Condition monitoring is an important factor in assuring well-being of motors. Existing approaches of condition monitoring are dependent on expensive special sensors. This paper reviews various forms of existing condition monitoring methods and highlights the need for an economical intelligent fault diagnosis system. In this study, the methodology taken in developing a condition monitoring system for the motor bearing faults identification, utilizing the commonly available motor stator current and voltage is demonstrated. This unique diagnostic condition monitoring system provides continuous real time tracking of the various bearing defects and determines the severity which can be adopted for fast decision making. The study on different bearing faults under no-load and full-load conditions is carried out experimentally and analyzed, and the results on the real hardware implementation confirm the effectiveness of the proposed approach. © 2015, The Korean Society of Mechanical Engineers and Springer-Verlag Berlin Heidelberg.