Two GOS (Generalized Observer Scheme) type Fault Detection Isolation Schemes (FDIS), employing the bank of unknown input functional observers (UIFO) as a residual generator, are proposed to make the practical use of the multiple observer based FDIS. The one is IFD (Instrument Fault Detection) scheme and the other is PFD (Process Fault Detection) scheme. A design method of UIFO is suggested for robust residual generation and reducing the size of the observer bank. Several design objectives that can be achieved by the FDI schemes and the design methods to meet the objectives are described. An IFD system is constructed for the Boeing 929 Jetfoil boat system to show the effectiveness of the propositions. Major contributions of this paper are two folds. Firstly, the proposed UIFO approaches considerably reduce the size of residual generator in the GOS type FDI systems. Secondly, the FDI schemes, in addition to the basic functions of the conventional observer-based FDI schemes, can reconstruct the failed signal or give the estimates of fault magnitude that can be used for compensating fault effects. The schemes are directly applicable to the design of a fault tolerant control systems.