This report describes a two-phase study designed to (1) investigate the appropriate evaluation literature and develop a formative evaluation model; (2) investigate the formative evaluation procedures utilized by Advanced Systems Incorporated (ASI), a successful producer of training materials; (3) develop a model based upon these procedures; and (4) compare and contrast the two resultant models for commonalities and differences. Results are reported from both a literature review on current formative evaluation procedures and theory and second-phase data gathering, which involved observation of evaluation procedures, extensive visitation, and an in-house survey of ASI employees involved in the product development process. An outline combines elements of education, military training, and industrial training into a single paradigm. Nine conclusions and recommendations for study applications and for further research are included. Sixty-seven references are listed, and elements of the models discussed are illustrated with numerous charts. (LMM)