Recently, Inertial Stabilized Systems (ISS) are widely spread either in military or civilian applications. It's used to stabilize and point the onboard sensors. Therefore, the accurate modeling and control is a crucial factor to design a suitable control system. In this work, two axes gimbal system is designed, modeled, manufactured, and controlled. Firstly, the stabilized system is built using solid work software. Secondly, the system mathematical model is derived for the physical system with its actuators and encoders. Thirdly, the designed model is manufactured and integrated with the suitable motors; the overall open loop system model is implemented in MATLAB (Simulink). Finally, a modified PI-D structure is designed to stabilize the ISS in an efficient manner, the simulation results show the superiority of the designed controller's performance and robustness compared to the classical PID in transient and steady state responses.