Considering the complexity of small satellites, large number of monitoringpoints and the inherent fuzziness and uncertainty of measuring information, a simplified FCM algorithm is presented in this paper to fast locate on-board fault. As on of the applications, this paper also describes the onboard fault fast locating systemof SMMS, which is a small satellite of Research institute of Satellite Engineeringand Technology of Harbin institute of Technology and will be launched in 2000.