This study aims to serve as a roadmap to enable consolidation within the Engineering Design industry with a particular focus on the state of West Bengal. This paper aims to focus on the capabilities that EDS companies need to nurture to bring innovative value to the product development process, working at every stage of the design cycle - from concept through end-of-life support. It also attempts to contemplate on the winning business strategies that design engineering companies need to adopt as they gear themselves to tap the huge engineering outsourcing opportunity and position the state as a leading hub for high value design destination. The study focuses on the core areas where EDS has potential in West Bengal namely: Automotive, Food Processing, Hi Tech & Telecom and Infrastructure.