In this paper, we discuss the design of a manually operated soil compaction machine that is being used to manufacture stabilized soil blocks (SSB). A case study of manufacturing more than three million blocks in a housing project using manually operated machines is illustrated. The paper is focussed on the design, development, and evaluation of a manually operated soil compaction machine for the production of SSB. It also details the machine design philosophy, compaction characteristics of soils, employment generation potential of small-scale stabilized soil block productions systems, and embodied energy. Static compaction of partially saturated soils was performed to generate force-displacement curves in a confined compaction process were generated. Based on the soil compaction data engineering design aspects of a toggle press are illustrated. The results of time and motion study on block production operations using manual machines are discussed. Critical path network diagrams were used for small-scale SSB production systems. Such production systems generate employment at a very low capital cost.