This paper presents a new method for measuring a two degree-of-freedom (DOF) orientation of a permanent magnet (PM) based system using magnetic field measurements. The method exploits distributed multipole (DMP) modeling method to accurately predict a magnetic field, and provides a rational basis to inversely solve for the orientation of the PM from measured data. The PM-based magnetic sensor along with the ability to characterize the magnetic field in real-time offers advantages in sensing and control such as contact-free measurements eliminating frictional wears commonly encountered in existing designs with a combination of single-axis encoders, and high-speed sampling rate thus offering a higher bandwidth than methods based on imaging sensors. This paper demonstrates the efficient method capable of measuring the orientation of the PM by implementing it on a spherical wheel motor (SWM), where the two-DOF orientation is measured. Sensor performance has been studied both analytically and experimentally to validate the DMP-based sensor model. The results can offer valuable insights for optimizing contact-free sensor designs. (C) 2010 Elsevier Ltd. All rights reserved