[someguydave]

But then you could argue that the machine code emitted from the compiler is a design and the actual hardware that implements it is "building the software".

[igravious]

Nobody said that it was an exact analogy. :) All it needs to be is more exact than the previous (good, but not all that good) analogy.

[someguydave]

But then you could argue that the implementing transistor arrangement is a design and the actual movement of electrons that implements it is "building the software"

[TeMPOraL]

What compiler does is equivalent to what a contractor does - building. The machine code emitted from the compiler is the building.