Medical errors are recognized as a major challenge to healthcare worldwide. To prevent medical errors, Failure Mode and Effect Analysis (FMEA) has been adapted from other safety-critical industries to healthcare. Although the FMEA is still underutilized in healthcare, it has begun to be exploited through various applications in the context of patient safety in recent years; therefore, its extensive results should be communicated to encourage its practice. To explore this, we reviewed the literature on FMEA in patient safety context published since 2015 using the PubMed index. After reviewing twenty papers regarding the selection criteria, we found that FMEA can be utilized in healthcare to contribute towards proactive risk identification, medical error reduction and overall patient safety, and quality improvement. Despite its benefits, earlier studies also highlighted that safety culture should support the use of FMEA along with the required resources and training for healthcare providers. Further, FMEA can be integrated with other tools, such as incident reporting, to provide more comprehensive risk picture within the scope of risk management.