To compile the project, you should click "Project" and then "Export Hardware Design to SDK...".

A new pop-up will appear and you should click "Export and Launch SDK".

A new pop-up will appear. Select a proper workspace: for example "C:\XilinxProject\reference-TE0300\SDK\SDK_Workspace".

The HW implementation usually takes some time; if you have a very slow computer, the new synthesis could require an hour.

After some times the project is exported from XPS to SDK. "system.xml" is exported in the hw folder of and SDK project: "C:\XilinxProject\reference-TE0300\SDK\SDK_Export\hw\system.xml".