This paper presents a novel hybrid modulation algorithm which improves the harmonic performance of eight of the most common pulse width modulation (PWM) algorithms for voltage source inverters (VSI) in the electric drive field. From harmonic analysis of these eight algorithms, a methodology was established for designing a hybrid modulation scheme offering superior harmonic performance. The algorithm so designed was validated theoretically by calculating the total harmonic distortion factor FDIST and experimentally by measuring the weighted total harmonic distortion factor VWTHD.