Energy from ocean waves remains largely an untapped resource. This is also highly consistent in comparison to other alternate sources of energy such as wind and solar. Present study deals with the design and development of innovative wave energy converter (WEC) that uses a buoy-type point absorber. The device is proposed to be mounted on an offshore platform and be used to produce electric output for meeting the operational energy demands, partially. The device employs lever arm and gear boxes to obtain the mechanical work from the heave energy of the floating buoy. Subsequently, electric energy is generated from the mechanical work harnessed from the waves by deploying a generator. Design Failure Mode and Effect Analysis is carried out on system to identify effects of failure modes. © 2015 The Authors. Published by Elsevier Ltd.