This paper reviews research on principals' and teachers' roles in site-based decision making (SBDM). Research examining teacher participation in SBDM is reviewed, finding that higher quality teaching behaviors and higher student academic attainment resulted from teacher participation. The review focuses on steps in implementing SBDM, means for measuring SBDM, teacher aspirations for participation in site-based management, communication flows in site-based management, the role of principals, and principals' and teachers' job satisfaction. A survey was conducted to determine principals' leadership styles that most positively influenced teacher participation in SBDM. The survey was distributed to 260 teachers in Texas school districts, with an approximately 15 percent response rate. The survey results were used to develop leadership style guidelines about communication that leads to participation, support, job satisfaction, and effective schools. Appendixes contain a copy of the survey form; survey data; a paper based on the survey results, titled "The Efficacious Principal's Guideline for Teachers' Participation in Site-Based Decision-Making"; and six suggestions for principals on communicating with teachers. (Contains 28 references.) (JDD)