Journal bearings are widely used to support the shaft of industrial machinery with heavy loads, such as compressors, turbines and centrifugal pumps. The major problem in journal bearing is catastrophic failure due to corrosion and erosion, results in economic loss and creates high safety risks. So, it is necessary to provide condition monitoring technique to detect and diagnose failures, to achieve cost benefits to industry. High frequency acceleration enveloping facilitates the extraction of low amplitude, high frequency signals associated with repetitive impacts in journal bearings, providing a key tool for early detection in the onset of bearing damage and similar machinery health problems when coupled with standard FFT analysis. The DEWESOFT software-based methods for implementing and interpreting high frequency acceleration enveloping are presented and compared. In this paper the application of STFT (Short Time Fourier Transform) and Autocorrelation through FFT are used for processing vibrationsignal to detect faults in journal bearing is presented. A bearing testing apparatus is used for experimental studies to obtain vibration signal from a healthy bearing and fault bearing. Further application of ANN for extracting features like RMS, mean, kurtosis, shape factor, crest factor and impulse factor is investigated as a model for automated fault diagnosis is presented. © 2014 Praise Worthy Prize S.r.l. - All rights reserved.