method and apparatus for situation - based management of natural and artificial systems using event correlation and a situation manager . input is provided from multiple sources in the form of a collection of events . a first level of processing performs event correlation over the collection of events and infers new events and new qualities of events . a second level of processing manages situations based on the collection of events , where situations are recognized , maintained , and given a degree of confidence . situations are periodically updated based on incoming events . the assertion of a situation may call for information from external sources , provide information for external sources , and provide control instructions to external sources . given a current situation , past , and possible future situations are inferred . additionally , a method and apparatus for bi - directional communication between the event correlator and situation manager .