THIS PAPER PROVIDES A RECIPE FOR THE APPLICATION AND DESIGN OF CELLS AND FLOWLINES USING GROUP TECHNOLOGY CONCEPTS. THE FIRST HALF OF THE PRESENTATION PROVIDES A HISTORICAL PERSPECTIVE ON THE DEVELOPMENT OF THE CONCEPT, PARTICULARLY THE LEADERSHIP THE JAPANESE HAVE PROVIDED IN EDUCATING OTHERS. IT ALSO ADDRESSES THE IMPORTANCE OF BASING THE DECISIONS TO REORGANIZE A PLANT INTO GT CELLS, FLOWLINES AND FOCUSED FACTORIES, ON A COMPETITIVE BUSINESS AND MANUFACTURING STRATEGY. THE SECOND HALF OF THE PAPER DISCUSSES THE SPECIFICS OF DESIGNING CELLS AND FLOWLINES USING GROUP TECHNOLOGY, INCLUDING THE IMPORTANCE OF SIMULATION DURING VARIOUS PHASES OF THE DESIGN AND AFTER IMPLEMENTATION.