A heuristic to minimize the total weighted tardiness with sequence-dependent setups

We propose a three-phase heuristic for the problem of minimizing the total weighted tardiness on a single machine in the presence of sequence-dependent setup times. In the first phase a number of parameters characterizing the problem instance at hand are calculated. In the second phase we develop a schedule by using a new priority rule whose parameters are calculated based on the results of the first phase. Computational experiments show that this rule significantly outperforms the only other rule so far developed in the literature. The third phase consists of a local improvement procedure to improve the schedule obtained in the second phase. The procedure we suggest has been successfully implemented in an industrial scheduling system.