Abstract: In a production environment of high variety and low volume, product mix and demand usually change under a multi-period planning horizon. The dynamic cellular manufacturing system (DCMS) is a well known strategy that typically improves manufacturing efficiency in sucha production environment. To implement DCMS successfully both technical issues (cell formation and design, intercellular and intracellular material movements etc) and human issues (salary, hiring and firing) need to be considered. An integrated mixedinteger model is developed to comprehensively investigate and analyze cell formation, intercellular and intracellular materials handling, inventory and backorder holding, operators assignment and flexible production routing considering multi-production planning with multi-functional machines and multi-skilled operators where each period has different demands. The optimum of the numerical example is solved using a genetic algorithm and it proves the proposed model to be feasible and effective.