This paper's purpose is to make a first attempt at analysing the desig
n function from a variety of disciplinary perspectives: economic, soci
ological and management. It explores what design is, and compares it t
o R&D and technological innovation. It surveys the literature on techn
ological innovation and considers its usefulness in understanding and
analysing the design function. It then examines the organisation and l
ocation of design activities in relation to manufacturing firms, refer
ring to empirical studies of a number of contrasting sectors of indust
ry in various countries, as well as to an historical analysis of the e
volution of the design function.