Fault diagnosis technique is the core of Prognostics and Health Management (PHM) system, which plays a crucial role in the intelligent operation and maintenance of various rotating machineries. In this paper, we present a novel sparse representation classification framework with structured dictionary design strategy (SRC-SDD) for intelligent fault diagnosis of rotating machineries. The proposed SRC-SDD method consists of two stages, i.e., the structured dictionary design stage and the sparsity-based intelligent diagnosis stage. In the first stage, the novelty of SRC-SDD lies in the overlapping segmentation strategy for structured dictionary design, which leverages the structured prior knowledge of rotating machinery vibration signals, namely, the periodic self-similarity and shift-invariance properties. In the second stage, SRC-SDD achieves fault recognitions of testing samples using a sparsity-based diagnosis strategy based on the minimum sparse reconstruction error. The proposed structured dictionary design strategy can enhance the representation power of dictionaries and thus promote the recognition performance of the sparsity-based diagnosis strategy. Finally, the effectiveness of SRC-SDD has been validated on the gearbox fault dataset from IEEE PHM society. The diagnosis results show that SRC-SDD achieves the excellent recognition accuracy of 100% for predicting six different gearbox health states. Further, the comparative studies with three conventional SRC methods prove the superiority of SRC-SDD in terms of both the recognition performance and computation efficiency.