A grinding machine for grinding outer and/or inner surfaces of a workpiece which is provided on its indexable wheel head with an outer surface grinding wheel, inner surface grinding wheel and a measuring device having a touch probe engagable with a reference surface of the workpiece. The numerical controller have a memory for memorizing data indicating positional and angular relationships between the outer surface grinding wheel, the inner surface grinding wheel and the touch probe. The numerical controller first indexes the measuring device to a location facing the workpiece, and moves the workpiece along its rotational axis until the measuring device outputs a touch signal. After that, the numerical controller calculates a moving amount of the workpiece for outer grinding operation based upon data memorized in the memory, and moves the table by the calculated amount in order to grind the outer surface of the workpiece. When a inner surface of a workpiece is machined, the inner grinding wheel is indexed to a position facing the workpiece based upon the data indicating angular relationship, after the workpiece being positioned based upon the touch signal from the measuring device. Thereafter, the table is moved based upon data indicating positional relationship between the inner surface grinding wheel and the touch probe in order to locate the inner surface grinding wheel to a predetermined grinding starting position of the inner grinding operation.