Performance/Outcome Based Principal Evaluation (P/OBPE) attempts to enhance the instructional and managerial leadership of the principal and assistant principal by providing a basis for effective data collection, communication, personal and organizational development, and employment decision making. Professional criteria--job related expectations based upon studies of effective schooling and effective administration--are the most significant professional content in the evaluation process. The P/OBPE process is based upon the premise that supervision of personnel and assessment of desired organizational outcomes are not only compatible, but also complimentary, when properly sequenced. Five phases promote proper sequencing in P/OBPE. In the developmental phase, the evaluative process is formulated, refined, and adapted. The preparatory phase provides opportunity for initial and ongoing inservice in the terminology, process, and expectation of the new evaluative system and identifies essential school goals. In the formative phase, the principal receives specific skill and goal accomplishment feedback and coaching. The summative phase is a synthesis of all data, placed in proper perspective to define current level of performance on each criterion and accomplishment of goals. Finally, the contractual phase is the employment decision based on the summative data. Two figures and eight examples of P/OBPE forms are included. (WTH)