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In 2007 Punch Powertrain started the development of a full hybrid powertrain concept based on its CVT. A performance and efficiency analysis proved that a post-configuration offered the best solution. In parallel to the mechanical and electrical development an advanced, Matlab/Simulink® simulation system was established. A robust powertrain strategy was developed and implemented into the simulation system. Results show a potential of 30% to 70% fuel efficiency improvement depending on the cycle (type approval and real-world cycles). A higher saving potential is possible as a plug-in. The fuel efficiency improvement is reached while meeting other important targets. First of all, the powertrain cost premium needs to match the saving. Next to keeping the transmission cost under control the electric drive technology and the batteries are cornerstones of the powertrain development. A dedicated switched reluctance electric motor/generator is developed at a partner.