In this paper a generalized algorithmic procedure is presented for handling constraints in mechanical transmissions. The latter are treated as multibody systems of interconnected rigid/flexible bodies. The constraint Jacobian matrices are generated automatically and suitably updated in time, depending on the geometrical and kinematical constraint conditions describing the interconnection between shafts or gears. The type of constraints are classified based on the interconnection of the bodies by assuming that one or more points of contact exist between them. The effects due to elastic deformation of the flexible bodies are included by allowing each body element to undergo small deformations. The procedure is based on recursively formulated Kane's dynamical equations of motion and the finite element method, including the concept of geometrical stiffening effects. The method is implemented on an IBM-3090-600j vector processor with pipe-lining capabilities. A significant increase in the speed of execution is achieved by vectorizing the developed code in computationally intensive areas. An example consisting of two meshing disks rotating at high angular velocity is presented. Applications are intended for the study of the dynamic behavior of helicopter transmissions.