Abstract: This paper reports some of the main lessons learnt from a collaborative project titled Generating jobs in regional Tasmania: a social capital approach investigating how two small rural Tasmanian communities could better match local training needs with training provision. The project was conducted within the context of the wider social, economic and demographic changes affecting the two rural communities and their ongoing efforts to manage such change. The paper provides a profile of the two communities with particular attention to their local education, training and employment infrastructure. Three research questions in terms of improving the contributions of leadership, partnerships and social capital are addressed. Development and utilisation of social capital, particularly in the form of interactional infrastructure (defined as opportunities and structures for interaction in a community) that brought together the range of stakeholders, appeared the key to successfully matching needs with provision.