In recent years, technological, societal, and economic transformations have increasingly shaped higher education preparing students for the transition to future jobs. According to recent studies, up to 40% of current skill sets may become obsolete or require significant adaptation by 2025–2030. These include cognitive and metacognitive abilities, social and emotional intelligence, and practical or physical competencies. These challenges ask for new teaching approaches and pedagogical methods.

This paper presents a five-year longitudinal study of the implementation of Challenge Based Learning (CBL) in the Bachelor's program in Systems Engineering at ISEP, with a focus on the Systems Lab 2 curricular unit. The study employs a mixed-methods approach, combining quantitative and qualitative data collected via student and partner company surveys over five years. The student survey used a Likert scale for each question, and the study obtained a population size of about 33 to 40 each year totalling over 200 answerers between students and enterprise mentors.

Quantitative results, based on student responses, indicate that 83% of students reported a deeper consolidation and understanding of the course content, 90% experienced increased motivation, and 95% observed an improvement in their individual performance. When comparing the traditional teaching method with the Challenge Based Learning applied in LSIS2 classes, 87% of students recognized the practical relevance of the course subjects, while 100% reported having acquired teamwork skills applicable to both academic and professional environments. Furthermore, 84% stated that their knowledge became more in depth and solid compared to the traditional method.

In addition, 44% of the students mentioned that CBL reduced their overall learning time, and 81% noted an improvement in peer-to-peer communication. A significant 94% reported feeling capable of articulating arguments and expressing their opinions more effectively. Regarding continuous learning, 92% acknowledged the importance of lifelong learning. As for leadership and responsibility, 76% of students stated that they were able to delegate tasks effectively throughout the project.

From the enterprise side, when asked for the overall satisfaction with the curricular unit, the result was 4,8 in a 0-5 scale and 100% positive answers on the question if the company was willing to participate in the next year.

Both qualitative and quantitative data reinforce the idea that mentorship from companies and student-driven projects foster creativity, teamwork, and applied problem-solving. The paper also discusses the structured pedagogical framework supporting the course and how Challenge Based Learning contributes to deeper learning.

The findings show that a student-centered approach, as exemplified by CBL, significantly increases motivation. Students report a stronger sense of purpose and engagement throughout the learning process. Integrating knowledge across disciplines through CBL leads to more effective skill acquisition, as demonstrated by improved academic performance and grades. Additionally, industry partners play a pivotal role as mentors, providing valuable feedback and contextual relevance, which is highly valued by students and professionals.

During this time, the number of participating companies increased from two to nearly twenty, representing sectors such as industry, technology, and research centers.

Keywords: Challenge Based learning, Higher education, Active learning, Pedagogical methods, Enterprise mentoring, future skills, student motivation, integrated subjects.