This paper describes a framework for an approach to the engineering learning laboratory program that includes objectives emphasizing customer interfaces and the iterative nature of the engineering design process. The approach is designed to help students' transition from standalone labs and laboratory-based design projects to a capstone experience. In this approach the students are customers of each other and must improve their product, a laboratory exercise, based on other student's feedback. The four phases to the project are research of a topic, development of a laboratory exercise, continuous improvement and final report/evaluation. The phases are explained in a format that could be applied to other engineering laboratories and a case is presented to illustrate application in a specific course.