In the era of rapidly emerging technical society, engineering aspirants must be primed as globally competent. To respond, in recent years, inclusive reforms are being implemented to adopt Outcome-Based Education (OBE) approach and transform engineering education in India. The 12 Program Outcomes (POs) defined by NBA guides for development, execution & delivery of curriculum, evaluation of student learning and performance at various levels. The scope of mechatronics subject at colleges affiliated to Savitribai Phule Pune University (SPPU) in 2015 course was mostly restricted to theoretical and study approach, which do not exhibit involvement of students in creative, inventive and innovative thinking. This motivates to adopt Project Based Learning (PBL) at undergraduate level. Three large classes of 70+ students are grouped in to 3-5 students per batch. Project phases are defined; direct and indirect assessments are mapped with outcomes and it is carried out using pre-and post-intervention survey of students. It is observed that, the presented PBL framework has served as an efficient pedagogy. This approach not only ensured holistic development, teamwork, sustainability, improved higher-order cognitive skills, learning ability, soft skills, self-efficacy and communication but also accumulated near about 60 innovative prototypes in a mechatronics laboratory. It is projected that, PBL could enable students to acquire lifelong learning to tackle new difficulties arise in corporate/non-corporate life, thinking on future modification, filing a patent, converting prototype into commercial product. © 2019, Rajarambapu Institute Of Technology. All rights reserved.