A method and an information handling system (IHS) provide hierarchical failure recovery for firmware components of the information handling system. According to one aspect, a hierarchical recovery and learning module (HRLM) detects firmware component failure. The HRLM initiates a hierarchical failure recovery by executing recovery sequences from a set of hierarchically ordered recovery sequences. The HRLM determines whether the detected failure was corrected by executing the recovery sequence. If the HRLM further determines that the failure is not corrected by executing the set of hierarchically ordered recovery sequences, the HRLM dynamically generates a new recovery sequence(s) using commands selected from at least one of the previously executed recovery sequences and executes the new recovery sequence(s). If the failure is corrected by a new recovery sequence, the HRLM forwards the particular recovery sequence to a customer support site for use by other systems in addressing similar or identical failures.