In September 1972, all Ontario secondary schools were directed to implement the individualized or credit system by making changes in administration and organization congruent with the revised diploma regulations outlined in the Ministry of Education Circular H.S.1 (1972/73). This study examines the changes that are occurring and the issues of administration and leadership that are arising as secondary schools move to the credit system. It analyzes the major constraints and the supporting factors in the implementation of the credit system, as well as the new patterns of student-staff relationships emerging. (Author/WM)