This article describes how lesson study creates a process of teacher learning whilst developing student learning through collaborative planning, guided observation and reflection. It presents a framework for conducting lesson study in a teacher development programme in Lower Austria. The role of knowledgeable others in the development of ownership for educational change towards competence-oriented teaching and learning is explored and an overview of the organisational requirements and practical effects in the implementation of professional learning communities is given. In doing so, the article sheds light on training strategies and material development. Thus, insights on a paradigm shift in teacher development towards learning focused on discourse and reflected action are presented.