Physical design refers to the process of creating the layout and structure of a system or product. This includes determining how components will be arranged and how they will interact with each other. In fields like architecture and engineering, physical design ensures that a building or machine is functional, safe, and aesthetically pleasing. In the context of electronics, physical design involves the arrangement of circuits and components on a chip. This process is crucial for optimizing performance and minimizing power consumption. Tools and techniques used in physical design help engineers create efficient and reliable products, such as smartphones and computers.