CAD
Computer-aided design (CAD) is the use of computers system for creation, modification, analysis, and optimization of a design.The term CADD (for Computer Aided Design and Drafting) is also used sometimes.
CAD is mainly used for engineering purpose in which 3D models or 2D drawings of physical components are made, but it is also used throughout the engineering process from conceptual design and layout of products to manufacturing process.
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CAM
CAM stands for Computer-Aided Manufacturing and it is the used of software to control machine tools used in manufacturing processes by generating NC programming by taking reference from CAD model and that machine which controlled using this programming are known as CNC ( Computerized Numerical Control). Basically ,It enabling faster, accurate and more precise production of components, CAM is usually the next step after computer-aided design (CAD) or you can say successor of CAD.Computer-aided manufacturing (CAM) is an application technology that uses computer software and machinery to facilitate and automate manufacturing processes.
Computer-aided manufacturing (CAM) uses geometrical design data to control the cutting tool to acquire required shape and size. CAM systems are associated with computer numerical control (CNC) or direct numerical control (DNC) systems.Computer-aided design and manufacturing systems are generally referred to as CAD/CAM.
Disadvantages are :-
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Computer errors are possible.
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CAD and CAM software can be expensive.
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Training is expensive.
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Computers and controllers to run the software and CNC machinery for manufacturing is expensive.
CAE
CAE stand for Computer-aided engineering .It has great application in engineering field. It is the use computer software to aid in engineering analysis tasks in order to improve designs or assist in the resolution of engineering problems for a wide range of industries..Computer aided engineering primarily uses Computer Aided Design (CAD) software.This includes simulation, validation and optimization of products, processes, and manufacturing tools
CAE areas covered include:
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Stress analysis on components and assemblies using Finite Element Analysis (FEA);
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Thermal and fluid flow analysis Computational fluid dynamics (CFD);
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Multibody dynamics (MBD) and Kinematics;
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Analysis tools for process simulation for operations such as casting, molding, and die press forming.
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Optimization of the product or process.
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In general, there are three phases in any computer-aided engineering task:
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Pre-processing – defining the model and environmental factors to be applied to it. (typically a finite element model, but facet, voxel and thin sheet methods are also used)
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Analysis solver (usually performed on high powered computers)
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Post-processing of results (using visualization tools)