Orc breeding

During Chapter 3, your orc breeding specialist will work to create better orcs from the unmanaged and highly variable stock found on Arclent. This seems certain to affect the strength of your army next time it is needed, but the game also hints that Simon has long-term plans for orckind...

Stats
There are three visible and three hidden stats tracked in orc development, plus one switch. And finally whether or not you start "Orc Evolution" based on the relevant Research.
 * Strength
 * Intelligence
 * Discipline
 * Sapience
 * Attractiveness
 * Magic

Each "iteration" of spending time in Yhilin, you can order a +2 increase to one of the first three stat totals, or start Orc Evolution, which gives +1 to the latter three. You will get to make a total of three "upgrades" to stats before Balia stop experimenting and start focusing on Army building.

Unique Orcs
Unique orcs give stat boosts all by themselves. You can learn where to acquire these here.

Seed Orcs
Before you can get started, you must also gather "seed orcs" in Ari-Yhilina, orcs who are notable in some minor way. These seem interchangeable mechanically, and how the total affects breeding is yet unknown, but you may as well get them all.