This report is one in a series on the work of the 30 pilot projects that form the European Community's second Programme on the Transition from Education to Adult and Working Life. The report reviews new demands on guidance and new approaches that have been developed to meet them, reviews the responses made by the Transition Programme pilot projects and other innovative programs, and makes recommendations based on this experience. The report covers the following: (1) the new demands on guidance, new initiatives in response to those demands, and consequent changes in the concept of guidance; (2) the prerequisites for successful guidance at the school level; (3) the place of guidance in the curriculum and the use of various forms of experiential learning; (4) the importance of cooperation between schools and parents and the roles of guidance counselors and students; (5) post-school guidance follow-up for young people who have already left the school system; and (6) conclusions and recommendations based on the experience of the transition projects and other innovative programs. Appended is an annotated list of 39 titles from "Innovations," a series of profiles of new developments on curriculum, guidance, cooperation, provision for the disadvantaged, teacher training and the improvement of opportunities for girls. Also appended is a list of contacts for all pilot projects cited in the text. (KC)