Two-dimensional cutting stock problem with sequence dependent setup times

Motivated by a firm in the technical textile industry, we study a two-dimensional cutting stock problem with sequence dependent setup times and permissible tolerances. We provide a sequential heuristic with feedback loop based on the approach of Gilmore and Gomory and formulate the sequencing problem as a mixed integer program. We derive a lower bound algorithm and demonstrate the near-optimal performance of our heuristic. Finally, we use real data to test our heuristic and illustrate its applicability to a problem of realistic size.