In this paper, the authors presented various insights into theoretical and experimental analysis carried out in past, to understand the vibration characteristics of a misaligned rotor-bearing system. The literature presented by various researchers was reviewed methodically. Firstly, the literature review based on theoretical vibration analysis of misaligned rotor system with emphasis on finite element method has been presented. Secondly, various vibration-based analysis methods and the description of experimental measurement techniques have been discussed in detail. Apart from the above, distinct tools used for the detection of fault analysis of the rotor system is also reviewed systematically, which may be useful for preventive maintenance of the rotating machinery used in several industries.