A new definition of capacity-building is evolving--one tha t is veering away from conventional ideas of organizational engineering . As it encompasses the broad environment or system in which social changes occur, capacitybuilding has become more complex, yet also more rewarding . Today, some of the buzzwords are empowerment, social capital, enabling environment. Moreover, culture, values and power rela tions that influence and motivate organizations and individuals are gaining more attention. There is respect and even appreciation now for informal patterns of personal and culture-bound organizational behavior- the unwritten rules of the game, so to speak. As well, there is the urge to complement, not replace, indigenous ha bits and practices. All of these are progressively coalescing into a body of concepts called capacity development.