Furniture, Fixtures & Interior Products worked example

Panel Cutting Optimization with good panels or parts cut of 900 parts: a worked example

Push good panels or parts cut up to 900 parts and the picture changes. This example computes every intermediate figure at that operating point. Use it when a millwork, cabinet, display, or casegoods shop wants to compare cut-list nesting, sheet utilization, CNC routing time, panel saw work, and scrap impact before releasing a job.

The inputs for this scenario

  • Good panels or parts cut: 900 parts (raised for this scenario; the documented default is 360)
  • Variable cutting cost per part: 4.85 $ / part (unchanged)
  • Cut-list setup and programming cost: 220 $ (unchanged)
  • Scrap, offcut, and handling adder: 310 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Total panel cutting optimization cost = good panels or parts cut × variable cutting cost per part + cut-list setup and programming cost + scrap, offcut, and handling adder) to the inputs above produces each figure below.
  • At this operating point the engine returns 4,895 $ for total panel cutting optimization cost, the number this scenario is built around.
  • At this operating point the engine returns 5.44 $ / piece for cost per cut part.
  • At this operating point the engine returns 4,365 $ for variable cutting cost per part.
  • At this operating point the engine returns 530 $ for cut-list setup and programming cost plus scrap, offcut, and handling adder.

How this compares with the baseline

  • Against the tool's baseline example, where good panels or parts cut sits at 360 parts and the headline result is 2,276 $, this scenario comes in 115% above the baseline at 4,895 $.
  • It computes the total cost to cut a batch of panels and the resulting cost per good cut part by combining per-part cutting cost, cut-list setup/programming, and a scrap and handling adder. The value of this scenario is the size of the gap it exposes: that gap, priced out over a year, is the budget you can justify spending to close it.

Results at a glance

  • Total panel cutting optimization cost: 4,895 $ (headline result)
  • Cost per cut part: 5.44 $ / piece
  • Variable cutting cost per part: 4,365 $
  • Cut-list setup and programming cost plus Scrap, offcut, and handling adder: 530 $

Run it with your numbers

  • Every input above is editable in the live Panel Cutting Optimization calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.