Factors that contribute to excellence in education, as well as those that have contributed to the failure of change efforts, are the subject of this document. It provides a summary of the literature on reform efforts; effective schools; new organizational perspectives derived from the business sector; organizational restructuring being tested in schools; the elements required to professionalize education; and how evaluation, professional development, and incentive programs can interact to improve the performance of educators. The first chapter, "The Reform of Public Education," argues against mandates issued by a central authority. Chapter 2, "Elements of School Effectiveness," maintains that culture is a major factor when examining the characteristics of effective schools. Chapter 3, "New Perspectives on School Organization," suggests that the organizational structure of public schools requires rethinking. Chapter 4, "Self-Management in Schools," discusses a shift of the authority to make decisions. Chapter 5, "Professionalizing Education," discusses the ramifications of the fact that teaching is not a full-fledged profession. Chapter 6, "Improving Professional Performance," presents the argument that provisions for professional growth should be an integral component of incentive plans. (251 references) (MLF)