The power demand from gas turbines in electrical grids is becoming more dynamic due to the rising demand for power generation from renewable energy sources. Therefore, including the transient data in the fault diagnostic process is important when the steady-state data are limited and if some component faults are more observable in the transient condition than in the steady-state condition. This study analyses the transient behaviour of a three-shaft industrial gas turbine engine in clean and degraded conditions with consideration of the secondary air system and variable inlet guide vane effects. Different gas path faults are simulated to demonstrate how magnified the transient measurement deviations are compared with the steady-state measurement deviations. The results show that some of the key measurement deviations are considerably higher in the transient mode than in the steady state. This confirms the importance of considering transient measurements for early fault detection and more accurate diagnostic solutions.