The first step in forming any inmate group is to decide the type of group desired in view of certain presenting problems. Criteria for the selection of group members should then be developed. Those inmates selected for the group should be informed about what will be done in the group and the importance of handling the confidential information shared in the group. It is important at the outset for the therapist to obtain a reasonable degree of inmate cooperation and confidence. An assessment of the severity and nature of the group members' problems and strengths is useful at the outset. This can involve structured and unstructured approaches such as a self-administered rating scale, an I.Q. test, a one-to-one interview, and informal observations. Goals for the group must be specific and realistic, and group exercises should be relevant to the prison and life contexts of group members. For the therapist to remain aware of the various environmental factors impacting group members, it is advisable for the therapist to hold a brief staff meeting prior to the group meeting to discuss anything significant that has happened in the prison since the last session. At the end of each session, sufficient time should be permitted for participants to work through their negative emotions before returning to their cells so as to reduce the possibility of their having extended anxiety. For most therapeutic purposes, a group of six to eight inmates is reasonable, and the number of therapists should not exceed three. Before the therapy comes to an end, the last session or two should be devoted to post-therapy assessment and feedback. Followup arrangements should also be made at this stage. Attention must be given to the kind of environment a participant will return to upon release and the problems that will be confronted there. Four references are listed.