Recently fuel economy and stringent emission norms are the ever growing concern in automotive global scenario. So, automotive engineers are constantly seeking new cost effective methodologies and techniques to achieve considerable weight reduction and improved performance. Nowadays Automotive OEMs are using Aluminum Oil sump (which is a structured part of an engine and supports considerable amount of transmission housing weight) for better emission, reducing the engine height, engine weight and NVH levels. Our present work reveals the concept of ‘Hybrid oil sump’ which made by sheet metal and aluminum in such a way that weight and cost reduced by 20% and 30 % respectively, without compromising NVH and strength properties. Exactly it deals the iteration part of design to arrive the optimum model, various structural modifications since it carries considerable amount of weight of transmission.