Abstract: In the paper，a hybrid of genetic algorithm is proposed for the shelf-space allocation problem.Firstly，the genetic algorithm encodes space-allocations as matrixes whose element of ith row and kth column is the allocation amount of facing of product i on shelf k.Secondly，crossover operator and mutation operator are designed，and offspring generated by crossover and mutation is feasible.Thirdly，a threshold value ζ based on structure of phenotype and its fitness is defined to generate good enough initial population.Fourthly，simulated annealing algorithm and local adjusted method are parallelly executed to each individual in subpopulation generated by crossover and mutation operator separately to increase abilities of local search of the algorithm.Compared with other heuristic methods，the hybrid genetic algorithm is shown to be a very efficient algorithm which allocates shelf space at near optimal levels.