The aim of this paper is to inform readers about the development of national qualifications systems and to provide guidance for countries aiming to set up or reform their systems. The paper is written in the context of vocational qualifications--that is, qualifications that are designed to prepare people for work or to assess their performance in the workplace. Nevertheless, the contents are generally applicable to any qualifications which are based on standards of performance. It also gives some information about the development of a National Qualifications Framework that allows comparisons to be made between qualifications. The paper draws on the experience of the Scottish system of vocational qualifications since the mid-1980s, when the system was subject to a series of major reforms. It covers both the development of the integrated and comprehensive system of vocational qualifications (which is Scottish Qualifications Authority's responsibility), and the introduction of the Scottish Credit and Qualifications Framework which includes these qualifications. Section 1 of the paper looks at the background to vocational education and training (VET) reforms in Scotland. Subsequent sections focus on the qualifications themselves and the infrastructure required to develop and operate the qualifications. Finally, the paper describes national qualifications frameworks in general terms and the Scottish Credit and Qualifications Framework (SCQF) in particular. This paper argues for major advantages in a standards-based approach to vocational qualifications as part of a national qualifications framework. The SCQF was launched in 2000 to bring together general, VET and university provision with a view to supporting and increasing lifelong learning in Scotland. [This paper was developed for UNESCO's International Centre for Technical and Vocational Education and Training by the Scottish Qualifications Authority. For Volume 1 of the UNESCO-UNEVOC Discussion Paper Series, "Orienting Technical and Vocational Education for Sustainable Development," see ED495381.]