This guidebook for administrators of early childhood programs discusses effective leadership and use of power in program management. Leadership is defined as planning for change to improve an organization. Power, differentiated from authority, is defined as an ability to influence others' behaviors; power is always granted by the people over whom it is exercised. The discussion of leadership includes suggestions for eliciting superior effort from employees and parents and lists characteristics of successful leaders. Much of the discussion is based on Rensis Likert's theories of organizational variables (causal, intervening, end) and management systems. The discussion of power identifies five sources of power (reward, coercive, legitimate, referent, expert) and explores ways leaders can increase the effectiveness of their social interactions. In conclusion, techniques are outlined for influencing causal variables and for building loyalty, gratitude, or a feeling of self-worth among staff members. (RH)