Energy efficient vehicles are essential for a sustainable society and all car manufacturers are working on improved energy efficiency in their fleets. In this process, an optimization of aerodynamics and thermal management is most essential. The objective of this work is to improve the energy efficiency using encapsulated heat generating units by focusing on predicting temperature distribution inside an engine bay. The overall objective is to make an estimate of the generated heat inside an encapsulation and consecutively use this heat for climatization purposes. The study presents a detailed numerical procedure for predicting buoyancy-driven flow and resulting natural convection inside a simplified vehicle underhood during thermal soak and cool-down events. The procedure employs a direct coupling of one-dimensional and three-dimensional methods to carry out transient one-dimensional thermal analysis in the engine solids synchronized with sequences of steady-state three-dimensional simulations of the fluid flow. The boundary heat transfer coefficients and averaged fluid temperatures in the boundary cells, computed in the three-dimensional fluid flow model, are provided as input data to the one-dimensional analysis to compute the resulting surface temperatures which are then fed back as updated boundary conditions in the flow simulation. The computed temperatures of the simplified engine and the exhaust manifolds during the thermal soak and cool-down period are in favorable agreement with experimental measurements. The present study illustrates the capabilities of the coupled thermal-flow methodology to conduct accurate and fast computations of buoyancy-driven heat transfer. The methodology can be potentially applied to design and analysis of multiple demand vehicle thermal management systems in hybrid and electrical vehicles.