The question of what makes 'good' literacy and numeracy provision was examined by reviewing interview data from a project on the role of vocational education and training that was conducted by the University of Tasmania's Centre for Research and Learning in Regional Australia. The study dataset included the findings from 541 structured interviews and 570 questionnaires that were administered to training providers, employers, organization representatives, and community members at 10 sites across Australia in 1999-2000. The following potential benefits of literacy/numeracy provision were identified: (1) improved vocational outcomes, including workplace performance; (2) greater participation in further education and better educational outcomes; (3) social integration; and (4) improved self-esteem and self-confidence. The following barriers to effective delivery were discovered: (1) lack of funding; (2) funding arrangements favoring providers who get fast results; (3) administrative barriers; (4) the policy of tying funding for literacy and numeracy to vocational outcomes; and (5) distance and isolation. The following principles of effective delivery were identified: (1) supportive and continuing structure and infrastructure, including networks promoting professional development and resource sharing; (2) targeting of training content to meet individual and community needs; (3) community ownership of programs and resources; and (4) trust and collaboration between providers and communities. (Contains 27 references.) (MN)