In this paper, we consider the cell formation and the machine selection problems for the design of a new cellular manufacturing system. The objective is to solve these problems in an acceptable time while considering machine capacity, alternative routeing and constraints on cell size. We propose a heuristic algorithm which consists of two main resolution phases. The first phase forms a configuration of independent cells using a cell aggregation procedure. The second phase considers the introduction of intercell flow to eliminate the machines that are under-utilized. An illustrative numerical example and computational experience are conducted.
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Beaulieu et al. (1997) studied this question.
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