This paper contends that leadership at the state level can best improve schools through a leadership style that leads by example, by force of ideas, and by a devotion to fairness and justice. Responsibilities of state leaders include (1) reading and understanding the effective schools literature; (2) introducing school administrators to the potentials of educational technology; (3) promoting training programs that concentrate on human motivation, history, law, philosophy, organizational development, and human relations; (4) redefining the idea of leadership from one of position power to one of persuasion and fairness; and (5) finding ways to identify and reward effective schools and give recognition to competent school personnel. Ten leadership competencies are listed at the conclusion, and references are included. (TE)