AI- and Ontology-Based Enhancements to FMEA for Advanced Systems Engineering: Current Developments and Future Directions

This article presents a state-of-the-art review of recent advances aimed at transforming traditional Failure Mode and Effects Analysis (FMEA) into a more intelligent, data-driven, and semantically enriched process. As engineered systems grow in complexity, conventional FMEA methods, which are largely manual, document-centric, and expert-dependent, have become increasingly inadequate for addressing the demands of modern systems engineering. We examine how techniques from Artificial Intelligence (AI), including machine learning and natural language processing, can transform FMEA into a more dynamic, data-driven, intelligent, and model-integrated process by automating failure prediction, prioritisation, and knowledge extraction from operational data. In parallel, we explore the role of ontologies in formalising system knowledge, supporting semantic reasoning, improving traceability, and enabling cross-domain interoperability. The review also synthesises emerging hybrid approaches, such as ontology-informed learning and large language model integration, which further enhance explainability and automation. These developments are discussed within the broader context of Model-Based Systems Engineering (MBSE) and function modelling, showing how AI and ontologies can support more adaptive and resilient FMEA workflows. We critically analyse a range of tools, case studies, and integration strategies, while identifying key challenges related to data quality, explainability, standardisation, and interdisciplinary adoption. By leveraging AI, systems engineering, and knowledge representation using ontologies, this review offers a structured roadmap for embedding FMEA within intelligent, knowledge-rich engineering environments.