The effectiveness of World Wide Web-based flexible learning practices in Australia was examined. Online vocational education and training (VET) offerings were reviewed, and two Web-based VET modules were examined in case studies that involved observations and semi-structured interviews with teachers and students. According to the survey, approximately 120 modules were offered in a Web-based flexible mode in Australia in 1998. Together, the modules served about 2,300 students, with a median of 31 students involved in each module. The findings suggested that Web-based programs have the potential to support and enhance lifelong learning with an emphasis on learner-directed learning and adaptability. It was concluded that designers of Web-based programs should take advantage of the capabilities offered by technology in ensuring that content materials encourage rich "conversational" interactions and that student self-directedness and reflection are encouraged. The research led to development of data collection and data analysis tools for evaluating Web-based flexible learning in VET. The study findings' implications for the following areas of VET research and practice were discussed: "conversations" in Web-based flexible learning; delivery; the knowledge economy; course design; evaluation; and further research. (Twenty-one tables/figures are appended. The bibliography lists 39 references. The survey questionnaires and a project brochure are appended.) (MN)