Factorial design as optimization technique was applied in formulation development and processing conditions of Diclofenac sodium granules. The present study involves design and evaluation of non-effervescent granules of Diclofenac sodium with excellent flow properties. In the formulation of non-effervescent granules of Diclofenac sodium, angle of repose was the dependent variable (with excellent flow) and the concentrations of binder (Povidone K-30) and lubricant (Magnesium stearate) were the two independent variables chosen at two different levels. With the help of factorial approach, a polynomial equation Y= B0 + B1X1 + B2X2 + B12X1X2 was formed. Using the polynomial equation three new formulations were selected and performed to evaluate the correlation between experimental and predicted responses. A good correlation was obtained between the experimental and the predicted values. Also the work was oriented to have a comparative study of application of factorial design with and without use of software and come up with any pros and cons of these respective ways.