In an increasingly complex world, continuous and broad-based learning is es
sential to keep up with the rapid pace of change. Drawing on research and d
evelopment work in school effectiveness and school improvement, it is argue
d in this article that internal capacity is vital in developing and sustain
ing the teacher and organisational learning necessary to promote and enhanc
e student learning. Influences on internal capacity at the individual teach
er, school context and external context levels are discussed, and principle
s offered for building capacity from within and outside schools. Difference
s between schools in their internal capacity are highlighted and questions
posed for further research and development work to understand better how th
e influences interact in different types of schools.