Hybrid Vehicles introduce new technologies and new challenges into automotive design. Although these new technologies promise to gain greater efficiencies, they are not as proven as conventional drivetrain systems. Companies and their engineers cannot rely on the know-how of their existing systems for this new evolving technology. Specifically the interaction between the different drive concepts and the complex control algorithm is a big challenge in the development of a hybrid vehicle. Virtual design and the use of advanced simulation methods like statistical analysis and FMEA are therefore more important than ever to reduce the design risk. This presentation examines the benefits of virtual design and robust design techniques, used extensively in the development process of traditional vehicles, applied to the challenges of drivetrain systems in hybrid vehicles.