The cavitation in hydraulic pumps and fluid bearings could cause system instability, wearing, and failure. Modern commercial computational fluid dynamics (CFD) solvers such as Simerics Inc and GT-Suite have the capabilities of predicting cavitation. However, the fidelity and accuracy of those models require further evaluation. The aim of the thesis is to develop a methodology to improve the analysis of oil flow and cavitation in the oil circuit. The research project is conducted jointly by the University of Windsor and Politecnico di Torino. 3D CFD models of the vane pump and journal bearing are simulated using Simerics Inc to evaluate the cavitation and pump performance.