This paper examines system leadership and the role of system heads, using data from interviews of state system leaders (board members and chief executives), as well as campus heads and selected state and association officials. System heads have crucial responsibilities within public higher education. The relationship between board members and system heads has changed considerably in recent years, forcing executives to contend with new and long-standing challenges. Factors to consider include increasing tendencies toward shortened terms for board members, board members with differing expectations for their service, the gray area between policy making and operations, and the problem of special interest partisanship. The realm of state government also has undergone changes. Growing distrust toward higher education among political leaders, increased competition for state revenues, and higher turnover among state legislators have complicated the quest for public support. This paper provides suggestions for handling board-related challenges and advice for handling state officials and responding to the demands of a new generation of students. It also outlines conditions contributing to successful relations with campus heads and defines responsibilities and qualities of system heads, offering questions for boards to consider when searching for new chief executives. (SM)