Because of the multi-layer structure and the diversified connection modes of most battery modules, systematically investigating the thermal failure propagation principles and mechanisms of lithium-ion batteries is critical to provide early warnings and protection for thermal runaway. In this work, a series of experimental studies and mathematical deductions were conducted to investigate the propagation behavior of thermal failures within two types of cells under various heating modes, and their heat transfer mechanisms were analyzed. In general, the thermal runaway phenomenon in Li (Ni1/3Co1/3Mn1/3) O2 cells is more severe than that in LiCoO2 cells. For different heating modes, lengthwise thermal failure propagation is more unlikely to occur in comparison with transversal thermal failure propagation; however, the former involves a more violent combustion. For different heating positions, heating near the positive pole results in the most violent phenomena. Additionally, a higher Tmax of 185.6 °C was obtained via middle heating in comparison with that obtained via heating on the poles. The temperature rising rate also varied, taking 1619, 1578, and 1699 s for the temperature to rise from 20 °C to 168.9 °C, 185.6 °C, and 173.4 °C through bottom, middle, and top heating, respectively. These phenomena were consequently ascribed to the different heat transfer rates along different directions inside the cells, including transversal/lengthwise propagation, and positive-pole-directional/negative-pole-directional propagation. These encouraging results may raise concerns about developing more precise and suitable surveillance and control measures to further enhance the thermal safety performance of cells/modules from both external and internal perspectives.