This report describes and evaluates efforts to enhance school districts' capacity to implement and institutionalize the monitoring and management system for an instructional leadership program called Achievement Directed Leadership (ADL). Chapter one introduces the report's methodology, limitations, and structure. Chapter two first states the purpose of ADL--to help educators use research findings to improve student achievement; then it identifies crucial variables in achievement and outlines a process for influencing these variables. Finally, the chapter describes five strategies used to build district capacity: allowing districts substantial flexibility in implementation; planning, and orienting and training personnel, from the top down; using special activities to introduce innovations and build each district's organizational skills; providing onsite technical assistance; and directing activities toward long-term goals. Chapter three discusses the leadership plan for ADL, activities designed to sustain its implementation, and support materials. The next two chapters analyze the capacity-building process in three school districts. Chapter four discusses orientation, planning, and training; chapter five discusses implementation, evaluation, and institutionalization. Conclusions regarding each of the five strategies and conditions affecting implementation complete the report. Appendixes present a summary of data collection methods used, tables showing implementation patterns, and an interpretation on achievement gains. (MCG)