Recently, researchers in vision and image processing have developed quantitative models of both image formation and human perceptual performance which provide new insight into the form and function of image processing and pattern recognition tasks in vision. Research in image processing in Systems Design Engineering is part of an emerging effort to develop a coherent framework for image and signal processing and analysis based on perceptual models. Two current specific objectives are the development of image enhancement, segmentation and classification systems using non-linear and adaptive filters suited to non-additive, non-stationary noise and signal processes characteristic of imaging systems, and development of machine perception algorithms for texture and shape. Applications include enhancement and restoration for remote sensing (SAR) and medical (ultrasound, MRI, PET) images.