Fault grading
Encyclopedia
Is a procedure that rates testability
Testability
Testability, a property applying to an empirical hypothesis, involves two components: the logical property that is variously described as contingency, defeasibility, or falsifiability, which means that counterexamples to the hypothesis are logically possible, and the practical feasibility of...

 by relating the number of fabrication defects that can in fact be detected with a test vector set under consideration to the total number of conceivable faults.

It is used for refining both the test circuitry
Design For Test
Design for Test is a name for design techniques that add certain testability features to a microelectronic hardware product design. The premise of the added features is that they make it easier to develop and apply manufacturing tests for the designed hardware...

 and the test patterns
Automatic test pattern generation
ATPG is an electronic design automation method/technology used to find an input sequence that, when applied to a digital circuit, enables automatic test equipment to distinguish between the correct circuit behavior and the faulty circuit...

iteratively, until a satisfactory fault coverage is obtained.
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