This paper deals with the cellular manufacturing system (CMS) that is based on group technology concepts. CMS is defined as identifying the similar parts that are processed on the same machines and then grouping them as a cell. The most proposed models for solving CMS are focused on cell formation problem while machine layout is considered in few papers. This paper addresses a mathematical model for the joint problem of the cell formation problem and the machine layout. The objective is to minimize the total cost of inter-cell and intra-cell (forward and backward) movements and the investment cost of machines. This model has also considered the minimum utilization level of each cell to achieve the higher performance of cell utilization. Two examples from the literature are solved by the LINGO Software to validate and verify the proposed model.
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