Findings and recommendations of a five-year demonstration project designed to clarify the role and organized structure of employee education and training in health care institutions are presented. In the first section of the book, hospitalwide education functions that were implemented at sixteen individual hospitals are examined. Identified are factors important to assessing education functions: degree of centralization of administrative decision making in the hospital and the degree of congruence between the administrator's and the training director's expectations for the education function. Four composite case studies are used to illustrate these factors. Recommendations are offered to help hospitals examine current educational activities, determine the predominant managerial style of the organization, establish educational objectives that are harmonious with overall administrative objectives, and plan a suitable structure for the education function. In the second section, seventeen hospital consortiums that were selected as demonstrations of the applications of interinstitutional sharing to hospital education and training are examined. Three case studies are presented. Recommendations are given to help hospitals conduct an inventory of existing educational resources, define educational needs, determine whether a shared service can meet these needs, and organize a suitable shared service structure. (JH)