Embodiment design or preliminary design is the phase where the design concept is given physical form. It involves three main activities: product architecture, configuration design, and parametric design. Product architecture determines the arrangement of physical elements into modules. Configuration design focuses on special-purpose parts and standard components. Parametric design sets exact dimensions and tolerances. System modeling and functional modeling help structure the design problem and identify inputs and outputs. Tools like FAST and subtract-and-operate are used to develop the functional decomposition of the design. Simulation allows testing designs virtually before validation.