This paper deals with simplified 3D finite element (FE) analysis on the effect of manufacturing tolerances on the load carrying capacity of large diameter bearings based on Hertz theory. The nonlinear connector elements are used to model the rolling elements. This model enables us to evaluate the contact load on the rolling elements with relatively reduced calculation time. FE study has been carried out by allocating tolerance on balls and raceways using Monte Carlo simulation technique. The variation in dimension on balls is taken as per IS 2898-1976. A coding has been developed and employed for Monte Carlo simulation. Using the results of Monte Carlo simulation, tolerance has been assigned to the elements of large diameter bearing. From the results of finite element analysis, it is identified that analysis of large diameter bearing with tolerance on ball and raceway will lead to safe design.