This translation has been developed from the fifth edition (2005) of the Authors’ German text, “Kostengünstig Entwickeln und Konstruieren”. The discussion on the methods of cost reduction and cost-driven design draw heavily on the “S- tematic Method of Design”, the development of which is described in German language literature of the past several decades. An English language edition 1 [Pah05] of a classic text is available. In this approach, the design process is - vided into the phases of task clarification, concept development, preliminary - sign (embodiment) and the detailed layout. Design forms the core of the co- dinated process of modern product development, known under the rubric of Concurrent Engineering. This book stresses the collaboration of the different - partments in a company, which is essential for the development of reliable and low-cost products. The first edition was a best seller for a number of years. Eventually, as the fields developed, a second edition came out in 1998. The development of methods (a major portion of that from the research in the authors’ Institute,) as well as the demand for the book, led to the third, fourth and fifth editions appearing in quick succession. It was the first book that, with a scientific approach, showed the c- nection between design, production processes and the product costs. This provided the basis for cost-driven product design. The overriding goal in preparing this translation was to convey the ideas of the authors as closely as possible.