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The papers in this volume are the refereed technical papers presented at ES2001, the Twenty-first SGES International Conference on Knowledge Based Systems and Applied Artificial Intelligence, held in Cambridge in December 2001.The papers in this volume present new and innovative developments in the field, divided into sections on Machine Learning, Constraint Satisfaction, Agents, Knowledge Representation and Knowledge Engineering.This is the eighteenth volume in the Research and Development series. The series is essential reading for those who wish to keep up to date with developments in this important field.The Application Stream papers are published as a companion volume under the title "Applications and Innovations in Intelligent Systems IX".