This guide provides assistance to state and local vocational-technical educators in the development of curriculum that is based on national and state skill standards that use workplace-derived measures of competent performance to prepare students for the work world. The guide begins with guidelines for determining the usefulness of existing standards sets, including criteria for evaluating their validity, the performance indicators used, the credibility of the developers, and civil rights concerns. The following typical steps in the process of developing standards-based curriculum are then discussed: (1) conduct a needs analysis; (2) obtain a set of national, state, or business-industry skill standards; (3) establish a program advisory committee; (4) review the skill standards set to identify vocational-technical program content; (5) develop an assessment process and instrumentation; (6) develop, adapt, or adopt instructional materials; and (7) review and revise curriculum on an ongoing basis. The last section of the guide describes how to develop scenario-based instruction through the use of a scenario planner and development and review rubric. Appendixes contain sample skill standards, model scenarios, a checklist for instructional and assessment criteria, a sample scenario planner, and a blank master. (Contains 22 references.) (KC)