The latest robot in the Hostile Environment Robotic Machine Intelligence Experiment Series (HERMIES) is now under development at the Center for Engineering Systems Advanced Research (CESAR) in the Oak Ridge National Laboratory. The HERMIES III robot incorporates a larger than human size 7-degree-of-freedom manipulator mounted on a 2-degree-of-freedom mobile platform including a variety of sensors and computers. The deployment of this robot represents a significant increase in research capabilities for the CESAR laboratory. The initial on-board computer capacity of the robot exceeds that of 20 Vax 11/780s. The navigation and vision algorithms under development make extensive use of the on-board NCUBE hypercube computer while the sensors are interfaced through five VME computers running the OS-9 real-time, multitasking operating system. This paper describes the motivation, key issues, and detailed design trade-offs of implementing the first phase (basic functionality) of the HERMIES III robot. 10 refs., 7 figs.