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Material selection is one of the major points that should be taken into account seriously in the engineering design stage. Each material has various properties such as mechanical, thermal, electrical, physical, environmental, optical and biological properties. However, it is a well known fact that only a limited number of design engineers have a thorough knowledge on all these properties of a specific material, which is planned to be used in the manufacturing of the product. Therefore, the design engineer should be guided in selecting the most suitable material. In the scope of this thesis, the aim was to develop an algorithm and a software package for material selection to help the design engineer in his decision making process. In the program, since steel is a widely used material in industry, it was selected as a material class among whole engineering materials, and a database covering all the necessary properties of various steels was constructed. These properties include chemical, mechanical, thermal, electrical and physical properties for steels. The database developed by using Microsoft Access also contains steels of 29 different steel standards and can be updated if the user wants. The software package was developed for Windows environment by using Microsoft Visual Basic 6.0. In the program, steels can be searched for the list of suitable steels by entering application areas and properties such as chemical component, yield strength, heat capacity and electrical resistance. In addition to this, lists of steels can be created by selecting the appropriate name of the steel standards. Force and load calculations for various deformation processes such as forging, rolling, extrusion and drawing can also be carried out in the relevant modules within the program.