Power Quality is an essential concern in the modern power system that can affect consumers and utility. The integration of renewable energy sources, smart grid systems and extensive use of power electronics equipment caused myriad problems in the modern electric power system. Current and voltage harmonics, voltage sag, and swell can damage the sensitive equipment. These devices are susceptible to input voltage variations created by interference with other parts of the system. Hence, in the modern age, with an increase in sensitive and expensive electronic equipment, power quality is essential for the power system’s reliable and safe operation. Dynamic Voltage Restorer (DVR) is a potential Distribution Flexible AC Transmission System (D-FACTS) device widely adopted to surmount the problems of non-standard voltage, current, or frequency in the distribution grid. It injects voltages in the distribution line to maintain the voltage profile and assures constant load voltage. The simulations were conducted in MATLAB/Simulink to show the DVR-based proposed strategy’s effectiveness to smooth the distorted voltage due to harmonics. A power system model with a programmable power source is used to include 3rd and 5th harmonics. The systems’ response for load voltage is evaluated for with and without DVR scenarios. It has been noted that the proposed DVR based strategy has effectively managed the voltage distortion, and a smooth compensated load voltage was achieved. The load voltage THD percentage was approximately 18% and 23% with insertion 3rd and 5th harmonics in the supply voltage, respectively. The inclusion of the proposed DVR has reduced THD around less than 4% in both cases.