The study was conducted to find out the research capability, administrators' success qoutient, and research effectiveness of institutions of higher learning in Panay as of the school year 1987-88. With the use of the descriptive survey technique, 33 (71.73%) institutions of higher learning in Panay were surveyed for research capability and effectiveness data. Ten faculty members from each school included in the study were randomly chosen to provide data on their administrators' success quotient. A total of 305 faculty-respondents rated their administrators. The data gathered were analyzed on the basis of frequency count, averages, and percentages. In order to determine the statistical differences between group responses, the chi-square test was used and the result was interpreted based on the .05 confidence level. Pearson r was used to find the association between the variables tested. The results of the study showed that the schools included in the survey had low research capability (1.90). The majority (60.61%) had faculty members who were not Ph.D./Ed.D. or MS/MA degree holders, thereby pointing to the fact that the majority of the faculty members were not prepared to do research work. The schools did not also allot an adequate amount of their budget for research (69.69%) and neither were they members of any research organization (78.78%). Research capability between public and private schools and big and small institutions of higher learning in Panay did not differ significantly (Ex2=0.08 and 0.00, respectively). Significant differences were observed (Ex2=5.22) between the university and the non-university schools. The administrators of the institutions of higher learning surveyed were rated average (x=163.33) in success quotient. No significant differences existed between public and private schools (Ex2=0.036), big and small schools (Ex2=0.00), and university and non-university schools (Ex2=0.004) administrators' success quotient. The school-respondents had low research effectiveness (x=1.69). The majority (87.86%) had no published research reports, no presented or read research papers (81.79%), no completed research studies (69.70%), no on-going researches (66.67%), and no approved research proposals (78.78%). Public and private schools (Ex2=1.41), big and small schools (Ex2=0.09), and university and non-university schools (Ex2=2.25) did not very significantly in research effectiveness although the university and non-university institutions were given descriptive ratings of average and low in research effectiveness, respectively. Moderate to high correlation (076) existed between research capability and research effectiveness, while a very, very low association was noted between administrators' success quotient and research capability and administrators' success quotient (.001). The foregoing data seemed to indicate that as of the time of the study, institutions of higher learning in Panay were less capable of doing research work and, therefore, had low research effectiveness in spite of their being managed by average success quotient administrators. In order to improve in research effectiveness, the institutions must first improve their research capability.