In corrections, a decentralized approach that draws upon the expertise and entrepreneurial spirit of all organizational members should be used. Community programs must be expanded to take advantage of decentralized management; prison should also be decentralized by using unit management. Unit management provides a number of advantages, including increased supervision, more orderly and competent classification of inmates, and enhanced programming opportunities. Research in the United States shows that staff and inmates are satisfied with unit management, and it is responsible for bringing order to institutions that are difficult to manage. Policymakers must decide how many prisons are necessary to provide adequate public protection. Using U.S. States as a guide in terms of population size, population density, urban population, and land areas, this paper provides a guide for establishing prison capacity needs. 8 tables and 7 notes