Attempting to place the evolution and current status of the American school system in a context that encourages administrators' pursuit of educational restructuring, this text provides a blueprint for districts choosing a site-based management approach to school system organization. Chapter 1 examines the evolution of the American school system and American society (from agrarian to industrial to technological), focusing on the role of democratic values and societal change in shaping education. Chapter 2 reviews various organizational patterns throughout the American school system, traces the development of the superintendency, establishes seven basic school system functions, and suggests site-based management as the appropriate way to organize these functions. Chapters 3 through 9 present the functions (planning, program delivery, evaluation, communications, financial management, instructional support, and noninstructional support) as they should be conceived for implementing a site-based management approach. The final chapter deals with governance issues and explicates the role of the federal government, the state, and the local school board. Included are an index and 27 references. (MLH)