This document reports on how key stakeholders in work force preparedness nationwide are responding to pressures of the skills race. Part 1 presents an overview of the skills challenge and the economic and social consequences of failing to meet the challenge. Part 2 examines the impact of the skills shortage on major stakeholders and explains how the build-up of pressure has pushed U.S. employers, workers, educators, trainers, community leaders, and government officials to join forces to strengthen the transition from school to work, pool their resources to improve training quality and reduce training costs, and respond to market demand for greater access to training and greater portability of skills. Part 3 details some of the more creative developments in work force development and distills eight winning principles for success in the field. An agenda for change is proposed that includes the following items: (1) build public awareness; (2) fill information gaps; (3) leverage technology; (4) focus on metrics (measurement of results); (5) tighten accountability; (6) share best practices; and (7) encourage personal initiative. Lists of the task force members, executive committee members, national affiliates, and 11 related publications conclude the document. (Contains fifteen figures and 55 section endnotes.) (MN)