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In this paper, heuristic and optimal algorithms for solving the group technology problem are presented. The heuristic algorithm is based on a branch-and-bound concept. A quadratic programming model for the machine grouping problem is formulated. The A∗ algorithm is developed for optimal solving of the machine grouping problem. The performance of the heuristic branch-and-bound method and the A∗ algorithm is compared with several existing heuristics.
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