The paper presents the results to study the response of piles in homogeneous and layered soils subjected to quasi-static and cyclic lateral loading using numerical analysis. The analyses are carried out using three-dimensional finite element software, ABAQUS v6.10. Hypoelastic constitutive model is used to simulate the small strain nonlinear behavior of soil observed during the application of cyclic lateral load on piles. The bending moment and deflection responses computed from ABAQUS analyses are compared with the results obtained from the reported case histories of field pile lateral load tests and centrifuge tests. The favorable comparisons established that the three-dimensional numerical analysis can be effective to model complex soil–pile systems. Numerical analysis was also able to simulate a cement injected layer as a reinforcement body to the soft foundation soil, which can affect the pile response. The study was further extended to understand, the effect of flow of surrounding soil around the laterally-loaded piles on the response of piles.