CAD, or computer-aided design, is a form of computer technology that assists in the drawing and technical drafting of products and even buildings. Architects use CAD to develop 3D drawings of their designs—CAD can be highly specific and different versions exist for different applications.

CAM, an acronym for computer-aided manufacturing, creates physical models—this is helpful when manufacturers need to check a part or component against other parts for proper fit. In order to generate the actual model, CAM works alongside CAD—using CAD designs, CAM uses numerical coding to run the machine that creates the product. A CAD/CAM package allows companies to develop and save their own product designs, and program machines to create the actual component.