In this present study, attempts were made to investigate the impacts of various baffle inclination angles on fluid flow and the heat transfer characteristics of a shell-and-tube heat exchanger for three different baffle inclination angles namely 0°,10° and 20°. The simulation results for various shell and tube heat exchangers, one with segmental baffles perpendicular to fluid flow and two with segmental baffles inclined to the direction of fluid flow are compared for their performance. The shell side design has been investigated numerically by modeling a small shell-and-tube heat exchanger. The study is concerned with a single shell and single side pass parallel flow heat exchanger. The flow and temperature fields inside the shell are studied using non-commercial CFD software tool ANSYS CFX 12.1. For a given baffle cut of 36 %, the heat exchanger performance is investigated by varying mass flow rate and baffle inclination angle. From the CFD simulation results, the shell side outlet temperature, pressure drop, recirculation near the baffles, optimal mass flow rate and the optimum baffle inclination angle for the given heat exchanger geometry are determined.