Efficient algorithm for cell formation with sequence data, machine replications and alternative process routings

Cell formation is an important problem in the design of a cellular manufacturing system. Despite a large number of papers on cell formation being published, only a handful incorporate operation sequence in intercell move calculations and consider alternative process routings, cell size, production volume and allocating units of identical machines into different cells. Modelling the above factors makes the cell formation problem complex but more realistic. The paper develops a model and solution methodology for a problem of cell formation to minimize the sum of costs of intercell moves, machine investment and machine operating costs considering all the factors mentioned above. An algorithm comprised of simulated annealing and local search heuristics has been developed to solve the model. A limited comparison of the proposed algorithm with an optimal solution generated by complete enumeration of small problems indicates that the algorithm produces a solution of excellent quality. Large problems with 100 parts and 50 machine types are efficiently solved using the algorithm.