School-based management (SBM), the decentralization of decision-making authority to the school site, comes in many variations. However, all forms of SBM require a rethinking of how and where budgeting, curriculum, and personnel decisions are made. This bulletin provides an overview of what SBM is and how it is implemented by summarizing some of the educational research in this area. Throughout, examples are provided from Oregon schools, particularly the Salem-Keizer Public Schools, which implemented SBM in 1989. Interviews with 14 administrators and educators supplement the literature review. Chapter 1 provides definitions and an overview of SBM philosophy, with a list of advantages and disadvantages. Chapter 2 explains the change in roles and responsibilities of the"stakeholders": the school board, superintendent and district office, principal, teachers, parents and community members, and students. In each section, a list of concerns about the role transition is included. Strategies for enlisting stakeholder involvement in the successful implementation of SBM are discussed in the third chapter. Chapter 4 explains the function of the school council, with particular attention to Oregon site-based councils. The fifth chapter lists additional implementation guidelines, focusing on budget, personnel, and curriculum. Chapter 6 discusses issues related to and methods of determining SBM success. Finally, recommendations and conclusions are made in the seventh chapter. A four-page condensation of the Bulletin is included. (LMI)