The conventional computerized numerical controller (CNC) of machine tools has been increasingly replaced by a PC-based open architecture CNC (OAC) that is independent of a CNC vendor. The OAC and machine tools with an OAC have led to a convenient environment in which user-defined applications can be efficiently implemented within a CNC. This paper proposes a method of diagnosing the cause of operational faults. The method is based on the status of a programmable logic controller in machine tools with an OAC. An operational fault is defined as a disability that occurs during the normal operation of machine tools. Operational faults constitute more than 70 percent of all faults and are also unpredictable because most of them occur without any warning. To quickly and correctly diagnose the cause of an operational fault, two diagnostic models are proposed: the switching function and the step switching function. The cause of the fault is logically diagnosed through a fault diagnosis system using diagnostic models. A suitable interface environment between a CNC and developed application modules is constructed to implement the diagnostic functions in the CNC domain. The results of the diagnosis were displayed on a CNC monitor for machine operators and transmitted to a remote site through a Web browser. The proposed diagnostic method and its results were useful to unskilled machine operators and reduced the machine downtime.