Cell formation and cellular layout design are the two main steps in designing a cellular manufacturing system (CMS). In this paper, we will present an integrated methodology based on a new concept of similarity coefficients and the use of simulated annealing (SA) as an optimization tool. In comparison with the previous works, the proposed methodology takes into account relevant production data, such as alternative process routings and the production volumes of parts. The SAbased optimization tool is parallel in nature and, hence, can reduce the computation time significantly, so it is capable of handling large-scale problems. Finally, the SA-based procedure is compared with a genetic algorithm (GA) based procedure and it will be shown that the SA-based algorithm can be as effective as a GA-based algorithm, but with less computational time and effort.
