Model-based design (MBD) is a mathematical and visual method of designing control, communication, and signal processing systems. The software design cycles of embedded systems can be described by a graphical representation known as a V-model. Model-based design is quite different from traditional design methodology. Instead of complex frameworks and large program code, developers can use model-based design to define device models with advanced functionality using continuous and discrete modules. These built models, used with simulation tools, can lead to rapid prototyping, software testing, and verification of hardware and software systems. However, this approach has many drawbacks, such as the limited speed of product development, especially for complex and multi-level hardware and software systems, such as analytical systems for vibration diagnostics. This article proposes a development model that uses the model-oriented design of software and hardware systems with a breakdown into modeling layers and environment simulation. Overall, the study provides a strong foundation for industries looking to optimize their vibration diagnostic processes through innovative software development practices, emphasizing the critical role of model-oriented approaches in the future of industrial equipment maintenance.