This article reflects on the challenges faced when the ideal of consen
sual communities is questioned. A more complex view of institutional r
elationships at the local level is envisaged, one which emphasises con
flict as much as consensus. This,in turn, suggests some implications f
or institutional design and processes of conflict negotiation. A numbe
r of alternatives are explored, ranging from targeted, institutional d
esign to more flexible, learning process approaches. Support for effec
tive negotiation processes is highlighted, including the enhancement o
f claims-making capacity through processes of participation and empowe
rment. Due ru the inherent uncertainties in both ecological and social
dynamics, institutional design can never lake a blueprint form. Inste
ad, a flexible, adaptive style of dealing with institutional complexit
y and uncertainty is envisaged. Despite the necessity of disagreggatin
g 'community' imagery for local-level implementation, such imagery can
also be used strategically and effectively by local people and other
development actors in struggles to define and direct processes of chan
ge.