Switched reluctance machines (SRMs) are witnessing increased interests and applications in the industry and scientific communities thanks to the advantages of rigid structures, high reliability and robustness, the absence of permanent magnets, fast dynamic response, and low manufacturing cost. SRMs have become a feasible and popular alternative to conventional electric machines, such as induction machines and permanent magnet machines, with variable speed drives in many applications. Since improving the electromagnetic and thermal performances of an SRM at the design stage is of significant value, this paper presents an in-depth literature review on the status and potential trends of the technology pertinent to the design and optimization of SRMs in the following aspects: the mathematical modeling of the electromagnetic and thermal fields in SRMs, the enhancement of the performances in terms of the torque ripple, acoustic noise, efficiency, and torque density, and the multiobjective design optimization incorporating all the above factors. Finally, the presence of SRMs and their design considerations for specific applications in electric vehicles, aircraft and aerospace systems, wind generators, high speed, and energy storage systems are extensively discussed in this paper. The existing approaches advancing the SRM technologies are systematically and comprehensively summarized and compared for each category.