Products are becoming increasingly complex, therefore designers are faced with a challenging task to incorporate new or improved functionality, higher performance and optimal shape design. Traditional user-centered design techniques such as designing with anthropometric data do not incorporate enough user data to design better products for the target population. Measurements of contact pressure and contact area using traditional methods are time consuming and require actual product prototype and expensive measurement systems. In order to overcome these limitations, several researchers already proposed the use of computer simulations using finite element (FE) method. Therefore the aim of this research was to develop an anatomically accurate and numerically feasible and stable finite element digital human hand model with bio-mechanically accurate hand movement and grasping, which would allow virtual analyses of stresses on the soft tissue. The usability of the developed model is presented on a case study grasping a cylindrical handle.