For two decades there have been calls for the Australian vocational education and training (VET) system to be more efficient, responsive, industry-driven, and simplified. The responses from governments of all political persuasions have generally been incremental and within the traditional VET rubric of supplying skills to the labour market. In 2002, the State of Queensland began experimenting with different models of interaction with the VET system and its stakeholders. Since then a range of alternative industry engagement mechanisms has been trialled within an integrated approach to skills formation spanning a number of policy areas. In general, and in speculation about possible future VET systems, each of these mechanisms was initially predicated on tracking of emerging economic, social and environmental challenges faced by western democracies. From these initial experiments, Queensland has been researching an alternative holistic VET system model for 2020 which hopefully will be more able to cope with the changing nature of occupations, work, and the requirements of a carbon-constrained economy. This paper discusses two early drafts of some tools and techniques being considered for managing and monitoring the system: (i) Monitoring and Performance Framework and (ii) Capability Scales.