Faculty participation in college or university decision making is accepted as intrinsically good and as having positive effects on institutional functioning, but it is reflected in varying degrees in actual practice. The rationale for faculty participation is related to increased employee satisfaction and performance; faculty also tend to afford legitimacy and to fully cooperate in the implementation of only those policies they have helped formulate. Academic senates are useful mechanisms but are more influential at research universities or elite liberal arts colleges than at other institutions. Historically, faculty have had the broadest role in curricular and faculty personnel matters, but there are increased roles in institutional planning and administrator selection and evaluation as well. Involvement in budgeting and retrenchment has been limited. Administrators can focus energies on four elements: strengthening collegial foundations of decision making; shaping the consultative framework; increasing the availability of information; and facilitating group deliberation. Coordinated efforts of administrators and faculty are necessary to increase the extrinsic rewards for constructive institutional participation. (LB)