A surgical technique which can be applied to facial and other bones to encourage new bone and soft tissue formation. An osteotomy is carried out to produce a mobile or transport segment of bone and an appliance (distractor) is fitted which gradually applies traction to the transport segment over a period of several weeks encouraging new bone formation (osteogenesis) in the gap created. The adjacent soft tissues are expanded simultaneously as the bone segment is transported. Distractor devices may be either intraosseous or extraosseous. The techniuqe can be used to generate more bone tissue and correct deficient alveolar ridges prior to the insertion of dental implants.