The knowledge and skills needed by managers are considered, as well as the relationship between undergraduate study and continuing management education. Because of industry's dissatisfaction with the general preparation provided by colleges, business and industry managers were surveyed about the learning goals of the management-training programs they provide for employees. A total of 116 training directors, personnel managers, and executives at 98 firms rated the importance of learning goals for in-house management education programs. The human resource managers in industry valued interpersonal and affective abilities far above the acquisition of cognitive skills and broad knowledge in subject areas considered fundamental to a liberal education. They suggest that many of higher education's objectives are of little use in preparing graduates to be effective managers. (A second study of 51 executives had similar findings.) Personal choices of managers when they participate in education and training programs were also determined. Based on a federal 1981 Survey of Participation in Adult Education, a subset of managers who were part-time students was also analyzed to determine the types of courses they pursued. Recommendations for colleges include providing students more active learning and opportunities for oral communication. (SW)