The document is the second of a five-part series focusing in minute detail on the processes involved in the formulation of an instructional systems development (ISD) program for military interservice training that will adequately train individuals to do a particular job. Phase II, Design, is concerned with designing instructional materials based on the job analysis information presented in Phase I and consists of four steps. The first step, Develop Objectives, reviews tasks, elements, and job performance measurements and converts them into learning objectives which describe what is to be learned in terms of expected student performance under specified conditions to accepted standards. The second step, Develop Tests, describes developing appropriate testing procedures to match the learning objectives. The third step, Describe Entry Behavior, focuses on the entry behavior of the students, which defines the limits of the instruction and any required remedial or preparatory lessons. Finally in the fourth step, Determine Sequence and Structure, proper sequencing of learning objectives is established to help the learner make the transition from one skill to another and assure that supporting skills and knowledges are acquired before dependent performance requirements or subject matters are introduced. A list of references, glossary, and index are included. (Author/EC)