The consultation model is applied to institutions of higher education in an approach that involves staff and/or faculty in administrative policies and decisions and that will promote innovative educational programs and generate productive working relationships among colleagues. It is suggested that in applying organizational development (OD) in higher education, it is important to understand the contextual issues and systems, and the decision-making processes that are practiced within and among the various subsystems in the institution. Three decision-making models suggested by Baldridge (1972) are discussed: collegial, bureaucratic and political. Additional goals of OD suggested by others are reviewed. It is also suggested that a change model must include a combination of humanistic and structural change strategies. Maslow's (1970) hierarchy of needs and a number of other models are also briefly reviewed. It is proposed that process consultation, in dealing with a variety of issues that may interfere with the effectiveness of the organization, is a key activity of a program of OD. A hypothetical consultation situation is discussed in detail to illustrate the interactions of the consultant and the university officials and the steps of the consultation process. The consultant will generate various interventions that the consultee can select, including training, reorganization, structural change, and management by objectives. The development of meaningful and measurable objectives, program implementation, and evaluation are also addressed. A bibliography is appended. (SW)