Of the 19 projects conducted as part of the Defense Conversion Adjustment (DCA) Demonstration administered by the U.S. Department of Labor's Office of Work-Based Learning, 9 tested the dislocation aversion approach. The projects attempted to alleviate the negative impacts of defense cutbacks on communities, firms, and workers. Six projects concentrated exclusively on dislocation aversion strategies, and three also included activities promoting worker mobility goals. The services provided by the projects tended to address the following stages of conversion: (1) assessing current status and conversion opportunities; (2) developing strategic business plans for conversion; (3) delivering training to workers and managers; and (4) implementing planned changes and helping workers apply new skills in the transformed work environment. The following were among the factors identified as critical to successful dislocation aversion: achieving agreement about conversion goals; using project services as strategic tools to support conversion goals; setting realistic time frames; tailoring project services to firms' needs and conversion goals; balancing public and private sector roles; developing collaborative partnerships between management and workers; providing applied training of sufficient intensity; selecting trainees based on strategic business needs; and establishing an appropriate mix of specific technical skills and generic high-performance work organization skills. (Appendixes constituting approximately 50% of this document contain profiles of the nine projects testing the dislocation aversion approach and fact sheets for six additional DCA projects.) (MN)