In many research universities, mechanical engineering (ME) curriculum does not include courses that teach ME students essential professional knowledge needed to become a design engineer. Professional know-how is not regarded as an academic topic, although a mechanical designer who will get a job in industry will need to apply this knowledge from his first day. Topics such as selecting mechanical elements (motors, bearings, seals etc.) from a catalog or selecting a proper material or coating for a designed part, are rarely taught even in machine design courses. We believe that mechanical engineering students should learn practical skills and get basic design experience. To close this gap, we introduced a new "Design and Manufacture Laboratory" for senior ME undergraduate students. The paper describes the laboratory course, students' activities and design projects. The design projects performed in the lab, follow the learned design methodology and include design reviews and appropriate documentation. The designed systems are produced, assembled and tested by each team. In addition to the learned technical skills, "soft skills" are taught in the lab related to mechanical design that include: team work, self-management, time management, communication skills and presentation skills. These soft skills are an essential tool for every mechanical engineer who starts to work in the global and changing industrial world. (C) 2015 The Authors. Published by Elsevier B.V.