This study develops a condition monitoring system, which includes operating condition monitoring (OCM) and fault diagnosis analysis (FDA). The OCM uses a vibration detection approach based on the ISO 10816-1 and NEMA MG-1 international standards, and the FDA uses a vibration-electrical hybrid approach based on various indices. The system can acquire real-time vibration and electrical signals. Once an abnormal vibration has been detected by using OCM, the FDA is applied to classify the type of faults. Laboratory results indicate that the OCM can successfully diagnose induction motors healthy condition, and FDA can classify the various damages stator fault, rotor fault, bearing fault and eccentric fault. The FDA with the hybrid approach is more reliable than the traditional approach using electrical detection alone. The proposed condition monitoring system can provide simple and clear maintenance information to improve the reliability of motor operations.