The everyday use of system identification is now widespread, with new and challenging problem areas continually being discovered due, mainly, to new applicaton requirements. Leading researchers and industrial practitioners were able to discuss and evaluate current developments and future reseach directions at the IFAC Symposium on System Identification, SYSID '94. This is one of the most prestigious conferences which has been held every three years since 1967. This publication focuses on new subject areas together with new results from more established areas covered at the symposium. Detailed assessment of important, active subject areas include: Wavelets, Model Quality, Robust Identification and Neural Nets in System Identification, Laguerre and Kautz Models, Bounded Noise, Industrial Use, Subspace Methods, Closed Loop Issues and the interplay between Identification and Signal Processing.