ProcurementCalculate defective units per million from one assessed supplier cohort, keeping unit failures separate from multiple defect events.
Calculate defective units per million from one assessed supplier cohort, keeping unit failures separate from multiple defect events.
This is the observed assessed cohort, not DPMO or a confidence bound for uninspected units.
Count each failed unit once even if it has several defects. The numerator and denominator must describe the same inspected or otherwise assessed cohort and the same defect criteria. PPM scales the observed rate to one million units; it does not mean one million units were inspected.
Defective-unit PPM counts units with at least one qualifying defect per million assessed units. This can make small rates easier to compare while preserving the inspected-unit denominator.
It is not a count of every defect occurrence, and a sampled population may not represent all delivered units. Keep inspection coverage and defect definitions stable. A zero count in a small sample is not proof that the process produces no defects.
This is not defects per million opportunities, a statistical confidence interval, or a lot-acceptance plan. Sampling results do not establish the exact defect rate in uninspected receipts. Zero observed failures does not prove zero underlying risk.
ASQ quality glossary: PPM and defect measuresNot here. This is defective-unit PPM. A unit with three defects counts as one defective unit. Defect-event and opportunity-based measures have different numerators and denominators.
The observed PPM is zero for this cohort. Do not interpret that as proof that every uninspected unit is defect-free.