Two-phase advanced steels have an optimized combination of high yield strength and large elongation strain at failure, as a result of stress partitioning between a hard phase (martensite) and a ductile phase (ferrite or austenite). Provided with strong interfaces between the constituent phases, the failure in the brittle martensite phase will be delayed by the surrounding geometric constraints, while the rule of mixture will dictate a large strength of the composite. To this end, the microstructural design of these composites is imperative especially in terms of the stress partitioning mechanisms among the constituent phases. Based on the characteristic microstructures of dual phase and multilayered steels, two polycrystalline aggregate models are constructed to simulate the microscopic lattice strain evolution of these materials during uniaxial tensile tests. By comparing the lattice strain evolution from crystal plasticity finite element simulations with advanced in situ diffraction measurements in literature, this study investigates the correlations between the material microstructure and the micromechanical interactions on the intergranular and interphase levels. It is found that although the applied stress will be ultimately accommodated by the hard phase and hard grain families, the sequence of the stress partitioning on grain and phase levels can be altered by microstructural designs. Implications of these findings on delaying localized failure are also discussed.