This project develops an instrumentation laboratory for machinery diagnostics and condition monitoring to meet the need for imparting hands-on, technical skills related to the dynamic characterization, detection and prediction of incipient failures of machine components. Diagnostics concepts such as resonant and off-resonant response, Fourier spectrum, transfer function, coherence and cascading of vibration signals are demonstrated, as well as introduction to the selection of transducers and their computer interface for rapid data acquisition and analysis. Instrumentation applications for machine diagnostics is central to this project. The laboratory enables cohesive and effective instruction of basic vibration principles and their application for machine diagnosis, to the four year upper level undergraduate engineering technology students of Texas A&M University. The laboratory is used in three interrelated courses, namely Applied Vibrations, Instrumentation, and Electro-Mechanical Systems. Nearly 150 students annually from the mechanical, manufacturing and electronics engineering technology specialties will benefit.