This report analyses in depth the various problems facing short-cycle institutions and their place in the system of higher education. Short-cycle institutions offer postsecondary education of shorter duration with strong vocational elements, generally under the nonuniversity sector of higher education. Part one offers a general conceptual framework for defining and analysing short-cycle higher education and presents the main issues arising in the planning and reform of this type of education, with particular reference to their linkages and relations with the university sector. Part two deals with four different types of short-cycle higher education institutions in different countries and with a number of issues that short-cycle or nonuniversity establishments are facing: status and role of teachers, structure and content of studies, employment of short-cycle higher education graduates and the new functions that these institutions are called upon to perform. Part three presents conclusions and a list of related documents. (Author/PG)