In this paper, a demonstration on the model-based approach for fault detection has been presented. The aim of this demo is to provide students a desk-top tool to start learning model-based approach. The demo works on a traditional three-tank system. After a short review of the model-based approach, this paper emphasizes on two difficulties often asked by students when they start learning model-based approach: how to develop a system model and how to generate residual for fault detection. The demo represents the three-tank system in the Simulink environment so that no hardware is really needed. Faults such as tank leakages, connecting pipe blockage and sensor failure are also simulated in the virtual way by means of different switches. Different residual generation approaches are implemented using this desk-top demonstration. Consequently, students will gain an objective view and practical understanding of the model-based approach works and its procedure in industrial implementation
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