Designed for community colleges and technical institutes, this manual presents a systematic approach to the process of reviewing employer and employee education and training needs. Section I presents the Business, Industry, and Labor (BIL) Needs Assessment Model, detailing the following procedures: (1) identify the BIL project coordinator; (2) determine project objectives; (3) identify and train the needs assessment team; (4) select occupational areas for study; (5) determine data collection and sampling strategies; (6) identify and select target employers; (7) identify job titles to be investigated; (8) customize the survey instrument; (9) coordinate employer lists and instruments; (10) assign data collection responsibilities; (11) duplicate survey instruments; (12) collect data; (13) code data; (14) process and analyze data; (15) distribute data; and (16) make programmatic decisions. This section also delineates the responsibilities of the assessment team and provides materials illustrating various data gathering strategies. Background information related to the development of the model, and a review of its pilot testing in Orangeburg, South Carolina; Dallas, Texas; and Wausau, Wisconsin are provided in section II. A draft description of the needs assessment model, computer coding and program information, and agendas for workshops conducted during the pilot testing are appended. (LAL)