AbstractA flexible manufacturing cell consisting of two machining centres, several automated storage/retrieval stations, and a mobile transporting robot is considered. The problem is to schedule jobs on machines so as to minimize the makespan, with the effects of transportation and set-ups to be taken into account. The problem is studied with the aid of a graph model, and an exact algorithm of cubic complexity is derived based on the Gilmore–Gomory algorithm for the travelling salesman problem.