This paper describes a process and condition monitoring system based solely on 8-bit microcontrollers. These provide all the required processing and communication tasks. The complete system provides process monitoring to the local user and to remote users worldwide. It also has dynamic plug and play capability. The monitoring system provides fault resolution on individual process variables and interprets the holistic scenario to convey the fault cause information to the user. An HTTP server is implemented on the 8-bit microcontroller system providing the results as dynamic web pages. The monitoring system can be remotely updated with changing requirements. Network security issues are addressed for this application. Results of the system deployment for fault detection and isolation in process valves are reported