The aim of the course is to build upon the previous courses PDI1 and PDI2 to grow the understanding of the students on product development and innovation. The course will focus on the importance of the design process from conceptual design to detailed design. A successful product development process depends on a structured way of managing this process. The process includes setting up specifications for the product, generating and selecting concepts and testing the solutions. Prototyping is a key issue in this stage of the new product development process. Risk management focuses on how risk may be managed at the product and project level to ensure that the best and most feasible projects are carried over in the process. Furthermore the students have to carry out a basic literature review. The specific methodological approach for this literature review can be chosen by the students, but it should cover engineering as well as managerial literature. This exercise aims at contributing to the methodological preparation of the students’ bachelor projects.