Research into workforce development (WD) considered the relationship between corporate assessments of workers' development needs and WD strategies; how learning at work takes place; and what learning methods are used and their effectiveness. Focus was on practice in small and medium-sized enterprises (SMEs). Methodology included a literature review to identify the scope and extent of WD; survey of WD being undertaken in a sample of SMEs; follow-up interviews with managers in SMEs; and focus group meetings with employees in SMEs. Findings indicated that, while there are still many barriers to progress, WD seems to be gaining ground as a concept with both individuals and employers; securing greater employer involvement in learning within SMEs requires an emphasis to be placed on business support, rather than learning in itself; a wide range of learning styles and forms of learning must be accommodated, but a central theme is the need for flexible, time-efficient solutions; companies are finding innovative solutions; space as well as time may be a limiting factor in the extent to which certain types of learning can occur in the workplace; and very small firms usually face different problems requiring different solutions from those faced by bigger companies. Appendixes include: a review of related WD initiatives; and 19 tables illustrating characteristics of focus group participants. (Contains 46 endnotes.) (YLB)