Many higher education institutions (HEI) are implementing project-based learning (PBL) as innovative pedagogy in their curriculum for effective teaching learning. PBL engages students with various phases such as identifying a problem statement, providing a solution to that problem, designing or implementation of that solution with best accuracy. This paper presents the effective methodology for teaching learning process in higher education using PBL to study the impact of machine learning (ML) algorithms for the analysis of medical data for diseases classification. The methodology is supported by hands on workshop conducted for a final year engineering students with feedback and impact analysis, followed by project implementation for five case studies on medical data. To assess the impact of PBL, report submission on these case studies was carried out with rubrics and assessment tools.