Studies of in-service training demonstrate repeatedly the difficulty of transferring training to the routine work of the staff. One of the likely explanations for this difficulty is the recurring absence of an educational and organizational needs assessment to guide the training. Such assessments can play a critical role in defining management support, goal setting, the selection of the trainee group and in analysing the readiness of staff in an organization for a training intervention. The present study summarizes and extends prior research in the field of mental health by conducting a comprehensive educational and organizational needs analysis. Six assessment methods were administered to N = 72 staff and 20 clients in a psychiatric hospital, including questionnaires, interviews, direct observations and an audit. The study design was based on a series of naturalistic, cross sectional comparisons between four wards. Significant differences were obtained between the four participating wards, which served to define training needs and to validate the needs assessment procedure. Implications are drawn for needs assessment within a more systematic approach to staff training.