The National System of Innovation (NSI) framework resulted from a need to understand the determinants for success in regions and countries. Higher Education Institutions (HEls) are one of the most important actors in a national system of innovation (NSI), and are linked into a web with other structures and organisations, such as government, industry, and fourth pillar organisations. Fourth pillar organisations are innovation-enabling and multiplier organisations such as incubators, innovation support centres, technology transfer centres, and technology demonstrators. The triple Helix model captures the interaction and co-development between Government, Industry, and Tertiary Institutions. All the implications of the Triple Helix paradigm are not always understood within the Higher Education Engineering sector, but can have positive implications for the whole region if implemented successfully. University systems developed differently in different countries. Not only culture, but local politics, financial environments and personalities played an important part. The university is one of the oldest structures in society, and even in "new world" countries, the ethos, and traditions of universities can be traced back thousands of years. Even a superficial investigation will show that universities worldwide underwent dramatic upheavals during the past decade. This presentation will outline the forces impacting on universities and on the different strategies developed to ensure sustainability. The role of HEIs in the NSI changed, with new responsibilities added to teaching and research. The paper will highlight the new responsibilities, and show to what level HEls in South Africa are fulfilling their (new) expected roles. A recent QFD study provides interesting insights into the requirement for tertiary engineering education in South Africa. Some findings of the study will be presented and the implications for engineering programmes discussed.