This paper deals with the impact of recommendations in the Carnegie report ("A Nation Prepared: Teachers for the 21st Century") on administration in schools. The Carnegie report gives a bold new outline for improving teachers' roles in the schools by greatly strengthening their decision-making role and advocating a much more decentralized school organization. This paper presents a discourse on several critical issues that will be necessary to consider as the Carnegie report becomes a workable model. A major focus of this report is "empowering teachers" to have a greater decision-making role in schools. This paper discusses the importance of restructuring schools and attempts to analyze the changes necessary by categorizing the change at three levels of education: schools, school districts, and the state. Several administrative task areas are analyzed at each of these levels: management, fiscal, legal, and curriculum. A final section discusses issues in the training of future administrators. Appended are 18 references. (SI)