The machine cell formation problem is the problem to group machines into machine families and parts into part families so as to minimize bottleneck machines, exceptional parts, and inter-cell part movements in cellular manufacturing systems and flexible manufacturing systems. This paper proposes a new machine cell formation method based on the adaptive Hamming net which is a kind of neural network model. To show the applicability of the proposed method, it presents some experiment results and compares the method with other cell formation methods. From the experiments, we observed that the proposed method could produce good cells for the machine cell formation problem.