Recent policy developments are requiring local education authorities (LEAs) in Wales to undertake a more significant role in improving the Welsh education service. This article reports some of the outcomes of a Welsh Assembly government-funded initiative that addressed aspects of the development of the capacity of LEAs in Wales to fulfil this enhanced role. It describes the education context in Wales, analyses how LEAs are using performance management methods to build their capacity, and explores the development of a process that has been designed to enable LEA staff to plan their professional development to match their present and future responsibilities, their career development needs and the requirements of their LEA. The article describes the principles that underpinned the development of the process and the supporting resources. It draws attention to issues that need to be addressed if LEAs in Wales are to develop further so they can fully undertake their intended role. (Contains 1 figure.)